Why Do Startups Create Crypto Tokens rather than Cryptocurrency Coins?
Crypto is becoming more popular due to the rising digital economy and innovative technologies. Popular terminology in the cryptocurrency realm includes crypto coins and crypto tokens. However, some people are unsure if they are creating crypto coins or crypto tokens.
Are they the same? .. No, these two are not the same and have distinct characteristics. Let's go over some specifics regarding them.
Crypto Coins
- Has its own blockchain
- Costs a lot to make coin
- Can create their own protocol
- Need broad community adoption and support
- Need significant resources and skills to create
- Eg. Ethereum
Crypto Tokens
- Developed with the existing blockchain token standard
- Anyone can develop crypto token
- Comparatively easy to create
- Tokens may be issued during the crowdfunding process or used it treading purposes
- Cost and time efficient
- Eg. security token, utility token
I Hope now you understand the difference between crypto coins and crypto tokens.
While analyzing crypto coins vs crypto tokens, a lot of emerging startups showed their interest in crypto token creation. Because crypto tokens provide multiple numbers of advantages. Besides, startups can use crypto tokens for effective fundraising for their initial stage of business development or they can use them for trading to earn massive profits.
Utility tokens, security tokens, and non-fungible tokens are the three main types of crypto tokens that are ruling the crypto marketplace.
Indeed, the use cases of crypto tokens via blockchain technology will continue to grow.
If you are an aspiring entrepreneur reading this article, who has an interest in creating your own crypto tokens with recent excellent features, then I would recommend you to get in touch with a Reputed Crypto Token Creation Service Provider. They will give you all crypto-related solutions and create your crypto tokens on your desired token standards.
Connect with them to create your token at an affordable cost.