Could Tokens Replace Cryptocurrencies?

[Abiky]

Do you think that there's a possibility in which tokens could replace traditional cryptocurrencies or altcoins we know and love today? My guess is that they could in the future because it's much easier to develop a token on an existent blockchain than starting a new cryptocurrency from scratch with its own independent blockchain.

Given how popular tokens have been lately (especially on the ETH blockchain), they could be the future of cryptocurrency as we know it. I've seen many ERC-20 tokens on ETH with PoS capabilities (such as Accelerator Network, and PoSToken) and PoW capabilities (such as 0xBitcoin). Their usages and purposes are the same as an ordinary cryptocurrency.

Nonetheless, what are your thoughts about this? Do you think tokens will eliminate the need to create an altcoin from scratch altogether? Will they replace traditional cryptocurrencies? Or will they co-exist?

[FreeAirdrops]

It's possible that many cryptos based on POW die off if people stop supporting them. It'd make sense that most cryptos will be built on top of an existing platform due to the easier setup and not needing a great level of support initially.

[Virtual-Money]

Do you think that there's a possibility in which tokens could replace traditional cryptocurrencies or altcoins we know and love today? My guess is that they could in the future because it's much easier to develop a token on an existent blockchain than starting a new cryptocurrency from scratch with its own independent blockchain.

Given how popular tokens have been lately (especially on the ETH blockchain), they could be the future of cryptocurrency as we know it. I've seen many ERC-20 tokens on ETH with PoS capabilities (such as Accelerator Network, and PoSToken) and PoW capabilities (such as 0xBitcoin). Their usages and purposes are the same as an ordinary cryptocurrency.

Nonetheless, what are your thoughts about this? Do you think tokens will eliminate the need to create an altcoin from scratch altogether? Will they replace traditional cryptocurrencies? Or will they co-exist?

its possible if many will support and invest in tokens project

[msbtrooper]

It is quite possible because nobody could say 15 years ago that cryptocurrencies will come to existence. Though it is possible but it will depend on how solid the usecase of such token is. If the token has a very good usecase which will help increase its volume, then such token can be on the verge of replacing cryptos

[marshalljp]

It is quite possible because nobody could say 15 years ago that cryptocurrencies will come to existence. Though it is possible but it will depend on how solid the usecase of such token is. If the token has a very good usecase which will help increase its volume, then such token can be on the verge of replacing cryptos

Agreed. Possible yes, though "likely" is totally speculative. It's about the problem you are trying to solve and adoption.

[patz22]

That's what we call evolution and for they should co-exist for now for development but as we move forward I believe that the others will be obsolete due to the fact that the new ones will be better in terms of flexibility in technology and other stuffs. But remember, the first problem that we are currently facing is for crypto to be globally accepted.

[bartolo]

I don't think so, despite their advantages, tokens depend on the coin in which they are based, and that is a possible handicap. For example, in the case of the ERC20 tokens, if the Ethereum blockchain is congested, tokens are seriously affected and can't be used. This is one of the reasons why there are some projects that create their own blockchain when they can. In the future i think coins and tokens will keep co-existing as they do it now.

[cichaescut]

I do not think it is realistic, because in the majority of cases, tokens are depending on their currencies, like all the NEO based tokens are depending on its price. If NEO goes down, the tokens are following every time.

[Abiky]

It's possible that many cryptos based on POW die off if people stop supporting them. It'd make sense that most cryptos will be built on top of an existing platform due to the easier setup and not needing a great level of support initially.

That's certainly true, mate. It's much easier to develop a token within an existing blockchain network. Costs will be reduced to a minimum as it's not needed to start a blockchain from scratch. The token would gain the security of the underlying blockchain network it's operating within. That's why many ICOs have preferred to launch tokens within the Ethereum network, instead of designing their own cryptocurrency from scratch. When an ERC-20 token is developed, it can easily be adopted by decentralized exchanges running on the Ethereum network, making the developer's life much easier and convenient.

However, there's a downside to this, since anyone can launch a useless token if he/she is knowledgeable in the specific programming language of a given smart contract platform. Not mention, platforms which offer a quick way to launch a token without programming experience (such as Waves and NEM), contribute towards the emergence of useless tokens. Despite this, token development has many benefits that overcome those of ordinary cryptocurrencies.

Nonetheless, I believe that tokens are the way of the future and could easily replace traditional cryptocurrencies over time. It's now possible to develop tokens which make use of PoW or even PoS for mining. Which means that tokens have endless possibilities unlike any other cryptocurrency in existence. Just my opinion

[lolgato1]

Do you think that there's a possibility in which tokens could replace traditional cryptocurrencies or altcoins we know and love today? My guess is that they could in the future because it's much easier to develop a token on an existent blockchain than starting a new cryptocurrency from scratch with its own independent blockchain.

Given how popular tokens have been lately (especially on the ETH blockchain), they could be the future of cryptocurrency as we know it. I've seen many ERC-20 tokens on ETH with PoS capabilities (such as Accelerator Network, and PoSToken) and PoW capabilities (such as 0xBitcoin). Their usages and purposes are the same as an ordinary cryptocurrency.

Nonetheless, what are your thoughts about this? Do you think tokens will eliminate the need to create an altcoin from scratch altogether? Will they replace traditional cryptocurrencies? Or will they co-exist?

The only one thing what is better when you use ERC-20 tokens is that it is really easy to use it, you dont need to have hundreds of diffrent wallets.

[wojteks102]

I don't think tokens are going to replace cryptocurrencies. Yes, they will probably take a big portion of market cap but many of them are going to have their mainnet and then they're changed to cryptocurrencies themselves.

[Abiky]

The only one thing what is better when you use ERC-20 tokens is that it is really easy to use it, you dont need to have hundreds of diffrent wallets.

Agree. ERC-20 tokens have a greater advantage over most cryptocurrencies with their own independent blockchain. They can be used on any ERC-20 compatible wallet, which eliminates the need to have several wallets for different tokens. With a single wallet, you'll be able to interact with an specific ERC-20 token on the fly. That's why, I believe that tokens have a greater chance of replacing cryptocurrencies over the long term.

I don't think tokens are going to replace cryptocurrencies. Yes, they will probably take a big portion of market cap but many of them are going to have their mainnet and then they're changed to cryptocurrencies themselves.

That's certainly true, mate. Many tokens have switched to their own independent blockchains after some time. While this helps them gain better throughput and additional features, the downside lies on the fact that the developer would need to start coding a blockchain from scratch. Even with copying code from another existent blockchain (like a fork), some modifications are needed to differenciate the new blockchain from the original. As such, this would require some knowledge related to how blockchain works specifically.

On the other hand, creating a token only requires you to have a certain level of knowledge of the specific blockchain's programming language. This is much easier, IMO, as you don't need to understand how a blockchain works to implement your own token for the masses to use. Of course, the developer has the option to decide whenever he/she want to deploy a token within an existent blockchain or an independent cryptocurrency.

However, given how popular tokens have become lately, there's a high possibility that they could replace cryptocurrencies in the future. Their success will depend on the specific blockchain they've been launched. If that blockchain is scalable for the masses, then people would use that token at a large scale without hassles. But if the token's underlying blockchain is slow and expensive (like the case of Ethereum), then the best bet for the token to remain useful would be to migrate to its own blockchain.

Nonetheless, only time will tell us whenever tokens have real uses for the mainstream world, or simply cryptocurrencies would take over. Just my opinion