
Before diving into which ERC is better, let’s take a look at what they actually are. ERC stands for Ethereum Request for Comment; they are essentially technical standards that guide how tokens and smart contracts should work on Ethereum.
Think of them as blueprints that make sure that the tokens are compatible across wallets, apps, and marketplaces. Without ERCs, each project would require custom code just to have the ability to interact with others.
Within these standards, there are also NFT standards. The ERC-721 was the first and most popular NFT standard. It was designed for unique assets like digital art. Later on, ERC-1155 emerged, which allowed for both unique and identical tokens to exist within the same contract. ERC-1155 was hence useful for collectibles, gaming, and multi-asset systems.
It is important to choose the right NFT standard because picking the wrong one can waste thousands in gas fees and hold your project back. Most developers simply go with ERC-721 because it’s popular. However, they don’t realize that ERC-1155 can drastically reduce costs by up to 90% and also unlock additional features.
Therefore, the choice is not only technical but also affects your business. Whether you are launching an art collection, creating ticketing tokens, or building a game, your standard affects many aspects. The NFT standard can affect use costs, scalability, features, and marketplace support.
Understanding ERC Token Standards
ERC, Ethereum Request for Comment, is basically blueprints that make the tokens work smoothly across wallets, apps, and marketplaces.
If we did not have these standards, each token would need custom code and setups. This would be very chaotic and waste a lot of time. That’s why ERC Token standards were created.
The most common ones are:
· ERC-20 for fungible tokens like USDC or SHIB (all tokens are identical, like dollars).
· ERC-721 for unique NFTs like digital art.
· ERC-1155 for NFTs that can be unique or grouped, often used in games.
Standards matter because they bring instant compatibility. If OpenSea or MetaMask supports ERC-721, any project using it works right away. That’s why Ethereum’s NFT ecosystem is so strong.
The ERC 721 Standard
In 2017, ERC-271 emerged as the first-ever NFT standard. It forever changed how we think about digital ownership. Created by Dieter Shirley for CryptoKitties, it introduced the concept that tokens can actually be unique and non-interchangeable. Each of the ERC-721 tokens actually has a distinct token ID, making it a one-of-a-kind. It’s like having a serial number that defines its identity.
What makes ERC 721 stand out is its simplicity. Each NFT is a separate entity that has its own properties, owner, and history. For instance, if you own token #21, you own that specific token. Not any token, but that exact one. This straightforward model maps perfectly to how we think about ownership in the physical world.
ERC-721’s design prioritizes clarity over efficiency. Each token operation, from minting to transferring and burning, happens individually. If you want to send 4 NFTs, you will need 4 separate transactions. This does seem inefficient, but it actually provides crystal-clear ownership records and simple logic that any developer can understand and implement.
The standard contains essential functions that define NFT behaviors:
1) ownerOf() tells you who owns a specific token
2) transferFrom() moves tokens between addresses
3) approve() grants permission for others to transfer your token
4) balanceOf() counts how many tokens an address owns.
These simple building blocks allow for complex applications while still remaining accessible to developers.
Use Cases
1) Digital Art and Collectibles
ERC-721 is absolutely perfect for digital art and collectibles. Projects like CryptoPunks (retroactively converted to ERC-721), Bored Ape Yacht Club, and Art Blocks chose this standard because each piece is truly unique.
When you buy BAYC #5438, you are not buying any Bored Ape. But you are actually buying that specific ape with its unique combination of traits. Each token links to a single asset, making ownership and history clear and unquestionable.
2) Domain Names and Identity
Because of ERC-721’s uniqueness for non-fungible utility, it is suitable for domain names and identity. ENS domains (.eth names) are ERC-721 tokens because each domain is unique! There is only one “vitalik.eth.” Similarly, identity and certification NFTs utilize ERC-721 because each represents a specific credential or a particular achievement.
3) Virtual Real Estate
Virtual Real Estate in metaverses such as Decentraland and The Sandbox uses ERC-721 because each plot of land is unique with specific coordinates and properties. You are not buying any land; you are buying the plot at coordinates (27, -49) with precise characteristics and location value.
4) Membership and Access Tokens
ERC-721 is ideal for membership and access passes, as each one needs to be unique. For example, VeeFriends utilizes ERC-721 as a conference ticket system, where each ticket comes with its own unique advantages. This means that even within the same collection, each pass can provide different benefits.
The ERC 1155 Standard
In 2018, Enjin created the ERC-1155, which revolutionized the NFT standards by asking one simple question: Why should fungible and non-fungible tokens require separate contracts?
ERC-1155 standard became the multi-token standard that enabled both fungible and non-fungible tokens within a single smart contract. This significantly improved efficiency and helped enable new use cases that were impossible with the ERC-721.
The main idea behind ERC-1155 is that a lot of apps require unique items and stackable ones. For instance, if there is a game that may have a one-of-a-kind sword (non-fungible) and gold coins (fungible). With ERC-721 and ERC-20, you would need separate contracts. But thanks to ERC-1155, you can handle both in a single contract, using token IDs to track each type.
Here, a token can have a supply of just 1 (making it unique) or thousands (making it fungible). For example, Token ID 1 could represent 400 identical gold coins, while Token ID 2 could be a single legendary sword.
ERC-1155 also makes bulk actions easier. You can send or check multiple tokens in one transaction with functions like safeBatchTransferFrom() and balanceOfBatch(). What would take multiple steps in ERC-721 becomes one efficient call in ERC-1155.
Use Cases
1) Blockchain Gaming
ERC-1155 truly shines in Blockchain gaming. There are games such as The Sandbox and Gods Unchained, which use ERC-1155 because the games naturally have mixed assets. A player may own 100 health potions (fungible), 200 gold coins (fungible), and a unique legendary sword (non-fungible). Managing all these with separate contracts would be a hassle! But ERC-1155 makes it easy and simple.
2) Event Ticketing
ERC-1155’s flexibility also benefits event ticketing. For example, a concert may have 1000 general admission tickets (fungible within that particular category), 100 VIP tickets (fungible within VIP), and 30 unique backstage passes (non-fungible).
Thanks to ERC-1155, you can have a single contract managing all the different ticket types. This contract also allows for batch transfers, enabling efficient distribution.
3) Digital Trading Cards
Digital Trading Cards also leverage the benefits of ERC-1155 for collections with varying levels of rarity. Common cards may have thousands of copies, rare cards hundreds, and legendary cards might be unique.
NBA Top Shot could have used ERC-1155 for moments with multiple editions. However, they chose ERC-721 for other reasons.
4) DeFi and Gaming
ERC-1155 is perfect when games and finance mix together. Imagine a farming game: crops act like fungible tokens, land plots are unique non-fungible tokens, and tools with limited durability fall in between. With ERC-1155, one contract can handle all of these at once. This definitely makes the game economy work smoothly in ways that standards like ERC-721 and ERC-20 couldn’t.
ERC 1155 vs ERC 721: The Key Differences
Aspect | ERC-721 | ERC-1155 |
Token Structure | Each token is unique with an individual ID | Token types with configurable supplies |
Contract Architecture | One contract per collection | One contract for multiple collections |
Gas Efficiency | Higher gas costs per operation | 50-90% lower gas for batch operations |
Batch Operations | Not supported natively | Built-in batch transfers and queries |
Fungibility | Only non-fungible tokens | Fungible, non-fungible, and semi-fungible |
Metadata Flexibility | Usually static per token | Dynamic URI patterns are possible |
Marketplace Support | Universal support | Growing but not universal |
Developer Complexity | Simpler to understand | More complex but more powerful |
1. Token Structure
ERC-721 treats each of its tokens as a completely distinct entity. From the contract’s perspective, Token#1 and Token#2 are distinct objects, each with its own entry for tracking ownership. This structure makes the concept easy to understand; each NFT is merely unique. However, it requires more storage and computational power to maintain each token.
Meanwhile, ERC-1155 uses a two-tier structure. Here, token IDs represent types, and each type has a balance per address. Token ID 1 may represent “Gold Coins” with the address A owning 100 and address B owning 50. Token ID 2 may be representing “Excalibur” with only one existing, owned by address C. This flexibility makes storage more efficient and opens up new possibilities. But it also means you need to think about tokens in a new way.
2. Gas Efficiency
Gas costs are important to consider because they can often make or break NFT projects. Here, ERC-1155 easily dominates. Minting 100 NFTs with the ERC-721 standard would require 100 separate transactions, each paying base transaction costs plus execution fees. At 100,000 gas per mint and $20 per 100,000 gas, you’re looking at $2,000 just to create them.
Now, compare that with the ERC-1155, and the cost is dramatically lowered. ERC-1155 can mint those same 100 NFTs in a single transaction for perhaps 300,000 gas total, meaning that it would take you $60 instead of $2,000.
With ERC-721, sending 10 NFTs costs 10 times the gas. With ERC-1155, sending 10 costs almost the same as sending 1. For apps handling lots of transactions, that’s a huge savings.
3. Batch Transfers
ERC-721 has a one-at-a-time transfer model that mirrors the physical world transfers. You hand over the items individually. This clarity, however, comes at a cost. Transferring your entire game inventory of 100 items, meaning 100 transactions, 100 gas fees, and, of course, 100 confirmation waits. Naturally, users hate this kind of experience.
Luckily, ERC-1155’s batch transfers change the game entirely. You can send up to 100 different tokens to multiple recipients in a single transaction. The function safeBatchTransferFrom() actually accepts arrays of token IDs and amounts, processing everything atomically[NA1]. Either all transfers succeed or all fail; there are no partial states. This makes things like loot boxes, pack openings, or moving inventories possible without the high costs of ERC-721.
4. Difference in Contract Deployment
With ERC-721, most projects launch one contract for each collection. So CryptoPunks has its own, BAYC has another, and Doodles has theirs too. It keeps things simple and separated, but if you’re running multiple collections, you’ll end up juggling multiple contracts.
ERC-1155 works differently. You can manage several collections under a single contract. For example, a game studio could put all of its games’ assets in one place, just using different IDs for each game. It’s cleaner and makes cross-game items possible, but it does mean you have to plan your IDs and rules carefully.
5. Security for Transfers
ERC-721 includes both transfer() and safeTransfer() functions, with the latter checking if the recipient can handle NFTs. However, many developers and users still use the unsafe version, occasionally sending NFTs to contracts that can’t retrieve them, permanently lost.
ERC-1155 only provides safe transfer functions, enforcing receiver validation. The onERC1155Received() hook must be implemented by receiving contracts, preventing accidental token loss. This safety-first approach prevents costly mistakes but requires contracts to explicitly support ERC-1155 receipt.
6. Flexibility in Metadata
ERC-721 typically uses static metadata, each token pointing to a fixed URI containing its properties. Changing metadata requires contract updates or complex off-chain systems. This immutability is often desirable for art, but actually limiting for the dynamic applications.
ERC-1155 supports dynamic URI patterns using substitution. The URI “https://game.com/api/token/{id}.json” automatically fills in the token ID, enabling programmatic generation of metadata. Games can update item stats, events can reveal information over time, and collections can evolve, all without contract changes.
When Should You Use ERC 721 or ERC 1155?
Choose ERC-721 When:
● Building a profile picture (PFP) collection where each piece is unique art
● Creating one-of-one artworks where uniqueness is the core value proposition
● Developing simple collectibles with straightforward ownership models
● Prioritizing maximum marketplace and wallet compatibility
● Working with developers new to NFTs who need simplicity
● Building on established patterns where innovation isn’t the goal
Choose ERC-1155 When:
● Building games with mixed fungible/non-fungible assets
● Creating tickets or passes with multiple tiers and quantities
● Developing DeFi protocols that blend tokens and NFTs
● Requiring frequent batch operations or high-volume transfers
● Needing dynamic metadata that changes over time
● Optimizing for gas efficiency in high-transaction environments
Consider Hybrid Approaches for complex requirements. Some projects use ERC-721 for unique avatars, but ERC-1155 for in-game items that those avatars use. Others start with ERC-721 for simplicity, then bridge to ERC-1155 for advanced features. The standards can complement each other.
Considerations for the Developers
Learning Curve and Documentation
ERC-721 is much easier to learn. The idea is simple: each token is unique. There’s plenty of documentation, tutorials, and examples available out there. Even beginners with a basic understanding of Solidity can create an ERC-721 project. OpenZeppelin’s templates make it very straightforward.
ERC-1155, on the other hand, is more complex. Developers must understand token IDs and balances, which can be confusing at first. Batch operations need careful testing. While documentation exists, there are fewer examples compared to ERC-721. Its flexibility is powerful, but it increases the risk of mistakes.
Ecosystem and Tooling Support
ERC-721 has the strongest ecosystem. Almost every wallet, marketplace, and tool supports it. Block explorers display ERC-721 beautifully, and analytics platforms track them accurately. Because the ecosystem is so mature, developers rarely need to build custom tools.
ERC-1155 is supported by big platforms like OpenSea, but not everywhere. Smaller wallets and tools may display these tokens poorly. Sometimes, you may need to build custom interfaces or wait for broader adoption.
Testing and Security
ERC-721 is easier to test because each operation is separate. Security patterns are well-known, and audits are cheaper since the code is simpler. The attack surface is smaller, reducing risks.
ERC-1155 is harder to test. Batch operations can create complex state changes, which introduce more potential bugs. Security audits take more time and money. However, ERC-1155 includes safe transfer rules that prevent some common mistakes associated with ERC-721.
Future-Proofing
ERC-721 is stable and unlikely to change. This makes it predictable, what you build now will work the same years later. It’s a good choice for long-term projects that don’t need updates.
ERC-1155 is still evolving. New patterns and optimizations are being developed, which gives flexibility but also means developers must keep learning and updating their code. This makes it more future-ready but less “set and forget.”
Final Thoughts
The choice between ERC-1155 and ERC-721 affects your project’s design, user experience, and costs. ERC-721 is simple and widely supported, making it great for NFT collections where every token must be unique. ERC-1155 is more efficient and flexible, which makes it ideal for games, ticketing, or any project with frequent transfers.
Do not pick ERC-721 just because most people use it. If your project involves a high transaction volume, ERC-1155’s gas savings make it worthwhile to consider. On the other hand, for simple art drops, ERC-721 is easier and avoids unnecessary complexity.
Think about your users first. Collectors and artists relate to ERC-721 easily, while gamers benefit from ERC-1155’s ability to batch assets. Choose the standard that matches what your audience expects.
Both standards will continue to exist because they solve different problems. ERC-721 is not outdated just because ERC-1155 exists. Each has its own strengths, and the best choice depends on your project’s needs.
Ready to build your NFT project with confidence? Join Dypto Crypto’s community for in-depth technical guides, smart contract templates, and expert advice on NFT development. Whether you’re choosing ERC-721’s simplicity or ERC-1155’s power, we’ll help you implement it successfully. Sign up today and transform your NFT vision into reality.
FAQs
Q: What’s the main difference between ERC-721 and ERC-1155?
ERC-721 treats every NFT as unique, with its own ID, making it perfect for one-of-a-kind assets. ERC-1155 groups tokens into types so that you can have multiple copies of the same item. It also supports both fungible and non-fungible tokens within a single contract, allowing for batch transfers and increased efficiency.
Q: Which standard is best for gaming?
ERC-1155 fits gaming because it handles currencies, resources, and rare items together. Players can trade whole inventories in one transaction, saving big on gas fees. ERC-721 is only better if the game has very simple assets or if maximum marketplace compatibility is more important than efficiency.
Q: Can you migrate ERC-721 to ERC-1155?
You can’t directly convert them since they’re different standards. Workarounds include wrapping (locking the ERC-721 and issuing an ERC-1155 version) or burn-and-mint (destroying the ERC-721 to mint an ERC-1155). Wrapping keeps both versions alive but adds complexity, while burn-and-mint is cleaner but irreversible.
Q: Do marketplaces support both?
Yes. Major marketplaces like OpenSea, Rarible, and LooksRare support ERC-721 and ERC-1155. ERC-721 has a more polished UX since it’s older, while ERC-1155 is supported, but some features (like batch listings) are limited on certain platforms. Smaller marketplaces may only support ERC-721.
Q: Which is easier for beginners?
ERC-721 is simpler and better documented. Its “one token = one item” model is easy to understand, and most tutorials cover it. ERC-1155 is more flexible but has a steeper learning curve with token types, batch operations, and transfer safety checks.