diff --git a/Makefile b/Makefile
index 519ecdb8..dcb044d5 100644
--- a/Makefile
+++ b/Makefile
@@ -4,6 +4,7 @@ PKGS=$(shell go list ./... | grep -v "/vendor/")
 BLUE = \033[1;34m
 GREEN = \033[1;32m
 COLOR_END = \033[0;39m
+BINDING_OUTPUT_DIR=$(realpath ./internal/bindings)
 
 build: build-frontend build-backend
 
@@ -20,6 +21,15 @@ build-frontend: # Builds the frontned application
 run: # Runs the application, use `make run FLAGS="--help"`
 	@./bin/${APP_NAME} ${FLAGS}
 
+generate-binding:
+	@echo "$(BLUE)Generating abi file... $(COLOR_END)"
+	solc --abi $(ERC20_TOKEN_FILE_PATH) -o $(BINDING_OUTPUT_DIR)
+	@echo "$(GREEN)ABI file generated successfully$(COLOR_END)"
+	@echo "$(BLUE)Generating go binding for the ERC20 token smart contarct... $(COLOR_END)"
+	@echo "$(shell pwd)"
+	abigen --abi=$(shell find $(BINDING_OUTPUT_DIR) -type f -name '*.abi') --pkg=bindings --out=$(BINDING_OUTPUT_DIR)/erc20.go
+	@echo "$(GREEN)Go binding generated successfully$(COLOR_END)"
+
 test: # Runs tests
 	@echo "Test packages"
 	@go test -race -shuffle=on -coverprofile=coverage.out -cover $(PKGS)