Token-based systems use digital tokens to represent ownership or access rights to a specific resource or service. These tokens can be used in various applications, such as blockchain networks, where they facilitate transactions and interactions without the need for intermediaries. Each token typically has a unique value and can be traded or exchanged. In a token-based economy, users can earn, buy, or sell tokens to access services or products. This model is common in cryptocurrencies and decentralized finance (DeFi) platforms, where tokens serve as a means of exchange, governance, or rewards, enhancing user engagement and participation.