Bitcoin is the most widely used cryptocurrency with the largest market capitalization. In other words: Bitcoin has already proven itself. So, if you want to buy cryptocurrency, bitcoin is usually the first choice and you will find it at https://bitalphaai.app/fr/. However, this does not change the fact that price fluctuations are huge and that Bitcoin will not one day be replaced by another cryptocurrency. So you need to know the alternatives. In this additional article, you will find ten interesting coins with growth potential in 2022. Below you will learn more about the choice of coins.
Bitcoin, Ethereum and Co.
The original goal of cryptocurrencies was to create a decentralized payment system, independent of banks, anonymous for each user and at the same time secure. In 2009, Bitcoin became the first cryptocurrency to meet these requirements, paving the way for countless other virtual currencies. The biggest differences between bitcoins and altcoins are mostly technical, such as the form of the blockchain or how data is processed and stored. Alternative cryptocurrencies basically use a different transaction verification process on the blockchain, which allows transactions to be made much faster and cheaper. Cryptocurrencies such as Ethereum are focused on bringing blockchain technology to the financial market, Litecoin (very fast), as well as a self-developed fork of Bitcoin Cash.
Binance Coin (BNB) is a coin of the Binance crypto platform that operates a smart contract platform in addition to the crypto exchange of the same name. Binance Coin has been around a little longer than a cryptocurrency exchange. The initial base was the Ethereum blockchain, which was followed in 2019 by the change of the main network to the Binance chain. In addition to limiting the number of coins, Binance relies on regular coin burns, in which a portion of the profits made by the exchange is destroyed using smart contracts. With a market capitalization of nearly $52 billion, BNB is the fifth largest cryptocurrency. The BNB exchange rate is currently (at the beginning of August 2022) just over $320.
Unlike Bitcoin, Cardano uses a more efficient Proof-of-Stake procedure to validate transactions on the blockchain. While the Bitcoin blockchain can technically only process a few transactions per second, a cryptocurrency like Cardano can do it multiple times. This makes this cryptocurrency especially interesting for DeFi applications and smart contracts. DeFi stands for decentralized finance and refers to decentralized financial markets. Since there is no mining involved in the stake verification process, resource consumption is also significantly lower. In the context of increasingly stringent climate protection laws, coins like Cardano (ADA) may be the most sustainable alternative. Cardano (ADA), with a market capitalization of almost $18 billion, is currently the seventh largest cryptocurrency and is trading at almost 0.
Solana (SOL) also allows you to make fast transactions. The system must be able to perform 50,000 transactions per second. More and more investors are buying the Solana coin and see it as an alternative to traditional cryptocurrencies. By market capitalization, SOL is currently ranked 9th among the largest cryptocurrencies, so interest has decreased slightly compared to the previous year. At the time, it was the 5th largest cryptocurrency.
When Dogecoin exploded overnight in 2021 following tweets from Tesla CEO Elon Musk, many observers predicted the short life of the cryptocurrency, which was already launched in 2014. Indeed, as a coin with no real utility and built-in infinite inflation, there is little to be said for dogecoin as a long-term investment. Today, the cryptocurrency is still trading at just under $0.07 and with a trading volume of $9 billion, it ranks 11th among cryptocurrencies by market capitalization. However, this should not encourage investors to short-term investments. Dogecoin remains a highly speculative investment with a high risk of complete loss. This risk should be reflected in the weighting of the position in your portfolio.