Top 10 cryptocurrencies worth investing in (apart from Bitcoin)
Cryptocurrencies have already become a full-fledged part of the new financial world, attracting not only many private investors but also big businesses. The rules of the game in this booming market are becoming clearer every year, and the processes are becoming more transparent. Now we take a look at some stronger digital currencies that are remarkable from Bitcoin.
Look at these cryptocurrencies
The highlight of this cryptocurrency is the ability to create smart contracts, which is an electronic algorithm or condition that allows parties to exchange money or other assets. The technology could potentially have widespread applications in finance, management, auditing, and logistics.
Cardano’s driving force is Ouroboros. No, it’s not the ancient dragon that bites its tail, but its algorithm! Ouroboros uses a proof-of-bid protocol that is less energy-intensive and more democratic.
It should be noted here that unlike Proof-of-Work (PoW) models, which require miners to solve complex puzzles based on the power of their devices, Proof-of-Stake (PoS) models rely on randomization and the size of users’ bets.
With many advantages over other cryptocurrencies, Cardano is often referred to as a third-generation cryptocurrency. Many experts believe Cardano could overtake giants such as Bitcoin and Ethereum, first and second-generation cryptocurrencies respectively.
It should be noted that Cardano’s own coin ADA is named after mathematician Ada Lovelace. ADA hit record highs in January 2018, when it reached $1.22 per coin.
Polkadot is the original cryptocurrency, which is predestined to provide comparability between other blockchains. Its protocol is specialized to incorporate allowable and non-allowable blockchains, as well as oracles, to allow systems to work together under one roof.
The main component of Polkadot is its relay chain, which ensures that all sorts of grids are comparable. It also allows for “parachutes” or parallel blockchains with their own personal tokens for specific use cases.
What makes Polkadot different from Ethereum is that instead of making a basic decentralized application on Polkadot, creators can make their own personal blockchains and use the security that is already in place in the Polkadot blockchain. With Ethereum support, creators have the chance to make fresh blockchains, but they need to make their own personal security measures that have all the chances of forgetting fresh and more small plans are exposed to attacks, because the more blockchain, the more secure it has. The scientists behind the plan have written more than 90 notes on blockchain technology on a range of topics.
This research is considered the soil of Cardano. Thanks to this serious process, Cardano appears to be differentiated between its peers with proof-of-stake and also other large cryptocurrencies.
Litecoin uses a proof-of-work algorithm. It is very similar to the bitcoin algorithm. The Litecoin algorithm is called Scrypt. The algorithm produces coins four times faster than the bitcoin algorithm, despite the fact that it models its operations after pioneer coin transactions. The Litecoin algorithm has a transaction processing rate of matching coins of one coin every 2.5 minutes.
The Litecoin algorithm uses processing power to process transactions, which are completed by ‘miners’ who confirm the transactions with their processing power. As a result, the miners receive coins in exchange. In addition, the Litecoin Scrypt algorithm is generally considered to be very efficient because it does not require too much tuning through hardware solutions, such as dedicated integrated circuits (ASICs), and supports high-speed RAM. For this reason, the Litecoin Scrypt algorithm is generally considered easier for regular cryptocurrency users, who will be able to mine without much difficulty, as it allows miners to use their regular processors or GPUs.
Bitcoin Cash is undoubtedly one of the top 10 coins to consider, apart from Bitcoin.
In fact, Bitcoin Cash is one of the most popular Bitcoin forks, created in 2017. To solve Bitcoin’s scalability problems, problems caused by Bitcoin’s own popularity.
If you’re new to the crypto space, keep in mind that a fork refers to any fundamental change to the blockchain network protocol.
And if you, a cryptocurrency fan, are wondering what’s in the name, keep in mind that while Bitcoin Cash has some branding issues, Bitcoin Cash has a very important difference from Bitcoin. Bitcoin Cash introduced blocks 8 times bigger, which have been scaled up to 32 MB.
As we know, larger blocks allow more transactions to be processed, resulting in lower fees and faster processing times.
Moreover, Bitcoin Cash brings together supporters of the original vision of Bitcoin as digital money. Bitcoin Cash is accepted in over 5,000 locations worldwide and can also be used for online payments and purchases.
Its use doesn’t end there! Bitcoin Cash allows donations to popular platforms such as WordPress and point of sale solutions (PoS) for organizations.
And as Roger Ver’s most popular supporter, Bitcoin Jesus, tweeted, “Bitcoin can replace gold. Bitcoin Cash can replace fiat”.
Thus, with a market capitalization of $8,040,705,458, Bitcoin Cash is a popular asset among crypto day traders and investors. In fact, the price of Bitcoin Cash has jumped more than 200% from its lowest level in 2020 and could soon rise above the psychological level of $500.
Chainlink is a decentralized oracle network that bridges the gap between smart contracts, such as those on Ethereum, and the data outside it. The blockchains themselves do not have the ability to plug into external applications in a credible way. Chainlink’s decentralized oracles enable smart contracts to interact with external data so that contracts can be produced on data that Ethereum itself cannot connect to.
The Chainlink blog details a number of uses for its own system. One of the many uses explained would be to monitor water supplies for pollution or illegal siphoning that occurs in some cities. The detectors can be used for the prediction of collective use, groundwater values, and the value of regional bodies of water. Oracle Chainlink is able to track this data and translate it into a smart contract. A smart contract can be set up to carry out fines, send out flood warnings in megacities, or bill companies that use very large amounts of urban water, with the support of incoming data from oracle.
Chainlink was developed by Sergey Nazarov together with Steve Ellis. As of January 2021, Chainlink has a market capitalization of $8.6 billion and 1 Hyperlink is valued at $21.53.
Stellar is a disclosed blockchain network designed to provide corporate conclusions by way of incorporating monetary institutions for the purpose of large transactions. Large transactions between banks and investment firms – which typically take several days, involve a number of intermediaries, and cost a lot of money – can now be performed virtually instantaneously, without intermediaries, and cost literally nothing to the person making the transaction.
While Stellar positions itself as a collective blockchain for institutional transactions, it is still a sincere blockchain that can be used by anyone. The system allows for cross-border transactions between any monetary units. The native currency unit is Stellar-lumen (XLM). The network insists that users hold lumens to be able to execute transactions on the network.
Stellar was founded by Jed McCaleb, co-founder of Ripple Labs and developer of the Ripple protocol. He eventually left his own role at Ripple and co-founded the Stellar Formation Fund. Stellar Lumens has a market capitalization of $6.1 billion, and as of January 2021, it is valued at $0.27 quid.
If you’re looking for other important cryptocurrencies besides bitcoins, consider Binance Coin… Binance Coin is a token of the Binance exchange, one of the largest cryptocurrency exchanges in the world.
Binance Coin allows users to trade all types of cryptocurrency quickly and securely. It can also be used to pay transaction fees on the Binance exchange… Interestingly, users who pay transaction fees with Binance Coin are entitled to a discount after 5 years on the platform.
It is worth noting that Binance Coin was launched in 2017. The coins were originally issued as ERC-20 tokens on the Ethereum network but were moved to the main Binance Chain network in 2019…
Note that the Binance blockchain uses the Byzantine Failover Consensus Framework (BFT), which means that BNB cannot be mined.
Stablecoin USDT is considered a new type of cryptocurrency. Stablecoin is a cryptocurrency backed by reserve assets with minimal volatility.
Tether combines fiat currencies with cryptocurrencies to create a new digital asset that has all the benefits of blockchain-based cryptocurrency but lacks volatility. Each token is backed by a fiat currency such as the US dollar, euro, or Japanese yen, and the coin maintains a 1:1 ratio (1 USDT = 1 USD). The reserve assets are held in Hong Kong by Tether Limited.
Due to the 1:1 ratio, the reserve of Tether is unlimited. Thus, this cryptocurrency can be used as a medium of exchange and store of value.
Suppose you want to exchange $50 for USDT. You will get the same amount in USDT, but now you can easily sell and buy, exchange, and use your funds.
Another example for traders: let’s take open positions in the bitcoin (BTC) market. If there are bearish trends in the market, traders can convert their BTC into USDT to avoid incurring losses. This gives them the opportunity to buy back bitcoins at a lower price using USDT and wait for the bitcoin price to rise.
Monero is a cryptocurrency aimed at securing personal data using the CryptoNote protocol. Monero can be ranked alongside the likes of Dash, AnonCoin, and LibertyCoin, all of which compete for maximum transaction anonymity. CryptoNote represents a unique code and is not a fork of bitcoin. CryptoNote uses circular signatures to hide personal data along with untraceable transactions, which is achieved by using one-time keys for each individual transaction.
With the support of this method, a group of cryptographic signatures including at least 1 real member is seen, but the real member cannot be isolated since all of them seem to be valid. Because of exceptional security devices similar to this one, Monero has developed a rather obscure reputation, it has been linked to criminal operations around the world. But it is a key candidate for anonymous criminal transactions, the privacy inherent in Monero could still be useful to dissidents of repressive regimes around the world. As of January 2021, Monero has a market capitalization of $2.8 billion and a token price of $158.37.