Cryptocurrency Coins vs Tokens: Key Differences Explained [2023]
By A Mystery Man Writer
Last updated 19 May 2024
Crypto coins and tokens have different origins, use cases, and technological underpinnings. Visit the learn more about the differences between coins and tokens.
The Important Bits The terms “coin” and “token” are often used interchangeably in crypto, but they are not the same. Coins function as a form of money, while tokens can be used for a variety of purposes. A coin is native to its Layer-1 blockchain, whereas tokens are created on top of existing chains. At first glance, it may seem as though all cryptocurrencies are essentially the same. A crypto token is a crypto token, right? Well, not exactly. Coins and tokens have different origins, use cas
The Important Bits The terms “coin” and “token” are often used interchangeably in crypto, but they are not the same. Coins function as a form of money, while tokens can be used for a variety of purposes. A coin is native to its Layer-1 blockchain, whereas tokens are created on top of existing chains. At first glance, it may seem as though all cryptocurrencies are essentially the same. A crypto token is a crypto token, right? Well, not exactly. Coins and tokens have different origins, use cas
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