A token is a digital asset created on an existing blockchain platform like Ethereum, rather than having its own independent blockchain. Tokens use the underlying blockchain infrastructure.
Token vs Coin: Coins have their own blockchain (BTC, ETH), tokens are built on existing blockchains (USDT on Ethereum), and tokens follow standards like ERC-20, BEP-20.
Types of tokens include utility tokens for access to services, governance tokens for voting rights, security tokens representing ownership, and NFTs for unique items.
Token standards: ERC-20 (fungible tokens on Ethereum), ERC-721 (NFTs), ERC-1155 (multi-token), BEP-20 (BNB Chain), and SPL (Solana).