An RFID transponder and an RFID tag are both essential components of RFID technology, but there are technical differences: RFID transponder: A general term for a device that receives a signal and sends a response. Transponders can be active (with their own power source) or passive (without their own power source). They consist of a microchip and an antenna and can come in various forms, such as cards, key fobs, or wristbands. RFID tag: A special type of RFID transponder, typically designed as a hard tag, label, or sticker. Tags are attached directly to objects to identify and track them. They are usually passive and use the power of the RFID reader for communication. RFID tags are particularly useful in industrial, logistics, and retail applications.