Platform Token

A token is a digital representation of something that has a certain value in the blockchain world. It is issued by a private entity and is valid only within that specific domain. It operates very similarly to an airline's internal mileage program. The token migration platform is a good thing that doesn't physically exist, but you can use it if you want to buy a plane ticket. The more miles you have, the better positioned you are with the airlines and the more likely you are to have routes. In the crypto world, they are represented by pieces of code that contain interchangeable information, thus providing the connotation of a currency or digital asset.

Platform currency is a cryptocurrency issued by a cryptocurrency exchange. Holding platform currency can participate in the preferential activities of the issuing platform, or conduct consumption and transactions on the platform. Platform coins have a stock-like concept and are directly linked to the issuing cryptocurrency exchange. Platform coins are usually scarce and destroyed regularly.

Platform tokens leverage blockchain infrastructure to provide decentralized applications (dapps) for different uses. For example, while Dai is classified as a stablecoin because it is softly pegged to the U.S. dollar and its pricing is maintained through mechanisms built into smart contracts, it can also be classified as a platform token because it is built on the widely used Ethereum block on the chain. Platform tokens benefit from the blockchain they are built on, gaining enhanced security and the ability to support transaction activity. Platform tokens cover a variety of use cases, from serving gaming and digital collectibles platforms to global advertising and marketplace industries.