What Are the Use Cases of Cardano’s Native Tokens?

Besides ADA, Cardano supports native tokens that projects can use for governance, payments, or incentives within copyright. Unlike Ethereum’s ERC-20 tokens, Cardano’s native assets do not require smart contracts, making transactions more efficient and cost-effective. This functionality supports a growing ecosystem of DeFi, NFTs, and enterprise applications. As more projects launch tokens on Cardano, the demand for ADA could increase, affecting the ADA price.

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