Create a healthy token economy and give it purpose through smart contracts. Our blockchain architects will help you to create value for users.
Crypto tokens are programmable digital units of value that run on a distributed ledger protocol such as a blockchain. They function based on smart contracts and allow token holders access rights.
Coins and tokens differ by their structure. Tokens operate on an existing blockchain, which can be public or private. Coins are native cryptocurrencies of a particular platform.
The primary purpose of cryptocurrency tokens is to exchange value and deliver a structure somehow similar to money in the traditional economic system but decentralized. So, these units have a functional value depending on their use in the particular network. They also have a speculative value connected with the impact of trading activity on the exchanges. There are various types of digital assets: utility tokens, security tokens, governance tokens, synthetic tokens, and much more.
While native/protocol tokens are built on top of a blockchain layer, app tokens are built on top of a smart contract layer.
These tokens are native to DApps. Designing an application token, the creator needs to decide which infrastructure and token standards to use.
Being powered by blockchain, the token's privacy, scalability, decentralization, and security depend on the underlying infrastructure.
They are self-controlled systems like the bitcoin network.
A token economy is a science involved in studying and designing economic systems based on blockchain technology. It decides how the token will be created, what value it will have, how it will be managed, how data will be managed and stored, what supply volume it will have, etc.
While in the centralized financial system, financial authorities are the ones who determine the values of currencies, in a token economy, anyone can define a form of value by creating a token on a blockchain.
Building successful token economics means delivering value for network participants as well as for business. For this purpose, it is necessary to decide what is the goal of the token and give it a purpose.
Deep industry knowledge is a must in achieving success in the crypto space. It's impossible to change the structure of the token once it's created. So, the development process is critical for the future of the projects.
Decentralization allows a great variety of choices, from creating tokens that represent commodities, art, or even real estate.