Bitcoin Forum
June 24, 2024, 02:52:16 AM *
News: Voting for pizza day contest
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: Different between coin and token?Things you should know before invest in ICO  (Read 133 times)
mightwalker (OP)
Jr. Member
*
Offline Offline

Activity: 266
Merit: 7


View Profile WWW
August 21, 2018, 12:59:26 PM
 #1

I see people always confuse about coin and token. So what are these?

Basically, a coin has it own blockchain, we can call it “native currency”. There are 2 kinds of the coin:

  • Coins which were built based on an original codebase coin such as Dogecoin, Litecoin,… which based on Bitcoin’s codebase
  • Coins which were built on independent blockchain such as Ethereum, ICON,…

Different from coin, token was built on an existence blockchain. There are also 2 kinds of token:

  • Utility token which is used for accessing products or services such as Pundi X is used as a payment in their retail system.
  • A security token is considered as an investment and complies with SEC such as Polymath is a blockchain protocol that facilitates the issuance and distribution of legally compliant token-based securities.

In some cases, a token can change to coin. This phase we call it “swap” to main-net: EOS and Vechain now has their own blockchain and no longer run on Ethereum Blockchain

imusify.com ❰        Award winning blockchain music platform        ❱ imusify.com
Pages: [1]
  Print  
 
Jump to:  

Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!