Library · Crypto, word by word · The basics
What is a token?
A token is a digital asset created by a smart contract (a program) on an existing blockchain, rather than being the chain's own native coin. Tokens can stand for many things: points in a game, a share in a project, a dollar balance or an ounce of gold.
What it means for you
Anyone can deploy a token contract, so a token's name and ticker prove nothing; two different tokens can share the same name. Check the contract address, and expect that moving a token still costs a fee in the chain's native coin.
Sources: ethereum.org: ERC-20 token standard, ethereum.org: Glossary · checked 4 October 2026
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