$BTC # The difference between the terms Coins and Tokens

The terms Coins and Tokens are often confused.

The main difference between a digital currency and a digital token is that digital currencies have their own blockchain, while tokens rely on existing blockchains. By minting tokens, the smart contract on the blockchain creates the tokens and defines the rules regarding their supply and usage.

Coins are often used as a medium of exchange, while Tokens have various uses such as enabling decentralized applications and voting rights$BTC $ETH