Token System

A fungible virtual good that can be traded. More formally, a token system is a database mapping addresses to numbers with the property that the primary allowed operation is a transfer of N tokens from A to B, with the conditions that N is non-negative, N is not greater than A’s current balance, and a document authorizing the transfer is digitally signed by A. Secondary “issuance” and “consumption” operations may also exist, transaction fees may also be collected, and simultaneous multi-transfers with many parties may be possible. Typical use cases include currencies, cryptographic tokens inside of networks, company shares and digital gift cards.

Reference:

http://ethdocs.org/en/latest/glossary.html

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