Payment RightsTokens with revenue rights entitle holders an certain percentage profits from the network, usually accrued by fees. This is skin to common company stock, although they do not come with voting rights. Revenue rights are easy to understand and don't require the design of a token economy. They represent a very clear relationship between the success and growth of the platform and the rise of the token value. Revenue right tokens usually builds a community of investors but not necessarily of users.... are tokensAsset-backed tokens are claims on an underlying asset, from a specific issuer. are simply the sole means of payment for a platform or service. The are designed only to pay for services on the platform in the case of needing the native currency.

Advantages: Creates a clear use case for the token and seeming more like a currency than a security.

Disadvantages: Creates balkanized services each with native currencies that can wildly fluctuate in value.

Back to glossary