Coin vs. token
Both are cryptocurrencies, but they live in different places, and that changes how you send them.
A coin is the native currency of its own blockchain, like BTC on Bitcoin or ETH on Ethereum. A token is built on top of someone else's blockchain using a smart contract, like USDC on Ethereum. Tokens still need the host network's coin to pay fees.
Side by side
| Compare | Coin | Token |
|---|---|---|
| Where it lives | Its own blockchain | On another blockchain, as a smart contract |
| Examples | BTC (Bitcoin), ETH (Ethereum), SOL (Solana) | USDC and USDT (stablecoins), UNI, LINK, most meme coins |
| Pays network fees? | Yes, it's what fees are paid in | No; you need the host's coin for fees |
| Who can create one? | Needs a whole new network | Anyone, in minutes, for a small fee |
Why it matters to you
- You need gas money. To send a token like USDC on Ethereum you need some ETH in the same wallet to pay the fee. Without it the token is stuck until you add some.
- The same token can exist on several networks. USDC exists on Ethereum, Solana, Base and others. They are not interchangeable by simply sending: you have to choose the matching network. See sent to the wrong network.
- Anyone can make a token, including copies with the same name and logo as real ones. Check the token's contract address against the official source before buying.
Scammers create tokens named after real projects, or send worthless tokens to your wallet hoping you'll interact with them. If a token you didn't buy appears in your wallet, ignore it; don't try to sell it through a website it points you to.
Token standards
Tokens follow common formats so wallets understand them. On Ethereum, the main ones are ERC-20 (ordinary tokens where each unit is the same) and ERC-721 (unique tokens, i.e. NFTs). Other networks have their own, such as SPL tokens on Solana.
Check what you learned
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Frequently asked questions
Is USDT a coin or a token?
A token. Tether's USDT is issued as tokens on several blockchains, including Ethereum and Tron.
Is Bitcoin a token?
No, BTC is a coin: the native currency of the Bitcoin blockchain.
Why can't I send my tokens?
Usually because there isn't enough of the network's coin (like ETH) in the wallet to pay the fee.
Where to next
Sources
Written for beginners and checked against the sources listed. Last reviewed October 26, 2026. This page is educational and is not financial, tax or legal advice. How we write and check pages.