What Is Token? Meaning & Example
Definition
A token is a digital asset created on an existing blockchain, often using smart contracts. Tokens can represent currencies, voting rights, access to a service or other assets.
Related terms
An altcoin is any cryptocurrency other than Bitcoin. Altcoins range from large, established projects to tiny, highly speculative tokens.
Smart ContractA smart contract is a program stored on a blockchain that runs automatically when set conditions are met. It powers DeFi, NFTs and many other applications.
EthereumEthereum is a blockchain platform that runs smart contracts and powers many decentralized applications. Its native coin is used to pay transaction fees.
What is Token?
A token is a digital asset created on an existing blockchain, often using smart contracts. Tokens can represent currencies, voting rights, access to a service or other assets.
Can you give an example of Token?
A project might issue a token on Ethereum that holders use to vote on protocol changes.