Amplified Altcoins ⚡️

We recently had a word about Sexy StableCoins, now it is time for us to deep dive into the concept of Amplified AltCoins ⚡️ Let's go on ❗️

What are AltCoins?

"Altcoin" is a combination of the two words "alternative" and "coin." It is generally used to include all cryptocurrencies and tokens that are not Bitcoin.

Many altcoins are used within their respective blockchains to accomplish something, such as ether, which is used in Ethereum to pay transaction fees. For example, the token Bananacoin forked from Ethereum and emerged in 2017 as a way to raise funds for a banana plantation in Laos that claimed to grow organic bananas.

Types of AltCoins

Payment Token - As the name implies, payment tokens are designed to be used as currency—to exchange value between parties. 

Security Tokens - Security tokens are tokenized assets offered on stock markets.  For this to work, the asset must be secured and held. Otherwise, the tokens are worthless because they wouldn't represent anything.

Utility Tokens - Utility tokens are used to provide services within a network. For example, they might be used to purchase services, pay network fees, or redeem rewards. Filecoin, which is used to buy storage space on a network and secure the information, is an example of a utility token.

That's it for the day folks, Web3Shala Signing Off ✌🏻

Have a nice day :)Keep Learning 🙏🏻