Difference Between Eosio.token and Eosio.system

Question

I have an idea for a DApp I'm looking to build after launch. It won't be large, but it'll be on a large platform (won't name it here because I don't want anyone taking my idea lol). After cloning the EOS source code onto my computer from GitHub, I've found the directory I'll need to create a token...it's in the Contracts directory in the 'EOSIO.TOKEN' sub-directory. But then I saw another contract directory called 'EOSIO.SYSTEM' and it appears that this is to create an entire PoS system on the EOS blockchain. Am I correct in saying that or is it for something else?

It seems like EOSIO.TOKEN is for creating my own token on the EOS blockchain and EOSIO.SYSTEM is to create my own system on the EOS blockchain. Am I right or wrong?

Answer 1

The eosio.token contract is indeed for the public to create tokens on, similar to ERC20 on Ethereum however instead of a contract for each token, many tokens can be based all on this one eosio.token contract.

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Part of the eosio.system contracts README.md is as follows...

"This contract enables users to stake tokens, and then configure and vote on producers and worker proposals. Users can also proxy their voting influence to other users. The state of this contract is read to determine the 21 active block

So this is more for running the mainnet and voting on the 21 block producers. Something more particular to the main net as you could determine other methods of consensus on an EOS private chain etc.

Answer 2

It's just the name.

The system contract manages the system and the resources, and token contract is to create, issue and transfer currency.