Currently there are 4 main types of Blockchain projects: Cryptocurrencies, Platforms, Utility Tokens, and Asset Tokens.
Cryptocurrencies was the very first application of blockchain, which serve as a medium of exchange in the blockchain world. A medium of exchange is the exchange of goods of equivalent value, such as banknotes and golds. In addition to Bitcoin and Litecoin, there are also other well-known cryptocurrencies like Dash, Monero and Zcash.
Platform projects, the second type of blockchain projects, involves building a technical infrastructure that allows different blockchain applications to be developed and at the same time lowers the barriers to entry.
Utility token projects are the fastest-growing blockchain projects built on blockchain platforms (like Ethereum) to solve problems in a wide range of fields in the real economy, such as social management, gaming and finance, etc.
Asset Tokens involve tokenizing physical assets records onto the blockchain.
. Notable examples are USDT, tokenizing the US Dollar, DigixDAO, backed by Gold. Each DigixDAO token represents 1 gram of LBMA（London Bullion Market Association）standard gold. Asset Tokenization eases trading and safekeeping.
Firstly, asset tokenization has made trading far more convenient as blockchain assets can be divided into smaller units, increasing its liquidity. For example, traditional real estate has to be transferred in its entirety. If the real estate can be tokenized, it can be divided and sold as units, which makes it easier to trade.
Secondly, asset tokenization aids in safekeeping. Assets such as gold can be damaged during physical trades, losing its value. With tokenization, no physical transfer assets are required, ensuring their safety and condition.