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Toponym is a synonym for place name. A place name is the name of a geographical place.

A toponym is a name of a geographical place or a name derived from a name of a place.

I don’t seem to understand this. If you can see, the place name is the name of geographical place. The toponym is a name of geographical place or a name derived from a name of the place. Don’t they mean same? Place name and name of geographical place. Do they have the same meaning or different meaning?

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Yes, of course place name and name of geographical place mean the same. These are just two different ways of explaining the word toponym.

A name derived from the name of a place refers to, for instance, a family surname which is also the name of a village.

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