A digital token is a digital representation of a token holder’s right to receive a benefit or to perform specified functions. Generally, there are three types of digital tokens:
● Payment token – used by owner as a mode of payment;
● Utility token – gives the owner a specified or implied right to use or benefit from services in exchange for the token; and
● Security token – gives the owner equity / an interest akin to a specified or implied degree of control or economic entitlement.