Topic: A 'coin' and a 'token': know the difference (Read 162 times)
thanks for this explanation. i have been searching for the difference between the two. i always refer all altcoins as tokens and only bitcoin as coin. thanks for the infor. it was a summary of what a token and coin is. some are still confused on the difference between altcoins and bitcoin.
This is a common mistake made by even crypto exchanges.
A coin is a cryptocurrency that has its own blockchain while a token is a cryptocurrency built on the blockchain of a coin. For example, ethereum is a coin while the cryptocurrencies built on its blockchain are tokens.
Feel free to drop other differences. Thanks
A coin is a cryptocurrency that has its own blockchain while a token is a cryptocurrency built on the blockchain of a coin. For example, ethereum is a coin while the cryptocurrencies built on its blockchain are tokens.
Feel free to drop other differences. Thanks
The difference in the definition you have made is very correct. People just make the mistake of using the interchangeably at times because to some people, they are the same. Thanks alot for bringing clarity to what the two terms actually mean
I thought it was pretty obvious that coins have their own blockchain and tokens not. But however, a lot of coins were created as tokens first, like any ERC-20, and after some successful rounds of fundraising and listing, have migrated to their own chains.
This is a common mistake made by even crypto exchanges.
A coin is a cryptocurrency that has its own blockchain while a token is a cryptocurrency built on the blockchain of a coin. For example, ethereum is a coin while the cryptocurrencies built on its blockchain are tokens.
Feel free to drop other differences. Thanks
A coin is a cryptocurrency that has its own blockchain while a token is a cryptocurrency built on the blockchain of a coin. For example, ethereum is a coin while the cryptocurrencies built on its blockchain are tokens.
Feel free to drop other differences. Thanks
simple words, coins run on its own chain, but tokens not
tokens created in other blockchain platform, for example ethereum platfom, waves platform and many more
I think its not important to debate the difference between a coin or token since both are use in one purpose and we called it a cryptocurrency. In the other side anyone can assume how to be called it regarding its personal knowledge about it. the fact is no matter what name we called it the truth remains both still called a cryptocurrency wethere its a token or a coin.
it is because the word "token" means any item other than physical coins and paper money. for example those small "disks" that you see in casinos are also called "tokens" which act as currency within that casino space. so people sometimes refer to any cryptocurrency as "token" too.
and if you want to get too technical then ethereum is not a "coin" or a cryptocurrency' ethereum is a platform which itself has a token called "ether" or in its short form "ETH" that is used as the fuel for smart contracts.
and if you want to get too technical then ethereum is not a "coin" or a cryptocurrency' ethereum is a platform which itself has a token called "ether" or in its short form "ETH" that is used as the fuel for smart contracts.
The casino chips are considered tokens if they are only used to allow you to gain access to the casino's services, but if they become widely accepted as a medium of exchange (e.g. if you can buy bread using casino chips at any convenience store), then they have evolved into a currency.
Well, I suppose one possible way to make a distinction will be to determine the stated main purpose of the "token". If the primary purpose is a medium of exchange (e.g. BTC, LTC, DOGE, GRC, etc.) then it should be considered a cryptocurrency since it behaves like money. However, if the primary purpose is otherwise, such as granting access to a network or other resources (e.g. ETH, NEO, BTT, etc.), then it should be considered as a token.
Of course, this is just a simplification and some tokens may evolve over time to switch purpose.
Of course, this is just a simplification and some tokens may evolve over time to switch purpose.
You can distinguish Coin and token easily if you understand what they are. Coin created with its own Blockchain platform and ecosystem is not dependent on any other platform. Tokens are created based on Coin's platform and ecosystem. All Altcoin created on the Ethereim platform is considered a Token. I think you know how to distinguish between coins and Token.
it is because the word "token" means any item other than physical coins and paper money. for example those small "disks" that you see in casinos are also called "tokens" which act as currency within that casino space. so people sometimes refer to any cryptocurrency as "token" too.
and if you want to get too technical then ethereum is not a "coin" or a cryptocurrency' ethereum is a platform which itself has a token called "ether" or in its short form "ETH" that is used as the fuel for smart contracts.
and if you want to get too technical then ethereum is not a "coin" or a cryptocurrency' ethereum is a platform which itself has a token called "ether" or in its short form "ETH" that is used as the fuel for smart contracts.
I think the definitions at the link below are quite good:
https://www.investopedia.com/terms/c/crypto-token.asp
https://www.investopedia.com/terms/c/crypto-token.asp
This is a common mistake made by even crypto exchanges.
A coin is a cryptocurrency that has its own blockchain while a token is a cryptocurrency built on the blockchain of a coin. For example, ethereum is a coin while the cryptocurrencies built on its blockchain are tokens.
Feel free to drop other differences. Thanks
A coin is a cryptocurrency that has its own blockchain while a token is a cryptocurrency built on the blockchain of a coin. For example, ethereum is a coin while the cryptocurrencies built on its blockchain are tokens.
Feel free to drop other differences. Thanks
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