Coins vs Tokens

Native coins

A native coin is the built-in asset of its own blockchain: BTC on Bitcoin, ETH on Ethereum, SOL on Solana. The network uses it to pay for block space, and in proof-of-stake systems to secure the chain itself.

If you hold only tokens on a network and none of its native coin, you may be unable to move anything, because the fee must be paid in the native asset.

Tokens

A token is issued by a smart contract on an existing blockchain and inherits that chain's security and fee model. Stablecoins are the most widely used example: the same branded stablecoin commonly exists as separate token contracts on several different networks.

• A token's supply rules are set by its contract, not by the base network.
• Two tokens with the same ticker on different chains are not interchangeable without a bridge or an exchange.
• Anyone can create a token, so a ticker symbol alone proves nothing about legitimacy.

Why this causes real losses

Deposit addresses on exchanges are network-specific. Sending a token over a network the recipient does not support is the single most common self-inflicted loss in crypto, and recovery is sometimes impossible.

Before any transfer, match three things: the asset, the network, and the address. If the receiving service lists a network you cannot select on the sending side, stop.

How to check what you are actually holding

1. Find the token's contract address from the issuer's own website, not from a search result or a chat message.
2. Confirm which network that contract belongs to.
3. Check that your wallet is set to the same network before pasting an address.
4. Send a small test amount first when the destination is new.

Sources

• Ethereum developer documentation — ERC-20 token standard
• Ethereum developer documentation — Accounts