The cryptocurrency world can be pretty tricky for those who have just started to explore it. The first and most important thing you must know is what crypto coins and tokens are. This basic knowledge will help you a lot.
Aren’t they the same thing?
Both are valuable digital assets. They represent the process of payments. However, the difference between them matters.
Coins are similar to fiat currency and have their own blockchain. In contrast, tokens operate on other crypto coins’ blockchains.
Coin — the Leading Blockchain Player!
As mentioned before, the coin is a crypto asset that operates on its blockchain. You’ve probably heard about Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC). They are the most known examples of crypto coins.
Types of coins
- Stablecoins. As you can understand from the name, those coins are less volatile than other cryptos. Their value is tethered to the fiat currency, such as the US dollar at $1.
Such coins as USDT, BUSD, and DAI are stable. It means that, for example, 1 USDT equals $1.
- Altcoins — are, ultimately, all the cryptocurrencies other than Bitcoin. They are designed for their own blockchains and have their purposes of using, for example, to pay transaction fees.
The most popular altcoins are Ethereum (ETH), Litecoin (LTC), Avalanche (AVAX) etc.
Biswap is always concerned about the knowledge of its users! That’s why we suggest you read our article about these types of coins:
All crypto coin transactions are handled by blockchain.
💡Interesting fact: Bitcoin has recently become an official currency of El Salvador and the Central African Republic alongside the US dollar.
How to Earn & Use Coins?
- Peer-to-Peer transactions
- Purchase merchandise and services from many major corporations, such as Amazon and Tesla
- Hold for the future — leave coins on your crypto wallet or stake them in a pool for some time. Then you can withdraw them when their price rises.
- Mining through different methods (Proof-of-work, proof-of-stake)
Coins’ Main Aspects!
Crypto coins can be used to pay for services like Microsoft or to purchase something. You can make transactions quickly and without traditional institutions.
Let’s sum up what coins are about:
- Have their own blockchain
- Are the analogue of fiat currency
- There are two types of coins: stablecoins & altcoins
- You can earn and use them in different ways
What about Tokens?
Tokens operate on other crypto coins’ blockchains. For example, the most known tokens on the BNB Chain are BSW, UNI, CAKE, SUSHI etc.
- Work on other cryptos’ blockchains
- Have various ways of usage, depending on the type of token
Types of tokens & usage!
Every company can create its own token using the existing blockchain. Depending on the type of token, they can be used in various ways. You can swap and farm them, stake in pools, and take part in different events, such as airdrops.
- Platform Tokens use the infrastructure of blockchain to fulfill the various purposes of DApps.
- Security Tokens represent legal ownership of a physical or digital asset.
- Transactional tokens serve as units of account and are exchanged for goods and services.
- Utility tokens are integrated into an existing protocol and used to access the services of that protocol.
- Governance tokens fuel blockchain-based voting systems. Users can make decisions and vote on new proposals.
💸 NFT (non-fungible token) is a crypto token that represents a digital item. It can be a picture, a song or any piece of art you can imagine. Those tokens can be swapped as each of them has its values.
How to Earn Tokens?
In the DeFi world, there are many options for multiplying your tokens. Creators and owners of tokens produce unique special utilities for increasing your assets.
Some of them are:
- Providing Liquidity
- Participating in events
- Purchasing and trading NFTs
And many other things.
CoinMarketCap — your instrument to analyze
CoinMarketCap is the biggest platform in the crypto world where users can track the prices of cryptocurrencies. There you can find all the detailed information about any token or coin and its platform and analyze it.
TOP Crypto on CoinMarketCap
That’s what the ranking of TOP crypto on CoinMarketCap looks like.
Look at the TOP 10 crypto on the 27th of July 2022:
- Bitcoin (BTC)
- Ethereum (ETH)
- Tether (USDT)
- USD Coin (USDC)
- Binance USD (BUSD)
- Cardano (ADA)
- Solana (SOL)
- Dogecoin (DOGE)
Biswap suggests you visit CoinMarketCap to search for more details about those cryptos and analyze them.
How to Use Coins & Tokens on Biswap?
First of all, a million-dollar question for you. What is BSW: a coin or a token?
Take a second to answer this question to move on with the article.
If your answer is “token”, then you got it!
Want to know more about BSW? Check the link below:
There are plenty of cool features you can do with BSW and other cryptos on Biswap!
Swap with the Lowest Fee
This is why making exchanges on Biswap is so great:
- 0.1% — the lowest exchange fee
- Up to 70% fee return
- Quick & Safe transactions
Find out how to swap on Biswap!
Provide Liquidity to Farms with TOP tokens/coins
Multiply your crypto with a little effort and huge APYs with Biswap Farms.
Once you provide liquidity to a certain farming pair, you will get LP tokens. Stake them to enable this farm. Now you can earn BSW and get a 50% fee reward as a liquidity provider!
Check out these amazing offers (as of the 27th of July 2022):
- 58.52% APY for BSW-USDT
- 17.89% APY for ETC-BNB
- 13.74% APY for BNB-BUSD
Learn more about Farms on Biswap👇
Stake in Launchpools
Here you can earn crypto in different ways with high APRs:
- Stake BSW Launchpools — hold BSW tokens to earn other TOP tokens
- Stake Tokens Launchpools — stake other tokens to earn BSW
You can also find Double Launchpools on Biswap, where you get double rewards!
For example, you stake BSW and earn: BSW + BTCB, BSW + USD, BSW + ETH.
Furthermore, explore 3 different types of BSW Launchpools:
- BSW Holder Pool
- Gain all the unique features first!
- Get additional passive income
- Stake in a long term
- Auto BSW Pool
- Auto-compounding of your BSW every 5 mins
- Extremely high APYs
- Manual BSW Pool
- Harvest and/or Compound earned BSW by yourself
- Earnings are shown in APR
Learn how Launchpools work:
Purchase and trade NFTs
It is one more amazing way to use and earn BSW on Biswap. Here you will find exclusive collections and unique NFTs. You can buy, trade and sell them in any convenient way for you.
Try it now 👉https://biswap.org/nft
To earn even more BSW and other tokens, you can boost your NFTs and upgrade them to higher levels.
You will find more info here:
Hurry to the Biswap website to start your profitable crypto journey and explore unique features!
To Sum Up
Coins and tokens are not the same. Coins have their own blockchains, while tokens use an existing blockchain’s smart contracts. Coins are the digital version of real money, while tokens are something like a certificate to the SPA salon.
Now that you know the difference between coins and tokens, it will be much easier to analyze the crypto market.
Educate yourself to increase your assets with Biswap!
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