Altcoin

An altcoin is a general term for cryptoassets considered alternatives to Bitcoin. The name comes from “alternative coin,” but there is no strict technical boundary separating altcoins from other cryptoassets.

In broad usage, the term can refer to native coins of different blockchains and, in some contexts, other cryptoassets. The exact scope depends on how the term is being used.

How altcoins differ

Altcoins can differ in consensus mechanism, transaction throughput, issuance model, maximum supply, programmability, fee structure, and intended purpose.

For example, one project may focus on payments, another on decentralized finance, and another on smart contracts or specialized computation.

The term altcoin describes an asset in relation to Bitcoin rather than a specific technical architecture.