Cryptocurrency - Digital Token I How similar or different are they? -

#cryptocurrency, commonly known as #crypto and #digital tokens AKA #token, are two #digital assets we frequently use in our vocabulary. How similar or different are they? Let’s take a look!

There are two types of digital assets: cryptocurrencies and digital tokens, which differ in their creation and usage.

Cryptocurrency (or short for crypto) is an electronic system or network which is created for the purpose of being a medium of exchange, including the exchange between digital assets like Bitcoin (BTC), Ethereum (ETH), and Tether (USDT).

A digital token (or short for the token) is a digital asset that does not have its own blockchain. It is a token for a specific purpose used within their ecosystem or project. We can divide tokens into two types:

1) Investment tokens – Able to provide revenue sharing and investment profits.

2) Utility tokens – Able to be used to determine the right to receive specific goods or services. For example, BTZ is Bitazza’s utility token.

Disclaimer: Cryptocurrency and Digital tokens are highly risky; investors may lose all investment money. Investors should study information carefully and make investments according to their own risk profile.

*Source: Summary of the Emergency Decree on Digital Asset Businesses B.E. 2561

https://www.sec.or.th/TH/Documents/DigitalAsset/enactment_digital_2561_summary_en.pdf

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