> ## Documentation Index
> Fetch the complete documentation index at: https://docs.tokenfabric.xyz/llms.txt
> Use this file to discover all available pages before exploring further.

# Token Basics

> Understanding different token types and their use cases on TokenFabric

# Understanding Token Types

Before creating your digital asset on TokenFabric, it's important to understand the different token types available and choose the one that best fits your project.

## Token Standards

### ERC20 Tokens

Best for fungible assets like:

* Cryptocurrencies
* Utility tokens
* Reward points
* Financial instruments

**Characteristics:**

* All tokens are identical
* Divisible units
* Easy to trade
* Wide compatibility

### ERC1155 Tokens

Ideal for unique assets like:

* Digital collectibles
* Gaming items
* Membership passes
* Event tickets

**Characteristics:**

* Can be unique or semi-fungible
* Multiple items in one contract
* Gas efficient
* Batch transfers

<Note>
  TokenFabric simplifies creation of both standards with no coding required.
</Note>

## Choosing Your Token Type

### Use Case Analysis

1. **ERC20 Best For:**
   * Payment systems
   * DeFi applications
   * Community tokens
   * Loyalty programs

2. **ERC1155 Best For:**
   * Digital art
   * Gaming assets
   * Access passes
   * Mixed collections

## Token Properties

### Basic Properties

1. **Name & Symbol**
   * Choose memorable names
   * Use clear symbols
   * Check availability
   * Consider branding

2. **Supply Options**
   * Fixed supply
   * Mintable
   * Burnable
   * Maximum caps

### Advanced Features

1. **Token Utilities**
   * Access rights
   * Voting power
   * Reward mechanisms
   * Platform benefits

2. **Trading Features**
   * Transfer restrictions
   * Trading pairs
   * Liquidity options
   * Price mechanisms

## Creating Tokens on TokenFabric

### ERC20 Creation

1. **Basic Setup**
   * Token name
   * Symbol
   * Initial supply
   * Distribution plan

2. **Advanced Options**
   * Minting rights
   * Burning options
   * Trading settings
   * Curve selection

### ERC1155 Creation

1. **Collection Setup**
   * Collection name
   * Metadata
   * Item types
   * Supply per item

2. **Item Configuration**
   * Individual properties
   * Rarity levels
   * Transfer rules
   * Pricing structure

## Best Practices

### Token Design

1. **Planning**
   * Define clear purpose
   * Consider scalability
   * Plan distribution
   * Set parameters

2. **Implementation**
   * Test thoroughly
   * Start small
   * Monitor activity
   * Adjust as needed

<Warning>
  Take time to plan your token economics. Changes after launch can be difficult or impossible.
</Warning>

## Common Questions

<AccordionGroup>
  <Accordion title="Which standard should I choose?">
    Consider:

    * Asset type (fungible vs unique)
    * Use case requirements
    * Trading needs
    * Platform compatibility
  </Accordion>

  <Accordion title="Can I change token properties later?">
    Some properties are permanent:

    * Token standard
    * Name and symbol
    * Contract features

    Others may be adjustable based on setup
  </Accordion>

  <Accordion title="How do I ensure token security?">
    Key steps:

    * Use TokenFabric's audited contracts
    * Test thoroughly
    * Set appropriate permissions
    * Monitor activity
  </Accordion>
</AccordionGroup>

## Token Management

### Launch Preparation

1. **Documentation**
   * Clear description
   * Use cases
   * Technical details
   * Distribution plan

2. **Community Building**
   * Engage users
   * Gather feedback
   * Build awareness
   * Create value

### Ongoing Management

1. **Monitoring**
   * Track distribution
   * Monitor trading
   * Gather metrics
   * Adjust strategy

2. **Development**
   * Add utilities
   * Improve features
   * Expand use cases
   * Build partnerships

## Next Steps

Continue learning about:

1. [Understanding bonding curves →](/tutorials/tokenomics/understanding-curves)
2. [Token metrics and analysis →](/tutorials/tokenomics/metrics-and-analysis)
3. [Asset management →](/tutorials/advanced/asset-management)

<Card title="Ready to Create?" icon="wand-magic-sparkles">
  Start creating your token with [TokenFabric's intuitive interface →](/documentation/get-started/create-first-asset)
</Card>

## Quick Reference

### Token Creation Checklist

* [ ] Define token purpose
* [ ] Choose standard
* [ ] Plan economics
* [ ] Set parameters
* [ ] Test thoroughly
* [ ] Launch strategy
* [ ] Monitor performance

<Tip>
  Keep this guide handy as you plan and create your token on TokenFabric.
</Tip>