Digital currency or cryptocurrency took the world by storm and if you are keeping up with the news and current trends around the world, the value and market cap of these cryptocurrencies has never been higher. Bitcoin is the top name of cryptocurrency and it has managed to stay on 1st position since its introduction in the market back in 2009. After Bitcoin, there are many currencies including Ethereum, Litecoin, and Bitcoin cash, Dogecoin, Ripple and Neo. These and hundreds of other cryptocurrencies are known as Altcoins. Basically Altcoin can be any cryptocurrency other than Bitcoin. At this moment, there are more than 200 cryptocurrencies exist in the world and some of these have higher market value i.e. Ethereum and Litecoin while some are new to the game but still have lots of potential and promising success in the future.
Key Features to Choose a Cryptocurrency:
- Availability and restrictions globally
- Market cap and market value
- Buying value of the currency
- Purchase methods
- Reputation and security
- Trading platform
- Acceptance of fiat currency
- Deposit and withdraw facilities
- User interface
Best Altcoins to invest in 2020-2021:
There is no doubt that the top cryptocurrency is Bitcoin but what comes after that? There are different schools of thoughts but majority agrees that Ethereum is the second most valued cryptocurrency globally. This is evaluated by the total value of the currency with its current market cap.
When this cryptocurrency was first introduced, core objectives of inventing it were; simplicity, agility, efficiency, global use and modularity. This cryptocurrency somehow managed to create an excellent element of Blockchain which is known as smart contracts. In Blockchain ecosystem, contracts are the most vital and crucial factor on which entire transaction relies. The most important factor that attracts traders and investors to Ethereum is that its price is around $150 but it’s still the 2nd best cryptocurrency in the world with its market value totaling up to $1 billion.
One of the fastest growing cryptocurrencies is Litecoin and as a trader or investor, you may not want to give any consideration to this currency but consider the fact that from its introduction in market about 3 years ago, the value of Litecoin has increased more than 7291% and if you check the increase of value of Bitcoin, it’s not more than 1731% in more than 10 years. This simple comparison can tell us lot about this cryptocurrency and how it’s going to be one of the most powerful currencies in coming years. Unlike Bitcoin, Litecoin uses Script algorithm which is proven to be quick and more efficient. This result in faster time of decoding blocks and miners can benefit from fast addition to Blockchain and higher rewards in lesser time.
Binance is an exchange where you can trade, buy and sell your cryptocurrencies and this platform also has its own cryptocurrency.
This is one of the fastest and most efficient cryptocurrencies in 2020. You can estimate the market cap and value of Binance coin by the fact that at this moment, there are more than 95 million Binance coins in circulation around the world and it’s been operation not more than 3-4 years. There were some ups and downs along the way but since last 6 months, there is a steady growth in the rate of Binance coins which makes this currency one of the most profitable cryptocurrencies in coming years.
The most important thing to understand about Bitcoin cash is that it is still a part of Bitcoin but it’s made a little simpler and convenient for frequent users. Investors and traders take great interest in Bitcoin as it’s the top cryptocurrency in the world but some people see it as a source to invest but regular transactions are expensive. To attract more people and float the idea of Bitcoin as another form of cash, Bitcoin cash was introduced. Some of the major improvements that Bitcoin cash offers are; bigger block sizes that go up to 8MB, new form of transaction and added security measures and safety layers for securing wallets and assets.
When we are searching for Altcoins and see Ripple as a potential winner, maybe the best thing here is to compare it with Bitcoin. First of all, Ripple doesn’t require mining which means there is no reward for mining as well. Bitcoin has transaction speed of 10 minutes which is almost same all around the world but Ripple is known for its super fast transaction speed that only takes 5 seconds per transaction. It’s also impressive to see that transaction costs of Ripple are far lesser compared with Bitcoin 40% in comparison with 0.004%. Although the value of Ripple is not as high as Bitcoin but keep in mind that there are only 21 million Bitcoins in existence but Ripple coins are above 100 billion.