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erc-7629
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## Abstract

This proposal introduces a protocol that establishes a unified interface for managing both ERC-20 fungible tokens and ERC-721 non-fungible tokens (NFTs) on the Ethereum blockchain. By defining a common set of functions applicable to both token types, developers can seamlessly interact with ERC-20 and ERC-721 tokens using a single interface. This simplifies integration efforts and enhances interoperability within decentralized applications (DApps).
This proposal introduces a protocol that establishes a unified interface for managing both [ERC-20](./eip-20.md) fungible tokens and [ERC-721](./eip-721.md) non-fungible tokens (NFTs) on the Ethereum blockchain. By defining a common set of functions applicable to both token types, developers can seamlessly interact with [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) tokens using a single interface. This simplifies integration efforts and enhances interoperability within decentralized applications (DApps).


## Motivation

The proposal aims to address the demand for assets combining the liquidity of ERC-20 tokens and the uniqueness of ERC-721 tokens. Current standards present a fragmentation, requiring users to choose between these features. This proposal fills that gap by providing a unified token interface, enabling smooth transitions between ERC-20 and ERC-721 characteristics to accommodate diverse blockchain applications.
The proposal aims to address the demand for assets combining the liquidity of [ERC-20](./eip-20.md) tokens and the uniqueness of [ERC-721](./eip-721.md) tokens. Current standards present a fragmentation, requiring users to choose between these features. This proposal fills that gap by providing a unified token interface, enabling smooth transitions between [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) characteristics to accommodate diverse blockchain applications.

## Specification

- Introduces a token contract that combines features from both ERC-20 and ERC-721 standards.
- Supports state transitions between ERC-20 and ERC-721 modes, facilitating seamless conversion and utilization of both liquidity and non-fungibility.
- Introduces a token contract that combines features from both [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) standards.
- Supports state transitions between [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) modes, facilitating seamless conversion and utilization of both liquidity and non-fungibility.
- Defines essential functions and events to support token interactions, conversions, and queries.
- Implements low gas consumption ERC-20 mode to maintain efficiency comparable to typical ERC-20 token transfers.
- Implements low gas consumption [ERC-20](./eip-20.md) mode to maintain efficiency comparable to typical [ERC-20](./eip-20.md) token transfers.


Compliant contracts MUST implement the following Solidity interface:
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Common Interface for Different Token Types:

- Introduces a unified interface to address the fragmentation caused by separate ERC-20 and ERC-721 standards.
- Introduces a unified interface to address the fragmentation caused by separate [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) standards.
- Standardizes functions like transferFrom, mint, and burn, enabling developers to interact with both token types without implementing distinct logic.

Transfer Functionality:

- Includes transferFrom function for seamless movement of tokens between addresses, as it's a core component of both ERC-20 and ERC-721 standards.
- Includes transferFrom function for seamless movement of tokens between addresses, as it's a core component of both [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) standards.

Minting and Burning:

- Incorporates mint and burn functions for creating and destroying tokens, essential for managing token supply and lifecycle.

Balance and Ownership Queries:

- Provides functions like balanceOf and ownerOf for retrieving token balances and ownership information, crucial for both ERC-20 and ERC-721 tokens.
- Provides functions like balanceOf and ownerOf for retrieving token balances and ownership information, crucial for both [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) tokens.

Compatibility and Extensibility:

- Ensures compatibility with existing ERC-20 and ERC-721 implementations, minimizing disruption during transition.
- Ensures compatibility with existing [ERC-20](./eip-20.md) and [ERC-721](./eip-721.md) implementations, minimizing disruption during transition.
- Allows extension with additional functions and events for future enhancements.

Security Considerations:
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