A different kind of asset
Cryptoassets are digital assets recorded using technologies such as blockchains. Holding a coin generally does not give you ownership of a company, voting rights in that company or a right to its profits.
Bitcoin and Ethereum
Bitcoin is a digital asset transferred on its own network. Ethereum is a network that can run programs called smart contracts; ether is its native asset. Different projects serve different purposes, and a useful technology does not guarantee an investment return.
Coins, tokens and stablecoins
A coin usually belongs to its own blockchain. A token is commonly issued on an existing network. Stablecoins aim to track another asset, often the US dollar, but can lose that link. None of these labels guarantees safety.
Start with questions
What does the project do? Who controls it? How are new tokens issued? Can you independently verify the claims? A low price per coin does not mean it is cheap or likely to rise.
Sources and further reading
Provider settings and financial products can change. Check original sources before acting. These guides explain concepts and do not recommend individual investments.
