This brief article expands on a previous post about Bitcoin and discusses coloured coins. Coloured coins are a way of representing real-world assets (e.g. shares, gold, fiat money) on the Bitcoin blockchain.
There are 4 main implementations of coloured coins at the moment:
- ChromaWallet (formerly known as NGCCC)
- OpenAssets - implemented by CoinPrism and also used by Lykke
- ColouredCoins used by Colu
These implementations are all incompatible with each other.
Once a coloured coin is created (for example read about the process on coinprism), the tokens can be traded on an exchange.
The following documents provide information on the legal aspects of coloured coins: