What Is ‘Fungibility’?
Fungibility is the property of an asset where each unit is perfectly interchangeable with every other unit of the same asset. For example, one US Dollar bill is fungible with any other US Dollar bill.
Cryptocurrencies like Bitcoin and Security Tokens are generally designed to be fungible.
Glossar
Bitcoin
Architecture ⎊ Bitcoin, within a cryptocurrency context, represents a decentralized, peer-to-peer electronic cash system predicated on cryptographic proof rather than requiring a trusted third party.
Security Tokens
Tokenization ⎊ Security tokens represent fractional ownership of tangible assets, often linked to sustainable projects or resources, enabling granular investment and enhanced liquidity compared to traditional asset classes.
Fungibility
Definition ⎊ Fungibility is the economic characteristic where individual units of an asset are perfectly interchangeable because they carry the same intrinsic value and utility regardless of prior history.