Token-2022 Program: Advanced Solana Token Features
Token-2022 is Solana's enhanced token program that extends the standard SPL Token Program with advanced features and extensions. This guide explains what Token-2022 offers, how it differs from standard SPL tokens, and when to use it for your token creation needs. Explore our homepage for more resources.
What is Token-2022?
Token-2022 is an upgraded version of the SPL Token Program that maintains backward compatibility while adding new features through extensions. It was introduced to provide more flexibility and advanced functionality for token creators who need features beyond the standard SPL token capabilities.
Key Point: Token-2022 is fully compatible with standard SPL tokens. Tokens created with Token-2022 can interact with standard SPL tokens, but they offer additional features through extensions.
Token-2022 vs Standard SPL Tokens
| Feature | Standard SPL Token | Token-2022 |
|---|---|---|
| Basic Functionality | ✅ Full support | ✅ Full support |
| Extensions | ❌ Not available | ✅ Available |
| Transfer Fees | ❌ Not supported | ✅ Supported via extension |
| Interest-Bearing | ❌ Not supported | ✅ Supported via extension |
| Compatibility | ✅ Universal | ✅ Compatible with SPL |
Token-2022 Extensions
Token-2022 introduces extensions that add new capabilities to tokens. Here are key extensions:
Transfer Fee Extension
Allows tokens to charge a fee on transfers. This can be used for revenue generation, deflationary mechanisms, or protocol fees. The fee is automatically deducted during transfers.
Interest-Bearing Extension
Enables tokens to accrue interest over time. Useful for staking tokens, yield-bearing tokens, or tokens that represent time-based value.
Transfer Hook Extension
Allows custom logic to execute during token transfers. This enables advanced features like transfer restrictions, validation, or additional processing.
Metadata Pointer Extension
Provides a more efficient way to store and manage token metadata, improving on-chain metadata management compared to standard SPL tokens.
When to Use Token-2022
Use Token-2022 When:
- You need transfer fees for revenue or deflationary mechanisms
- You want interest-bearing tokens (staking, yield)
- You need custom transfer logic or restrictions
- You require advanced metadata management
- You're building a protocol that needs extended token functionality
Use Standard SPL When:
- You need a simple utility token or memecoin
- Maximum compatibility is your priority
- You don't need advanced features
- You want the simplest token creation process
Creating Token-2022 Tokens
Creating Token-2022 tokens requires using tools that support the Token-2022 program. Not all Solana token creators support Token-2022 yet, so check compatibility before creating. The process is similar to standard SPL token creation, but you'll configure extensions during setup.
Important: Token-2022 is newer than standard SPL tokens. Ensure your wallet, exchange, and other tools support Token-2022 before using it. Standard SPL tokens have broader compatibility.
Compatibility Considerations
While Token-2022 tokens are compatible with standard SPL tokens for basic operations, some wallets and tools may not fully support all extensions. Consider:
- Wallet Support: Check if your target wallets support Token-2022 and specific extensions
- Exchange Support: Verify exchanges support Token-2022 tokens before listing
- dApp Compatibility: Ensure decentralised applications you plan to use support Token-2022
- User Experience: Consider whether users will understand and be able to use Token-2022 features