A cryptocurrency is a means of exchange safeguarded by a blockchain-based record-keeping system.

A means of exchange refers to anything broadly accepted as payment for goods and services, while a ledger is a data repository that monitors transactions. Blockchain technology enables users to conduct transactions on the ledger without depending on a trusted third party to manage the ledger.

The first cryptocurrency, Bitcoin, was developed by Satoshi Nakamoto. Since the introduction of Bitcoin in 2009, people have created thousands of cryptocurrencies across various blockchains.

All blockchain protocols possess coins that represent value and can be exchanged. In Onschain, this coin is referred to as ONS.

Tokens, on the other hand, are created by individual projects built on top of a foundational blockchain protocol. All blockchain projects are “tokenized,” and the Onschain protocol is accessible for anyone to develop their own tokens on top of it. Tokens are utilized to execute activities on the blockchain through trading, including the implementation of “smart contracts.”