Types of tokens
With the rapid development of blockchain technology and the related applications, there has been a tremendous increase in the development of various types of token and relevant ecosystems. First, let's clarify the difference between a coin and token. Is a Bitcoin a token? Or are tokens and coins the same thing?
A coin is a native token of a blockchain. It is the default cryptocurrency of the blockchain on which it runs. Common examples of such a token are Bitcoin and ether. Both of these tokens or coins have their own native blockchain on which they run: the Bitcoin blockchain and the Ethereum blockchain.
On the other hand, a token is a representation of an asset that runs on top of a blockchain. For example, Ethereum not only has its own ether cryptocurrency as a native token (or coin) but also has thousands of other tokens that are built on top of Ethereum for different applications. Thanks to its support of smart contracts, Ethereum has become a platform...