Tokens

What are Tokens?

AI and Natural Language Processing (NLP): In AI, tokens are pieces of text that models process. These could be words, subwords, or even characters, depending on the model. For instance, “cat” might be a single token, while “categorize” could be split into smaller parts, like “cate-” and “-gorize.” Models like me analyze tokens to generate responses, and the total number of tokens determines how much input or output can be handled at once.

Cryptocurrency and Blockchain: Tokens refer to digital assets that exist on a blockchain. These can represent various forms of value, such as currency, ownership rights, or even access to specific services. Examples include utility tokens like Ethereum (ETH) or non-fungible tokens (NFTs), which represent unique digital items like artwork.

General Use: Tokens can also mean physical or symbolic objects, like game pieces, transportation tickets, or representation of value or identity (e.g., a token of appreciation).