Network services are delivered using utility tokens. Services can be purchased with them, network costs can be paid, or prizes can be redeemed with them. Tokens used for utility purposes are similar to Filecoins, which are used for acquiring network storage space and securing data.
In addition to utility tokens, ether is also a type of token. It can be used to pay for transactions on the Ethereum blockchain and for virtual machines. To maintain its peg to the dollar, USTerra mints and burns two utility tokens to create downward or upward pressure on its price, but failed to do so on May 11, 2022.
On exchanges, utility tokens can be acquired and retained, but they are intended to be used on the blockchain network.

Utility tokens are digital assets that provide users access to a product or service within a specific blockchain ecosystem. Unlike cryptocurrencies like Bitcoin, which function as a medium of exchange or store of value, utility tokens have a functional role. They are commonly used in initial coin offerings (ICOs) to raise funds for blockchain projects.

Advantages:
Access to services: Users can utilize tokens for specific features within a platform, such as voting rights, discounted fees, or premium services.
Support for development: By purchasing utility tokens, investors help fund the development of new technologies.

Disadvantages:
No ownership or profit rights: Utility tokens don't provide ownership stakes in the issuing company, limiting investor potential.
Price volatility: Their value can be highly speculative and subject to sharp fluctuations.