Crypto Academy / Season 3 / Week 8- Homework Post for Professor [@reminiscence01] Beginner's Course / Understanding Tokens by @hibbanbilal

Assalam Alaikum guys, The 8th week of Crypto Academy is going very well so far and many of the members had participated and did very well.

Q1) What do you understand by Token and give an example of at least 5 tokens and identify the blockchain it is built on. ( give at least 3 different Blockchains)

TOKENS

Because tokens are digital assets, they have value. They are a sort of cryptocurrency that is designed for projects that are already functioning on a blockchain. They don't have their own blockchain, so this is a problem. They are utilized to give the holder voting rights and allow them to participate in numerous project choices. They are distributed during the initial coin offering to raise funds.

TOKENS AND THEIR BLOCKCHAINS

Token	Blockchain
Chainlink	Ethereum
Ereripedia	EOS
Holo Token	Ethereum
BitTorrent	Tron
Swipe	Ethereum

Q2)What is the difference between a token and a coin?

Many newcomers have the impression that coins and tokens are the same things. Coins and tokens are not interchangeable, and they differ in several ways.

Token	Coin
Tokens are created on a pre-existing blockchain.	Coins are the blockchain's original currency, hence they require their own blockchain.
Because they are simple to create, several tokens can function on Blockchain.	There is just one native cryptocurrency on the blockchain.
Tokens can be used for a variety of purposes, including trade, asset storage, and currency.	Coins, on the other hand, are only used to make payments.
Tokens are reliant on the blockchain that they were formed on. It can only be utilised for the specific project for which it was designed. Tokens are based on blockchain coins.	In terms of usability, coins are self-contained. These aren't reliant on tokens in any way.

Q3)Explain the different categories token listed below and explain its features.

Utility Tokens

These tokens are created in order to raise money for the project. These are the tokens that were distributed during the Initial Coin Offering (ICO). These tokens are acquired through the exchange of other cryptocurrencies. These tokens have the ability to turn the user into a project stakeholder. Holders of utility tokens will be able to use the services that the project will provide in the future.

Security Tokens

Security tokens are a type of token that are distributed to investors as part of an initial Coin offering, giving them a stake in the company or asset.
The holder of a security token gains ownership rights in the issuing company's ecosystem. This token entitles the possessor to a portion of the company's profits. In the crypto realm, this form of token is only recently gaining popularity.

Equity Tokens

This type of token provides the owner with a share in the project or investments. Individuals who have equity tokens have control over a specific number of shares. When a corporation issues tokens in the form of stocks or equity, these tokens are referred to as equity tokens. As a result, the individual becomes one of the company's owners.

Non-fungible token (NFT)

The token is "non-fungible," as its name implies, and cannot be traded for another NFT. The uniqueness of an asset is determined by the NFT. They're scarce. They're one-of-a-kind, and no two NFTs are same. Unlike other currencies like bitcoins, it cannot be purchased in pieces; you must buy the entire token.

Q4) Make your own research and write extensively on any token you listed in question one. (Must include features of the token, the aim of the project, Use cases).

BitTorrent Token

BitTorrent (BTT) is a cryptocurrency that was introduced in early 2019 on the Tron blockchain by the BitTorrent Foundation, which was formed after BitTorrent Inc. BitTorrent Inc. is the company behind the well-known peer-to-peer file-sharing application of the same name. As a TRC-10 token, BTT was released on Binance's launchpad.

Features of BitTorrent :

Following Sun's acquisition of BitTorrent in 2018, the Singapore-based BitTorrent Foundation stated that the token would run on the Tron protocol. The Tron Foundation announced Project Atlas, a new generation of the BitTorrent file-sharing software that attempts to integrate BitTorrent tokens, shortly after the acquisition (BTT). BitTorrent debuted BitTorrent Speed in July of this year.

Aim of BitTorrent :

The unifying goal is for them to collaborate on improving and extending BitTorrent swarm longevity. The BitTorrent Speed model will be driven by the BitTorrent coin. In exchange for speedier downloads, BTT tokens can be traded.

Statistics of BitTorrent Token :

Token	Blockchain
PRICE	$0.004408
MARKET CAP	$2,893,737,966
VOLUME	$424,328,091
TOTAL SUPPLY	659.95B BTT
CIRCULATING SUPPLY	990,000,000,000

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Conclusion

It's crucial to be able to distinguish a coin from a token. This information comes in handy while making financial selections. It also aids in the decision-making process when it comes to trading strategies. Learning about the many types of tokens, their consequences, and their value can help an investor gain a significant advantage. The tokens are based on the blockchain. There are numerous tokens available, with many of them listed on coinmarketcap.com. The Free coin token has been thoroughly investigated. I'd want to express my gratitude to @reminiscence01 for this fantastic presentation, in which I gained a lot of new information.

REGARDS ,
@hibbanbilal

#reminiscence01-s3week8 #cryptoacademy #tokens #pakistan #steemexclusive #steemit #blockchain