Security Token, Equity Token, or Utility Token
- Security Tokens. Most tokens issued by Initial Coin Offerings (ICO) are security tokens. This is because the buyer invests their money in the ICO expecting a profit.
- Equity Tokens. It represents some stock or equity in the company that issues it.
- Utility Tokens are also known as application tokens. They are used to give people access to either a product or service. They are rare as most tokens are expected to gain in value.
- Payment Tokens only serves to pay for goods and services.
12
198 reads
CURATED FROM
IDEAS CURATED BY
People who are new to cryptocurrency often confuse the term "token" and "coin". This guide defines the two terms and provides some examples for a better understanding.
“
The idea is part of this collection:
Learn more about crypto with this collection
Understanding the basics of cryptocurrency
How to store cryptocurrency securely
Risks and benefits of investing in cryptocurrency
Related collections
Read & Learn
20x Faster
without
deepstash
with
deepstash
with
deepstash
Personalized microlearning
—
100+ Learning Journeys
—
Access to 200,000+ ideas
—
Access to the mobile app
—
Unlimited idea saving
—
—
Unlimited history
—
—
Unlimited listening to ideas
—
—
Downloading & offline access
—
—
Supercharge your mind with one idea per day
Enter your email and spend 1 minute every day to learn something new.
I agree to receive email updates