How are Coins and Tokens connected?
📌 1. Coin is the native platform
Example:
Ethereum (ETH) is a Coin because it has its own blockchain called the Ethereum Blockchain.
This Coin is like a large urban area where the Tokens “live”.
📌 2. Token is a tenant
Many Tokens are created and operate on the Ethereum blockchain, such as:
USDT (ERC-20) → Token representing the US dollar
SHIBA → Meme coin
UNI → Token of the Uniswap exchange
LINK → Token of the Chainlink project
➡ These tokens do not have their own blockchain.
➡ They use Ethereum as their place of residence and operation.
📌 3. How do Coins and Tokens connect?
→ When you transfer a Token (for example, USDT), you still have to pay fees in ETH because it is “running on Ethereum”.
📦 Similar to:
Ethereum (ETH) = Landlord / urban area
Token (USDT, SHIBA...) = Tenant
ETH (coin) = The money you pay to open the door, turn on the lights, use electricity
🧠 In summary:
Coin is the foundation, Token is the application running on it.
Without Coin → Token cannot operate.