EDITION / 7 OCTOBER 2026 / NEWS & CONTEXTOur editorial standard ↗
LondonLocal time
New YorkLocal time
TokyoLocal time
SydneyLocal time
China · BeijingLocal time
THE CONTEXT BEHIND CRYPTO.
MARKET WATCHBTC——ETH——SOL——LINK——All markets ↗
Ethereum

ERC-20 tokens: names, decimals and contract identity

Why a familiar ticker is not proof of authenticity, and how raw balances become the number shown in a wallet.

CoinEditorial3 min read
Explainer · Educational content
Editorial illustration: Concept diagram for ERC-20 tokens: names, decimals and contract identity: CONTRACT, RAW UNITS, DISPLAY
Original CoinEditorial concept diagram; educational illustration, not live market data.
THE TAKEAWAY

The network and contract address identify a token more reliably than its symbol.

A shared interface, not a quality mark

ERC-20 specifies an interface for fungible tokens on Ethereum-compatible systems. It supports common operations so applications can interact with different token contracts. Compliance with the interface does not certify an issuer, establish backing or remove administrative powers. Two unrelated contracts can display the same name and symbol, so recognition by ticker alone is not an identity check.

Decimals change presentation

Consider a fictional token whose raw balance is 1,500,000 and whose declared decimals are six. The displayed balance is 1.5 units. If a data pipeline assumes eighteen decimals, its result will be wrong by a very large factor. Decimals do not create economic value; they define the relationship between integer accounting and the user-facing unit. Verify the contract’s actual metadata.

Follow the address through the workflow

Start with the issuer’s independently verified official source, confirm the intended network, and compare the complete contract address in the wallet or exchange. A logo and a search result are weaker evidence. A bridged token on another network can have a separate address and additional assumptions; do not assume matching symbols make the two assets operationally interchangeable.

What a reader can inspect

On a reputable explorer, review the contract identity, token metadata and available implementation information. Keep your conclusions narrow: visible source code or a token standard does not prove that the system has been audited or is suitable for a particular purpose. For developers, test raw-unit conversion explicitly. For users, verifying the destination asset before a transfer is more useful than comparing logos after one.

Sources & further reading

Sources checked 7 October 2026. Source-linked explanatory content; not personalised investment advice. Found an error? Request a correction.

KEEP READING

More context. Better questions.

Explore all