Ever wondered what the buzz around cryptocurrency is and most importantly why is everyone talking about it? If you took time and analyzed the price movement of cryptocurrency, you would notice that the biggest market capitalization has been witnessed this past few weeks. In these past few years, numerous organizations have tried to adopt blockchain technology, thus, giving rise to its boom. And how can we forget about Tesla? Tesla (whose CEO Elon Musk is a huge crypto fan), has announced a 1.5 billion dollar purchase of Bitcoin. Elon Musk even tweeted station that they would accept Bitcoin as a medium of exchange. The push that cryptocurrency has been receiving is indeed massive!
Are you planning on entering the crypto world? Right now, there are thousands of options to invest in, hence we would like you to be aware of a few important cryptos. How about we have a look at the top ten cryptos in the market? Well, let go then.
#1 – Bitcoin
Need we even mention Bitcoin? Bitcoin rules the crypto land like a king. Like Xerox is to photocopy, Bitcoin is to cryptocurrency. Bitcoin has been ruling the cryptocurrency market since its inception in 2008. Bitcoin has soared in the crypto world by having the highest liquidity value. Bitcoin aims to become a decentralized currency with no regulations involved. Despite the immense volatility of the crypto market, Bitcoin has served to be the most stable when compared to other cryptos. The popularity of Bitcoin is likely to increase manifold in the coming future as it is becoming the future of payment. Despite many alternatives, Bitcoin soars at the highest position by owning more than 40% of the market.
#2 – Ethereum
After Bitcoin, Ethereum is the most valued cryptocurrency and continues to fare way ahead of its competitors. It is the first crypto that introduced ‘smart contracts’ which created a network that allows developers to create decentralized applications powered using blockchain technology. Ethereum has stayed at the top position since the very beginning.
#3 – Litecoin
This cryptocurrency has managed to be top three on this list due to its liquidity and market capitalization. Mining Litecoin is easier and more convenient for miners. On average, for Litecoin, it takes just two minutes, which is considerably lower than the other cryptos and four times faster than Bitcoin. In 2017, it was the first crypto to complete a Lightning Network transaction, the transaction was completed in just one second. Of course, it did not take off as Bitcoin did, but that’s like comparing apples to oranges as both the currencies play in different leagues.
#4 – Binance Coin
If you are looking to diversify your cryptocurrency portfolio, Binance coin is the correct choice. Its parent company, Binance is a cryptocurrency exchange platform that trades various cryptocurrencies. Since Binance has exquisite parentage (strong business history), it poses fewer risks for someone who is investing in cryptos. It has continued to grow since 2017, at a slow pace, but still offers stability to its investors. With every transaction that takes place on Binance Exchange, the currency only gets stronger.
#5 – Dogecoin
Nowadays, we are also used to seeing headlines that articulate around Dogecoin. In early 2021, the price of Dogecoin hiked to new heights because of the increased push it received from Redditers. This caused herd mentality to purchase the security and thus led to its peak. Further, to prevent short-selling of the currency, Elon Musk (all over again) tweeted that he was the ‘Dogefather’, which led to the currency being promoted further. What’s more? Elon Musk even stated that he would accept Dogecoin as a mode of payment. Thus, this crypto is supported in the market and is expected to grow in the future, we expect the Dogefather to stick by his Dogebaby.
#6 – Bitcoin Cash
Bitcoin Cash originated in 2017 as a fork to Bitcoin. With the help of Bitcoin Cash, you are enabled to send money to anyone and anywhere in the world at all times. Bitcoin Cash is limited in supply (21 million) and therefore has a sound value attached to it. Moreover, this crypto would offer you a great deal of privacy compared to the traditional payment methods. Furthermore, the network fees charged for a cash transaction are less than a penny, so you can convert your Bitcoin cash into flat currency without much thought.
#7 – Ripple
Ripple is a part of this list due to its unique positioning, which differentiates it from the other competitors. International transactions such as money transfers which sometimes can take as long as ten days via banks can be completed within seconds by using Ripple. It offers financial settlement services to banks to be able to facilitate such transactions directly. Therefore, due to its collaborations with the biggest banks across the world, Ripple stands to be an ideal institutional investment.
#8 – Cardano
Are you someone who is worried about the high levels of energy consumption taken to complete a transaction? The Cardano network requires significantly less amount of energy to carry out transactions compared to other cryptos. Therefore, the transactions are faster and cheaper, making it highly convenient for its users. Since its invention in 2015, Cardano has been backed by Japanese investors; in February, the market cap of Cardano was almost $31 bn. It is said that Cardano is less prone to hacking due to the regular updates that are required.
#9 – Stellar
Stellar is an open-source, decentralized digital currency on the blockchain network that is designed to provide solutions for financial institutions. Stellar connects these organizations to aid their large amount of transactions. These large figures would normally require several days, several intermediaries, and a fine amount of brokerage or commission. With Stellar, no intermediaries are required and the cost would be negligible to make such risky transfers. Even individuals can use Stellar, in fact, anybody can. Anyone can make a cross-border transaction between any currencies that they wish to.
#10 – Tether
Although last in the list, Tether is special in its own way. This crypto has its value pegged to an external source, which is the currency value of USD. This helps the stability of the coin to reduce its volatility significantly, thus, attracting users who are wary of price fluctuations. In January, Tether had the third-largest market capitalization of over $24 billion. So you see, last but not least!
Well, we would like to conclude by sharing a small tip. The attraction towards cryptocurrency is enormous at the moment. Several experts say that the returns on such investments are massive and guaranteed. However, remember that investing in these securities comes with risks that you should be aware of. Be very cautious while allocating your money in any kind of investment for that matter and keep yourself informed thoroughly at all times. Good luck, hope your returns skyrocket!