In the context of blockchain and cryptocurrencies, a token is a type of digital asset that is issued on top of an existing blockchain. Tokens represent various assets or utilities and can be used for investment purposes, to represent a share in a company, as a medium of exchange within a specific ecosystem, digital rights management, or for voting rights. Unlike cryptocurrencies, which are native to their own blockchain (like Bitcoin on the Bitcoin blockchain or Ether on the Ethereum blockchain), tokens are created through smart contracts on platforms like Ethereum and function within the ecosystem of that blockchain. Examples include utility tokens, security tokens, and non-fungible tokens (NFTs).
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