Utility tokens vs. equity tokens: Key differences explained
With both types of tokens forming the bulk of crypto-asset purchases, both utility and equity tokens serve different purposes. Read here! Utility tokens vs. equity tokensInvestors familiar with the concept of equity investing will find equity tokens to be an extension of the same thought process as initial public offerings while those with a riskier appetite can venture into plonking their capital on the utility tokens in which they believe.One glaring difference between utility and equity tokens is the fact that the former is not regulated as they provide access to a service rather than a....
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The benefits of utility tokens could soon stretch beyond payment facilitation and governance capabilities. Cryptocurrencies are commonly known for being a store of value, but as the blockchain space continues to mature, utility tokens are being created that extend their benefits beyond mere financial gains.Scott Gralnick, director of global partnerships for ShapeShift — a Swiss cryptocurrency exchange — told Cointelegraph that cryptocurrency can help launch Web 3.0 as more utility tokens are designed to provide functions beyond market value:“At ShapeShift, we are looking past the idea of....
NFT tokens are taking over the investment scene these days, with unbelievable valuations and all kinds of brands and major artists rushing in. On the technology side SmartKey shows that NFT tokens can be used for more than just speculation, bringing real value and utility to the world. The project is now listed on KuCoin, with support for trading SKEY starting on March 19, 2021. SmartKey Brings Blockchain Technology to Real Life SmartKey is a platform that connects the DeFi revolution with real world objects. Unlike so many projects in the field that promise a lot but have nothing real to....
Bitfinex has announced that it has formally signed a letter of intent with the online investment platform BnkToTheFuture to provide solutions towards compensating customers with equity in Bitfinex. The BnkToTheFuture platform for financial innovation and technology investment opportunities will be providing a Special Purpose Vehicle (SPV) through which qualifying BFX token holders can contribute their tokens in exchange for an equity interest in compliance with their individual jurisdictions. Exchanging BFX tokens for equity in iFinex Inc. Following a hack on its system on August 2 and....
Centralized exchange tokens have been skyrocketing this year, but there is one problem behind the astonishing performance: they are becoming more equity alike.
Paris Saint-Germain and Juventus fan tokens surged by 80% to 160% in the last 24 hours as their daily volume spiked to $300 million. On Dec. 14, Binance listed PSG and JUVE, two utility sports fan tokens associated with the Paris Saint-German (PSG) and Juventus (JUV) football clubs. After the listing occurred both tokens surged by 80% to 160% in the past 24 hours.Paris Saint-Germain fan token. Source: CoinMarketCapWhy are sports fan tokens surging?Created by Socios.com and Chiliz, sports fan tokens are utility tokens that allow fans to receive a tokenized share of club decisions.Through....