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TOKENS & ASSETS

Utility Token

Definition

Utility tokens provide holders with access to specific products, services, or functionalities within a protocol or ecosystem. They're not primarily designed as investments but as functional tools.

Example

💡 Example

BNB is used to pay reduced trading fees on Binance exchange, while LINK is used to pay Chainlink oracle services.

Risks to Consider

⚠️ Risks
  • Utility demand changes
  • Competition
  • Protocol changes

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