What are crypto tokens?

[btwsm]

Hello,

I purchased some ether recently, and today saw a post about investing in crypto TOKENS coins.  This term I have not heard before (am newb).  Can someone please explain how "Tokens" are different than "currency/coins", how many are there? and what is a best investment?

[Jhanzo]

It's cryptocurrency.  Most(all?) cryptocurrencies are digital currency that uses a peer-to-peer system called blockchain.  There's actually nothing that makes them similar to coins except the names and logos.

How many are there?  Way too many to count.
Best investment?  I'd say bitcoin if you're going long.

[btwsm]

It's cryptocurrency.  Most(all?) cryptocurrencies are digital currency that uses a peer-to-peer system called blockchain.  There's actually nothing that makes them similar to coins except the names and logos.

How many are there?  Way too many to count.
Best investment?  I'd say bitcoin if you're going long.

  so what are DAO tokens? are they also currency?

[WiseOldSage]

Hello,

I purchased some ether recently, and today saw a post about investing in crypto coins.  This term I have not heard before (am newb).  Can someone please explain how "Tokens" are different than "currency/coins", how many are there? and what is a best investment?

Tokens are coins. One coin (for example 1 Ether) is one token of the respective network.

[odolvlobo]

Hello,

I purchased some ether recently, and today saw a post about investing in crypto TOKENS coins.  This term I have not heard before (am newb).  Can someone please explain how "Tokens" are different than "currency/coins", how many are there? and what is a best investment?

There is no strict definition, but generally the word "token" is used for something that can have value, but is not generally used as money. Typically, a token doesn't have its own block chain and is hosted on another currency's block chain.

Also, a token may represent the value of something else and not have its own value.

For example, ether may be considered as a currency, but an ethereum contract, such as DAO, will have a token.

[mikehersh2]

Cryptocurrency*
And cryptocurrencies are just different types online currency such as bitcoin. Bitcoin is just the one on top right now. However, you can trade certain cryptocurrencies for others.

[Kakmakr]

If I can simplify without linking it directly to Crypto currencies, I would use the following example : The kids entertainment venues do not use fiat coins in the coin operated games anymore, they switched to tokens. It is still a coin, but it is not minted by the government. It still reflects a certain value.

The Bitcoin token is a digital version of that and even other Alt coins and Ether as you mentioned. They are used to represent a currency value. The Bitcoin token can also be used to represent something else, other than a currency to transfer value. ^smile^

[Jhanzo]

It's cryptocurrency.  Most(all?) cryptocurrencies are digital currency that uses a peer-to-peer system called blockchain.  There's actually nothing that makes them similar to coins except the names and logos.

How many are there?  Way too many to count.
Best investment?  I'd say bitcoin if you're going long.

  so what are DAO tokens? are they also currency?

I'm not very familiar with DAO but from what I read they're more like a project that was supposed to work with ETH (a cryptocurrency).