BEP-2 is the abbreviation commonly used for Binance Chain Evaluation Proposal 2. It is the new technical standard adopted by Binance Chain to create and use new tokens. Every token needs to abide by a certain set of rules and technical specifications to properly function in the Binance Chain ecosystem.
ERC-20 is a similar token standard deployed in the Ethereum Blockchain. The BEP-2 standard on the Binance Chain heavily relies upon the Tendermint BFT consensus and delegated proof-of-stake (DPoS) as the dedicated application layer.
Each BEP-2 must come with its own source address, token name. symbol (identifier), total supply as well as its ability to mint. Traders can also buy/trade BEP-2 tokens on Binance DEX, a decentralized exchange that runs on top of the Binance Chain.