Rise of New Token Standards: Overview of Popular Token Standards and Their Solutions
Recently, the cryptocurrency industry seems to have experienced a “New Token Standard Trend.” These new token standards implement specific functionalities by embedding new rules into the underlying blockchain. Tokens issued using these new standards also appear to be gaining popularity. WikiBit has organized a review of the recent popular token paradigms, hoping to help users discover value while being alert to scams.Difference Between Coin and Token Bitcoin, the first blockchain network, was designed to enable people to make global peer-to-peer payments using its native currency, also known as Bitcoin or BTC. Subsequently, similar blockchains emerged, such as Litecoin (LTC) and Dogecoin (DOGE), which serve similar purposes. All cryptocurrencies that rely on their own blockchain networks are referred to as coins. Later, Ethereum was introduced, introducing the concept of blockchain-based decentralized applications and protocols. Although Ethereum also has its own “coin,” named ETH, and functions similarly to BTC, its primary purpose is to facilitate transactions and operations for applications and protocols built on the network. Developers of these applications can create in-app currencies, which do not have their own dedicated blockchains but are stored on Ethereum. With Ethereum, users can also create other forms of independent digital assets, which can be stored on Ethereum in an