Skip to content

Cardano native tokens: a simple explanation

Cardano native tokens: a simple explanation


Cardano native tokens allow anyone to create and transact digital assets with ease, directly on the blockchain, leading to a growing ecosystem of unique projects. But how do Cardano's native assets differ from ones on other blockchains, and how can you mint your own?

Read on to learn about:

  • what Cardano native tokens are,

  • their benefits and use cases,

  • how they differ from other tokens,

  • and how they're made.

Let’s dive in!

What are Cardano native tokens?

Introduced through the Mary protocol upgrade on February 24, 2021, Cardano native tokens were a significant innovation within the blockchain industry. While other blockchains require the use of smart contracts to mint tokens, Cardano supports creating and transacting tokens natively on the ledger.

Whereas Bitcoin was only designed to be a digital currency, and Ethereum introduced the concept of smart contracts allowing developers to build their own decentralized applications (DApps), Cardano took it one step further by removing the need for custom code in creating DApps. This eliminates an entire layer of complexity present in other chains, as well as costs and the risk of human error.

A public distributed ledger like Cardano is intended to track only one type of digital asset (ada). However, as the ledger evolves and becomes more decentralized, there comes a need and possibility to track multiple types of assets using the same infrastructure. This is the reason why some blockchains now support various digital assets, including:

  • stablecoins

  • utility tokens

  • credential tokens

  • security tokens, etc

To allow for transaction processing with different types of assets concurrently, the native token functionality extends the accounting infrastructure that is initially defined in the ledger model.

It is important to note that native tokens and Cardano’s currency, ada, differ in two ways:

  • Native tokens can be created and destroyed, while ada can’t.

  • Only ada can be used to pay transaction fees and distribute staking rewards.

How do Cardano native tokens differ from other tokens?

Cardano native tokens differ from other tokens in several ways, as illustrated in the table below. 

An infographic comparing Cardano native tokens to other tokens

How to create a native token on Cardano

Creating a native token on Cardano is a straightforward process if you follow these steps:

An infographic explaining the Cardano native token creation process

Figure 1. The prototype token builder dashboard

Once a native token is created, it can be sent and received like ada. 

The Cardano Transaction Metadata (CMT) feature enables issuers to add information to their native tokens by including metadata within a transaction that specifies the:

  • Name

  • Symbol

  • Icon

  • Amount of tokens

  • Cardano wallet address

  • And monetary policy

Use cases for native tokens

Native tokens have a range of use cases, including:

  • Decentralized Finance (DeFi): Used to create decentralized financial instruments such as stablecoins, which can be used as a store of value or a means of payment.

  • Gaming: Used to create in-game items tradable on decentralized marketplaces.

  • Collectibles: Used to create, store, and transact unique digital art efficiently.

  • Identity token: Used to create decentralized identities, which enable secure authentication and verification of their issuers, and handle user permissions for different actions.

  • Smart contract assurance: Used as an important tool in the building of reliable smart contracts.

Why are native tokens important?

Native tokens are important for several reasons:

  • They represent a significant advancement in the Cardano ecosystem, as they provide a fast, efficient, and customizable way to create and transact both fungible and non-fungible assets. 

  • Native tokens can be used for a wide range of innovative purposes.

  • They provide a powerful, flexible, and decentralized approach to democratizing access to digital assets and promoting financial inclusion.

Learn more about native tokens and their significance by reading this Cardano Docs section.

DISCLAIMER:  Nothing in this article is intended to be professional advice, including without limitation, financial, investment, legal, or tax advice. Input Output Global (IOG) is not responsible for your use of or reliance on any information in this article.



  • Cardanoネイティブトークンとは何か

  • メリットとユースケース

  • 他のトークンとの違い

  • 作成方法






  • ステーブルコイン

  • ユーティリティトークン

  • クレデンシャルトークン

  • セキュリティトークン、他



  • ネイティブトークンは作成および破棄できるが、ADAはできない

  • トランザクション手数料の支払い、ステーキング報酬の配分に使用できるのはADAのみ







発行者は、CMT(Cardano Transaction Metadata)機能を使って、以下を指定するトランザクションにメタデータを含めることでネイティブトークンに情報を追加することができます。

  • 名称

  • シンボル

  • アイコン

  • トークン発行量

  • Cardanoウォレットアドレス

  • コインポリシー



  • 分散型金融(DeFi)**:**価値の保存や支払い手段として使用できるステーブルコインなどの分散型金融商品の作成

  • **ゲーム:**分散型マーケットプレイスで取引可能なゲーム内アイテムの作成

  • **コレクティブル:**ユニークなデジタルアートを効率よく作成、保管、取引

  • **IDトークン:**発行者を安全に認証、検証し、さまざまなアクションに対するユーザー許可の処理を可能にする分散型IDの作成

  • **スマートコントラクト保証:**信頼性の高いスマートコントラクトを構築するための重要なツールとして使用



  • 代替可能資産、代替不可能資産の両方を作成、取引するための、高速で効率的、カスタマイズ可能な方法を提供することから、Cardanoエコシステムにおける重要な進歩を象徴 

  • ネイティブトークンは、さまざまな革新的な目的に使用可能

  • デジタル資産へのアクセスを民主化し、金融包摂を促進するための、強力で柔軟性の高い、分散型アプローチを提供

ネイティブトークンとその重要性の詳細は、Cardano Docsのこのセクションを参照してください。

免責事項:  本稿の内容は、財政、投資、法律、税金に関するアドバイスを含むがこれに限定されない専門的なアドバイスを目的としたものではありません。Input Output Global(IOG)は、読者が本稿から得られる情報の使用またはこれへの依存に一切の責任を負いません。