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I see there is a variable set which allows the value of a token to be set against an ETH.

Is this mandatory? Best practice?

What happens to a token if the value is not set, and the token goes on to an exchange? Would the value be updated or not?

  • "I see there is a variable..." Where do you see that? ERC20 tokens have no such thing. – user19510 Mar 1 '18 at 6:35
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I see there is a variable set which allows the value of a token to be set against an ETH.

It is just a conversion rate during crowdsale. It is not a token market price.

Is this mandatory? Best practice?

It is good practice to have it in case you have some proportion e.g. 1 ETH == 1000 tokens. You will have easier conversion when someone buys tokens during crowdsale.

What happens to a token if the value is not set, and the token goes on to an exchange? Would the value be updated or not?

Once again, this is not market price, it is token conversion rate during crowdsale. It doesn't affect token price once it gets to exchanges or trading platforms. If this variable is absent in the crowdsale contract it can just mean that they make their calculations differently. You usually just check their fallback function to understand the conversion rate from ETH.


Btw if you see "Value per Token" in token contract it can just mean that they used the same contract during crowdsale.

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  • Thanks so much for your feedback. Really appreciate it. Kudos! ;) – Ian Fraser Mar 1 '18 at 7:25
  • @IanFraser glad I could help. If this answer solved your problem, please accept it by pressing checkmark near the answer. – Roman Frolov Mar 1 '18 at 16:15
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If you are talking about ERC20 Tokens. it is not mandatory. according to the need, you can use any variables. Normally tokens come with some value in the ether. so they used it. as a standard, a constant 'RATE' is used for this. it is up to your choice.

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