Tokens And Crypto Currencies
Tokens and cryptocurrencies are both digital assets that exist on blockchain networks, but they have distinct roles and functions within the blockchain ecosystem. Here’s a breakdown of each:
Cryptocurrencies
Cryptocurrencies are a type of digital currency that use cryptographic techniques to secure transactions, control the creation of new units, and verify the transfer of assets. Cryptocurrencies operate independently of a central authority (like a government or bank) and rely on decentralized blockchain technology.
Tokens
Tokens are digital assets created and issued on existing blockchain platforms, most commonly on Ethereum, through smart contracts. Tokens can represent various types of assets, including rights, ownership, services, and value.
