TOKENS are digital fiat defined by a sensible contract or project and built on a particular blockchain. Tokens are created on an existing blockchain.
Different types of tokens
Crypto have different type of token is given below:
Utility Tokens
Security Tokens
Utility Tokens
The other word for utility token is termed consumer tokens. The Utility token offers certain access to a product, service run or operated by the token. You can gain access by buying the token and may redeem it for an outlined access value to the product or service.
You gain the right to product or service to the same value of token but not ownership. For that, you can access the product or service at discounted fees or at no cost since you hold the tokens.
Security Tokens
Security Tokens are considered an investment contract. Securitized cryptocurrencies that derive value from an external asset which will be traded under a financial regulation as security. Therefore, they are used for securitized tokenization of properties, stocks, real-estates, bonds, property, and other assets.
Security tokens represent a stake, share in stock or equity, voting rights, and right to the dividend within the asset represented. Owners receive part of the profit from the issuers’ or managerial actions and decisions.
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