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An ERC-20 amount is stored as an integer in the token’s smallest accounting units. To understand what that integer means as a token quantity, you need the specific token’s decimal setting: divide the raw amount by 10 raised to that number of decimals. Without that scale, the raw number alone does not tell you how many tokens are being transferred.
What an ERC-20 amount represents
ERC-20 defines the transfer amount as a uint256 integer. The number passed to a transfer is therefore not inherently a whole-token quantity or a decimal-formatted amount; it is a raw amount expressed in the token’s smallest accounting units. The standard’s ERC-20 specification describes decimals() as the value applications can use to scale that integer for human-readable display.
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How to convert a raw amount into tokens
For a token that reports d decimals, use this formula:
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For example, if a contract reports 8 decimals and its raw balance is 123456789, the displayed quantity is 1.23456789 tokens. That is a generic arithmetic example, not a claim about a particular token. EIP-20 gives the same scale illustration: with 8 decimals, divide by 100,000,000.
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Why the token’s own decimals matter
The integer does not carry its display scale with it. A raw amount such as 123456789 could represent different user-facing quantities under different decimal settings. A wallet, payment interface, or transaction viewer that displays the raw integer as though it were already a whole-token amount can therefore misstate the amount’s magnitude.
ERC-20 makes decimals() optional. A contract may not expose that method, so software must not assume every token provides it or silently treat a missing value as a universal default. Verify the scale for the particular token using the contract or another trusted source.
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Use one scale when displaying and sending tokens
The conversion works in both directions. To display a raw balance, divide by the token’s decimal scale. To prepare a transfer from a user-entered token quantity, convert that quantity into the corresponding raw integer using the same scale. Mixing scales can make a displayed balance and a transaction amount refer to different quantities.
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1Clear out junk files and repair common Windows errors2Scan for outdated or missing drivers - takes under a minute3Repair Windows errors before they cause bigger problemsERC-681’s transaction-request format represents an ERC-20 transfer amount as a uint256 in atomic units. It recommends using the exponent returned by the token’s decimals() function for human-readable amounts, and advises displaying the token’s specified units when the client can obtain them from the blockchain or another trusted source. Its guidance emphasizes that people should be able to inspect the amount, including its order of magnitude.
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What to check when an amount looks wrong
- Confirm that the number is labeled as a raw amount or formatted token quantity.
- Check the decimals reported for the specific token rather than assuming a value from another token.
- When a contract does not expose
decimals(), do not infer a fallback from the raw amount alone; obtain the scale from a trusted source before presenting or entering a human-readable quantity. - Check that the balance display and transfer preparation use the same token-specific scale.
The scale also matters in more complex token-denominated fields. EIP-7390, which describes vanilla options for ERC-20 tokens, explicitly warns readers to account for token decimals.
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