What is the difference between a coin and a token?

What's the difference between a coin and a token?

A coin is a cryptocurrency that can operate independently. For example, Bitcoin (BTC) and Ethereum (ETH) are coins.

A token is a digital unit designed with utility in mind, providing access and use of a larger cryptoeconomic system. It does not have store of value on its own, but are made so that software can be developed around it. For example, Tether (USDT) is a token that operates on the Omni platform.

To learn more about cryptocurrency terms, check out our Glossary page.

Beginner to cryptocurrency? Check out our An Introduction to the World of Cryptocurrency guide.