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Compressed token accounts store ownership information for compressed tokens like regular token accounts with two core differences. Compressed Tokens
  • do not require an , and
  • do not require a rent-exempt balance.
Compressed token accounts are created in the following scenarios:
  1. mintTo() creates compressed token accounts for recipients.

How to Mint Compressed Tokens
  1. transfer() consumes existing accounts of the sender as input, and creates new compressed token accounts with updated balances as output for the sender and recipient(s).

Transfer Compressed Tokens