Token & Network Basics

Understand the difference between tokens, native coins, and networks — and why choosing the right network matters every time you send or receive crypto on ELLIPAL.

ELLIPAL supports 40+ blockchains and 10,000+ tokens. Supported tokens include USDT, USDC, and thousands more across all major networks. Before you send or receive, it helps to understand three core concepts: native coins, tokens, and networks — and how they relate to each other.

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Native coin, token, and network — what is the difference?

Term	Definition	Examples	Who pays fees
Native coin	The main cryptocurrency of a blockchain	BTC, ETH, SOL, BNB, ADA, XRP	Pays its own network fees
Token	A digital asset built on top of an existing blockchain	USDT, USDC, UNI, LINK	Fees paid in the network's native coin
Network	The specific blockchain where an asset exists	Ethereum, Tron, BNB Chain, Solana, Polygon	—

The same token can exist on multiple networks. USDT is available on Ethereum, Tron, BNB Chain, and Polygon. Always confirm the network before sending — assets sent on the wrong network may not be recoverable.

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Network-specific features

Bitcoin (BTC)

Bitcoin supports multiple address formats:

• bc1q… — Native SegWit, recommended, lowest fees

• 3… — Nested SegWit

• 1… — Legacy

ELLIPAL displays the most current format by default.

EVM-compatible networks

EVM-compatible networks include Ethereum, BNB Chain, Polygon, Base, and many others. These networks support ERC-20, BEP-20, and similar token standards.

All transactions require gas paid in the network's native coin:

• ETH on Ethereum

• BNB on BNB Chain

• POL on Polygon

Gas limit for a standard token transfer is typically around 150,000.

XRP Ledger (XRPL)

XRP addresses start with r. ELLIPAL supports BIP44 format (recommended) and legacy format.

Two things to know about XRP accounts:

• A minimum reserve of approximately 1 XRP is required to keep the account active — this amount cannot be sent

• Adding most XRP tokens requires creating a Trust Line on-chain, which consumes a small amount of XRP

Stellar (XLM)

XLM accounts require a minimum reserve of approximately 1 XLM to remain active.

Cardano (ADA)

Cardano has two address formats:

• addr1… — Shelley format, current standard, supports staking

• Ddz… / Ae2… — Byron format, older, does not support staking

XDC Network

XDC addresses come in two formats:

• xdc… — Native format, recommended by ELLIPAL

• 0x… — EVM-compatible format

You can switch between formats by replacing the prefix. Only do this when a platform requires a specific format.

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Memo and Destination Tag

Some networks — most commonly XRP and XLM — use a Memo or Destination Tag to identify the recipient when multiple users share the same deposit address. This is mainly required by exchanges. Personal wallet-to-wallet transfers usually do not need one.

If you are sending to an exchange and the platform asks for a Memo or Destination Tag, always include it. Missing a required Memo may result in funds that confirm on-chain but are not credited to your exchange account automatically.

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FAQ

What is the difference between a native coin and a token?

A native coin has its own blockchain — Bitcoin runs on the Bitcoin network, ETH runs on Ethereum. A token is built on top of an existing blockchain and depends on that network's native coin to pay transaction fees. USDT on Ethereum is a token; its fees are paid in ETH.

Why do I need ETH to send USDT on Ethereum?

USDT on Ethereum is a token — it does not have its own network. All transactions on the Ethereum network, including token transfers, require ETH to pay the gas fee. Make sure your wallet holds enough ETH before sending any ERC-20 token.

Why can't I send all my XRP or XLM?

XRP and XLM require a minimum reserve balance to keep the account active. Approximately 1 XRP must remain in an XRP account, and approximately 1 XLM must remain in an XLM account. This reserve cannot be sent or withdrawn.

Why does adding an XRP token trigger a transaction?

Adding a token on the XRP Ledger creates a Trust Line — an on-chain record that allows your account to hold that token. Creating a Trust Line is a blockchain operation and requires a small XRP fee.

What happens if I send crypto on the wrong network?

The transaction may confirm on-chain but the recipient will not see the funds if they are looking at a different network. In some cases the funds can be recovered; in others they cannot. Always verify the network on both the sending and receiving side before confirming a transaction.

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Related Guides

How to Add Networks to Your ELLIPAL Titan 2.0 and X Card？How to Add or Remove Tokens in the ELLIPAL App?