When cryptocurrency hit the mainstream with Bitcoin’s momentous value surge, this opened the door for others to get a fair share of the crypto market. There has also been an increase in the number of investors due to the potential revenue you can earn from buying cryptocurrency. You might even be like that one man who purchased $27 worth of Bitcoins back in 2009 and forgot about them till its value shot up in 2013.
Since then, Bitcoin has steadily climbed down from its pedestal as being the only cryptocurrency investment option. Other cryptos are becoming more popular by the day, which leads investors to ask: what’s the best one out there that can take you the furthest?
If you’ve already decided that you want to jump into this rapidly growing industry, what you need to understand are the cryptocurrencies you’re considering and the market sentiment involved. Anyone who tries to convince you that a specific cryptocurrency is the absolute best out there is just out to satisfy his or her own vested interest.
The good news is there will most likely be several big winners in the cryptocurrency market. Just like the dot-com boom, companies like Google, Microsoft, and Oracle ultimately became blockbuster investments. Cryptocurrencies are expected to take the same route. But to make money with crypto investments, you’ll need to understand why they are smart investments, and you’ll have a good reason to keep them for the long term.
There are a select few cryptocurrencies that show potential and look ripe for investment. Read on to help determine which ones are going to be worth your while.
Learning About Cryptocurrencies
It cannot be stressed enough that having a complete grasp of the cryptocurrencies in the market is crucial if you’ve set your mind on investing in them. To fully understand the featured coins, here are the essentials:
Bitcoin’s main advantage is both its digital money and the payment network. It is the most popular to date, with many merchants accepting the coin for payments. This gives more opportunities for investors in terms of utility, and its unique feature allows users to retain the coin’s inherent value while converting to fiat currencies.
The major issue with Bitcoin is its transaction speed, which is slower than other cryptocurrencies in the market. It performs at a current rate of 6-7 transactions a second, which is a huge difference compared to centralized payment network Visa clocking in at 2,000 transactions per second.
Bitcoin’s popularity can also be its drawback since it also remains attractive to criminals, using it as a means to pay in the dark web. If the shady activities outweigh the legal ones, it’s possible that the system might face marginalization.
Volatility has always been an issue with the price of Bitcoin, changing over short periods of time. Just earlier this year, it was worth less than half of what it is today. Hacks, scams, and other external forces are to blame behind the price fluctuation.
While Bitcoin is the most prominent cryptocurrency in the market, Litecoin is advertised as an improved version since it was forked from it. Among all the altcoins, Litecoin seems to be the preferred option for savvy investors in the crypto market. It may be the best, most secure, and the one with the most untapped potential.
Litecoin may share numerous similarities with Bitcoin, but the former can perform transactions way faster than the latter. If Bitcoin usually takes an average of 10 minutes to complete a transaction, Litecoin clocks in at 2.5 minutes or less.
Since Litecoin is an open source project, it has the capability and flexibility to implement tech improvements, which makes it an improved version of Bitcoin. It has a less “destructive” community since it has a smaller reach compared to its counterpart and it’s considerably less volatile during market crashes.
The people’s perception may hurt the Litecoin name since many think it’s the same as Bitcoin. Due to its similarities, perhaps it may take some time before Litecoin reaches prominence and sustainability.
Ethereum leverages the advantages of blockchain technology, giving it an edge over any centralized company. It has a massive community, having 30 times more developers than the closest blockchain network. And with 250,000 Ethereum developers in its ecosystem, its size in the developer community indicates which network may win in the long run.
The sheer size of the community is a good sign of a platform’s performance. Ethereum has very little downtime, making it perfect for building mission-critical decentralized applications. Since it works on thousands of nodes, Ethereum has never had downtime due to major congestion since December 2017.
Ethereum’s mechanism for validating transactions has made the network slower, unstable, and open to congestion. Since its team is famous for prioritizing security, stability, and cost, development has been slow and lagging in rolling out updates to the network.
The Ripple network is expanding quickly, and it’s among the few cryptocurrencies that have intrinsic value. It’s starting to be used more in real-world business, with over a hundred banks and financial institutions using its blockchain technology, making it one of the best digital assets for making payments.
Ripple’s focused functionality has allowed the platform to speed up its transaction process in large doses. It now has set its sights on tapping into the Internet of Things (IoT) and Internet of Value (IoV) technologies enabled by their XRP coin.
Since IoT is making processes happen at accelerating speeds, Ripple aims to move money the same way information is moving today through the Internet of Value. This is going to make cross border payments faster, cheaper, and more reliable, offering more benefits to consumers, businesses, and banks.
The combined technology of blockchain and IoV will connect billions around the world in performing transactions. This will eventually give rise to entirely new businesses and industries and increase financial inclusion.
Unlike other cryptocurrencies, Ripple’s XRP tokens are not mined and the company is centralized in many ways. With a whopping total supply of 100 billion coins and a market cap of $15.7B, this means that the current circulating supply of around $42B is trading at about $0.37 each. With 60% of these coins still owned by the company, a cash out would crash the market (though it probably won’t happen anytime soon).
For this reason, it’s vital for Ripple to be transparent in XRP markets, specifying how much the company has sold in the open market and to institutional buyers in their quarterly report.
Noah Coin seeks to use blockchain technology for the greater good, specifically to support social and economic development on a global scale. In its relative infancy, the Noah Foundation has primarily been focusing on improving socio-economic relations between Japan and the Philippines.
Aside from that Noah Project is also in the midst of developing the Philippines’ first crypto city. Noah City is set to rise in the heart of Manila Bay, compromising of a complex township where Noah Coin is used as the local infrastructure token.
Noah Coin is used to facilitate remittance, and B2B and B2C payments on the platform. The token is used in the ecosystem for purchases, rentals, discounts, rebates, and use of amenities by members and supports of the Noah Project through the Noah Wallet.
However, the company is still working on increasing demand through attractive pricing. For now, all functions of the token is limited to its core projects within the Noah Project ecosystem.
Knowing Is Half the Battle
The world of cryptocurrency may be a fickle industry, but if you know what’s going on, your investment may well be worth your while. The key here is to avoid rushing into a decision and making yourself aware of the pros and cons of which cryptocurrency is best to bet on. It’s always prudent to be armed with complete knowledge about matters that involve investments.
There may be a lot of factors that come into play, including the price, trends, market caps, and platform goals, which presents a high risk in investing. But if you have a complete understanding of how each cryptocurrency is performing, you have a good chance of making better investment and trading decisions. Remember, the higher the risk, the greater the reward.
Ready to get started? You can now trade Noah Coin on these trusted exchange platforms.