Understanding coins & tokens

Tokens are different from Coins, but it's pretty easy to understand the difference.

  • Coin: A coin is a digital asset that is native to its own blockchain. Examples include Bitcoin (BTC) on the Bitcoin blockchain, and Ether (ETH) on the Ethereum blockchain.

  • Token: A token is a type of digital asset that is built on top of another blockchain. Tokens can represent a wide range of assets and values. For example, ERC-20 and ERC-721 tokens are built on the Ethereum blockchain.

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