Hello steemins,

Hope so well for all of you. Today my diary game is related to Tokens. This is very important and valuable post for all of users. I have tried my best to clear the topic in all respects.

Topic: Understanding Token:

Understanding Token:

Token plays very crucial role in the field of crypto world. This field is dominated by the Token system. Token is defined as “This provides the service or utility in the environment of block chain system. They are used for economic purpose. Tokens represent the inverter’s share in any company. “Token gives the power of voter to appreciate the work. Token may be traded by the holder in order to make profit. That’s why token are used for economic purpose too.

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Tokens can also be defined as

“Tokens are known as digital assets running on existing blockchain system. This means that’s token do not need new plat form but needs platform which is already in financial form in the globalized crypto world.”

Tokens can be defined as digital assets running on existing block chain this simply means tokens are generated on platforms that are already in existence and they allow new cryptocurrency to be created and also acquire their prices as well.
When someone wants to launched the new technology in the crypto market then creation of a token is very easy way as compared to the creation of new block chain because it requires a lot of time. Creation of table is easy because it can be done from an already established platform such as Ethereum network.

Examples of token:

Following are types of tokens in the block chain system

• Uniswap
• BitTorrent
• Thorchain
• KARMA
• WINKLink
• Currency token
• Utility Tokens
• Reward tokens
• Security tokens
• Assets token

What is the difference between a token and a coin?

These both terms are really confusing with each other’s. Many peoples are confused about these terms. Most of the people considered them the same, that both have same meanings because both can be traded due to the reason having digital assess value. But, actually coins are different from tokens in following senses:

• “Tokens are known as digital assets running on existing block chain system. This means that’s token do not need new plat form but needs platform which is already in financial form in the globalized crypto world. “such as Ethereum”;
  While the coin have been the native to their block chain. Coin gives the payment services within the block chain system. Such as Ether for Ethereum blockchain and DOT for the PolkaDot blockchain are examples of coin.

• Coins can be used for purchasing tokens, while tokens cannot be used for purchasing the coins.

• Creation of tokens is easier than creation of coin. Because in creation f token it does not need special mathematical or other long term expressions.

Categories of Tokens:

Utility tokens

In the globalized world. Building of new project may be cost; so, investors want to find the easy way in order to push the project on high morale by fund raising programs.Such as , this can be done by depositing Bitcoin, Ethereum, or USDT to receive the token.

Utility token is a type of token that is in digital form and are used for fund raising in the crypto world and later these can be used to purchase the assess or goods

Security tokens

Security tokens are type of token which provide security to the investors, Support the assets security and provide good opportunities of finance by giving security. Security tokens are usually the provision of digital assets in the environment of block chain system in order to regulate the security.

Equity tokens

It is the type of security token which contains the same function as of traditional share. A person having equity tokens as the ownership rights in the investment. Equity tokens tells that how much percentage owner has in the company overall profit. As with any stock purchase, holders literally own their given percentage of the total enterprise

Uniswap token.

I am going to discuss about Uniswap token.

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Uniswap:

Uniswap is a decentralized exchange based on Ethereum that give permission to swap ERC20T okens. It was launched in global world on Setember,2020.A new feature of Uniswap was launched later in May,2021 which was consist of some new features and applications.

Uniswap Token

The Unisap token plays a major role to govern the Uniswap platform, permitting its users voting on changes in relation to its policies.

Uniswap is an example of DeFi ecosystem, or DEX.DEXs aim is to solve the all problems related to centralized counterparts. It saves from risks of being hacked. It makes management very effective and saves from mismanagement.

Uniswap Token and charted values:

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Features:

It gives access to all users to different types of crypto currencies which ones like and want to trade according to his own choice.
People who borrowed from the platform can rotate among variable and also fixed interest rates.

Working of Uniswap:

Through Uniswap one may purchase ether and millions of ERC2 tokens. That token can be purchased which are supported by platform. It’s compulsory that you need ether in account for transection fees. Best trading can be possible through uniswap tokens.

Aim of Uniswap:

The main objective of this application is to exchange the different types of crypto currencies in crypto world, because it is a decentralized finance protocol due to which it is possible by only uniwap. By using the contracts it facilitates the automatics transections among crypto currency token on Ethereum block chain.

CONCLUSION

Tokens contains very crucial role in the field of block chain system. Traders who want to give best time to trading in crypto world must be familiar with all types of tokens, its features and from all its applications. One must be aware from the term coin and its difference from the token.

Because in case of any wrong decision due to negligence ones have to pay o lot of losses.Specially for beginners the knowledge of token is very objective, This lecture is very helpful for all new comers who want to do work on block chain. Tokens posses the very valuable worth in the competitive world because the upcoming life is going to move towards online business. And, in this sense the tokens contains the worth.

Link of my achievement 1:

https://steemit.com/hive-172186/@fiaznawaz/achievement-01-introducing-myself-fiaznawaz-may-10-2021

Link of my achievement 4:

https://steemit.com/hive-172186/@fiaznawaz/achievement-04-applying-markdown-fiaznawaz-july-25-2021

Author
@fiaznawaz