When it comes to digital currencies, the word coin comes up as one of the basic concepts. But what is a coin and what is its role and place in the world of digital currencies? In this article, we will comprehensively examine the concept of coin, its features, applications and different types to familiarize you with this amazing world.

What is a coin?

Coins are digital currencies that operate on their own independent blockchains and are used as a means of exchange, store value or conduct financial transactions in a decentralized system. Unlike tokens that are created on existing blockchains, coins have their own dedicated blockchain. Bitcoin, as the first and most famous coin, is a prime example of a digital currency that operates on its own blockchain and allows peer-to-peer transactions without the need for an intermediary.