I'm trying to understand the distinction between equity and tokens in the context of investments and cryptocurrency. Could someone explain the key differences between the two?
6
answers
Lorenzo
Mon Jan 27 2025
Tokens are primarily created to symbolize a particular asset or utility being acquired.
BitcoinBaron
Mon Jan 27 2025
Token holders, depending on their type, may enjoy various utilities or participate in the ecosystem of the project they represent.
Claudio
Mon Jan 27 2025
They serve as digital representations of real-world or blockchain-based values.
GeishaCharm
Mon Jan 27 2025
In contrast, equity represents ownership stakes in a company.
KimonoGlitter
Mon Jan 27 2025
Equity holders are granted rights to share in the financial profits and operational activities of the business.