Altcoins Talks - Cryptocurrency Forum
Crypto Discussion Forum => Cryptocurrency discussions => Topic started by: Rony24h7 on October 09, 2018, 05:37:42 PM
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I can claim with 100% of surety that most of you, either new or intermediate ones, hold a confusion between a coin and a token.
I will try my best to describe what kind of differences are there between a coin and a token.
Surely, all of you know about coinmarketcap sites. There may not be found someone who does not know about coinmarket cap whereas he/she works for crypto. When you log into any Crypto, you must see one section is for coin and another for token. However, have you ever tried to know what differences there are between a coin and a token?
Firstly, I would like to tell you about coins. Coin is the best; just it is! Token came later; coin did first. Bitcoin, Etharium, Neo, all of these are coins. For a clear idea, now, let's discuss about blockchain before we will start for what a coin is.
You all must have heard about blockchain. It is a decentralized system. In short, it can be called blockchain decentralized open ledger and distributor ledger as well. It means the control is under many hands but not only a hand rather many owns the system. Nothing changes by only one hand. None can do anything until 51% will be the same.
There are various algorithms created here. For instance, you have to go to the market from your home. Now it is seen that, to go to the market, there are many streets- one is straight, another is backward and the other one is curved with a long length. Now you have to go there but the ways are many. Similarly, blockchain is a decentralized system with various paths to go through. Therefore, Bitcoin created their own way, Etharium did their own and Neo did so. However, they have to go to the same destination. Now coin's, blockchain's and all the technologies' ways are their own ones.
If we talk about a token, they must follow the way above. Suppose, Binance token, ODEM, ALT, ETA whatever token it is, it will hold a particular blockchain and try to step forward with a way. Today Etharium is mostly used. What most of the users do is- they make their platforms using Etharium, and they will make their own tokens with the platforms used. It can be said to be a coin as well. Now all with the blockchain of the coin is own. On the other hand, coins are producing their own coins by making the blockchain of the coins as their base. Let's describe it more easily with examples- See Bikroy.com. What they do is to give the users a platform and invite the users to either sell or buy or do whatever they want. Similarly, the coins offer a platform to the tokens that they are incited to come to sell tokens and, in exchange of selling, should give them some fees. Moreover, the tokens needn't to create any personal blockchain with difficulties. Just they want to say, "Walk in our own ways and give us credit."
To conclude, if I want to say shortly, that is token which creates own platform by using one's blockchain. On the contrary, a coin is what makes own blockchain system and ways to go to its destination.
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If you’re new to the world of cryptocurrency, you’ll no doubt have found that there’s a whole lot of jargon and technical terminology to try and wrap your head around. Two terms that can be the source of much confusion are “coin” and “token”. Both of these words can be used to describe units of blockchain value and there are plenty of similarities between the two.
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if I prefer to choose coin, bro because coin has already felt like a tokens. but if the Token is still in the process of heading for coin.
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Coins versus tokens, both sides is very important and effective in cryptocurrency systems, some people choose coins and some people choose tokens....
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Thanks for your explanation. It is nice topic for beginners although you could briefly explain difference between coins and tokens. But gave you a karma owing to your efforts.
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Thanks for your explanation. It is nice topic for beginners although you could briefly explain difference between coins and tokens. But gave you a karma owing to your efforts.
I'm very glad for your comments. Plus, much happier you gave me a Karma. Thank you very much for your generosity. My main goal is to share experiences with everyone. In addition, give proper information.