Ethereum Developers Create 'DN-404' Tokens After ERC-404s Send Network Fees Surging
Developers created DN-404, a token contract on Ethereum, to address issues caused by the ERC-404 standard, which led to network congestion and increased fees. ERC-404's popularity caused transaction fees to spike, reaching $840, and average gas fees for swap transactions rose to $20. The experimental standard, not officially recognized by Ethereum Foundation, has drawn criticism but also spurred a $209 million market capitalization. ERC-404 allows multiple wallets to own a single NFT and aims to create liquid markets for tokens and NFT collections. DN-404 achieves similar goals using two contracts. Both standards are not officially recognized but can be used within the network. ERC-404 developers are working on an Ethereum Improvement Proposal for official recognition and are considering establishing a foundation to support the standard's development and adoption.
