What is Tokenization : the Force Behind Blockchain Technology

The current era is Blockchain evolution and a new concept has emerged: called it tokenization. Tokenization is an internal part of the blockchain technology and the purpose of platform identification and accessibility.

The power of tokens

If observe properly we will see that Every Blockchain platform is powered by tokens, sometimes also referred to as “coins.”. Bitcoin is also has a toke as is Litecoin, Dash, and other currencies that function over a blockchain. The token is able to represent money, as in the case of the above, they can also represent other things.

The price of the token depends on various factors and the major factor the demand for a particular Blockchain product is usually the main determinant of the value and eventual market price of its token. It’s reason for the variations in the price of different altcoins in the Blockchain environment. For example, Bitcoin is more readily accepted by merchants than Litecoin, and is consequently more valuable.

The force behind Ethereum

Ethereum, despite coming after many older altcoins, remains the third most valuable cryptocurrency in existence behind only Bitcoin and the its recent fork, Bitcoin Cash.

Ethereum’s value is largely determined by the demand for its platform by distributed application (dApp) developers. Many of these developers issue tokens to grant access to their services, essentially building their own Blockchains atop Ethereum’s platform. In many cases, developers pre-sale their tokens as part of an initial coin offering (ICO), and they usually accept Ethereum’s token “ether” as payment.

In essence, the organic value of a given token or cryptocurrency is determined not just by the functionality, but the demand for its Blockchain product.

Blockchains and their tokens

Many Blockcahin products exist and claim to offer different solution to various problems. The list is long with offers. There are many other in the development phase, below you can see some example of Blockchains products and what they do.

Steemit

Steemit is a social network and really the reach of the steemit now increasing day by day and rewards users who participate in various ways. The steemit toke is called STEEM. Users get rewarded here by the creation of the best content on the site.

Dash

Dash we all know, very reputable now, Dash stands for “Digital Cash,” is a fork of Bitcoin and its use for instant transactions and fine tuned for more privacy. This platform token is called DASH. Dash is a self-funded through its own blockchain (a portion of mining rewards fund the currency’s development) and features a working governance model.

ZCash

Zcash is another in list and the token name of Zcash called ZEC. ZCash is also a cryptocurrency that grew out of the Zerocoin project and the aim of Zcash to to improve anonymity for Bitcoin users. The payment of Zcash has published on a public Blockcahin, but still users can use an optional privacy feature to the sender, recipient, and amount being transacted.

WishKnish

WishKnish is a network of social marketplace communities and users can easily create storefronts for various kinds of services here. Users can search products, services and communities that fit their needs. People who participant here in activities are rewarded in the platform’s local token, Knish.

LAToken

LAToken is another platform and it permits user to convert tangible assets such as a real estate or precious art works into tokens, thereby making them sellable in fractions. The LAToken is called the LAT.
Token are for identity and investment

This is just a short list of the numerous cryptocurrencies and the platform they are belongs too. In the list the first tokens are well reputable and well established entities that are listed on major excahgnes, and other in the list are still growing and in development stages.

The strength and identity of a Blockchain product is most often represented by the characteristics of its token.
However, while these tokens stand as the identity of their respective Blockchains, offering access to the services or solutions provided by their resident platforms, they also double as digital assets and opportunities for investment depending on how much the community values their platforms