Cryptocurrencies and tokens are two key components of the blockchain ecosystem, but there are important differences between them. Cryptocurrencies, such as Bitcoin or Ethereum, are digital currencies that can be used for exchange and store value. They operate on their own blockchains and provide decentralized transactions.
Tokens, on the other hand, are assets that are typically created on top of existing blockchains, such as Ethereum. These digital assets can serve various purposes: from being used in decentralized applications (DApps) to providing rights to participate in project governance. Tokens can be used as a means of exchange, but their main goal is to represent assets, shares, or even rights within specific ecosystems.