Token
An asset created by a smart contract on a blockchain that already exists. The contract keeps a list of who owns how many units.
Token in more detail
A coin is the built-in currency of its own blockchain. A token is created by a smart contract on a blockchain that already exists. The difference affects fees, risks and several common mistakes.
A token is an entry in a smart contract. The contract keeps a list of which address owns how many units and follows rules for moving them.
On Ethereum, most tokens follow a shared standard called ERC-20, proposed in November 2015. Because they all behave the same way, any wallet or exchange that supports one ERC-20 token can support them all.
All 128 terms · Checked against the lesson's sources on 8 October 2026.
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