Many thanks for your message. There is no comprehensive information explaining what Sikh tokens were used for. However Hans Herrli Ji writes in his book "The Coins of the Sikhs" first edition page 238. (The token bears a date VS1804 = AD1745)
"In 1745AD Ahmad Shah Durrani invaded the Punjab for the first time and Jassa Singh Ahluwalia proclaimed the
Dal Khalsa. These very common tokens may originally have commemorated the latter event, but they were struck for a very long time in a large number of varieties and possibly also in many different places."
Reference:: Sikh Philosophy Network http://www.sikhphilosophy.net/showthread.php?t=33752Reference:: Sikh Philosophy Network http://www.sikhphilosophy.net/showthread.php?t=33752
Today they are offered as Sikh Coins and if anyone wishes to purchase one then be very careful not to purchase a modern copy.
Regards Parminder
SIKH COINS GROUP
Understanding history, culture and heritage through numismatics.