Did you know that there are currently over 2,000 cryptocurrency coins in the world? As a matter of fact, Burger King and Vladimir Putin have coins that are named after them; Whoppercoin and PutinCoin, respectively. In all honesty, it may be hard to keep up with the names of the coins as they are being created with every passing day. There are those coins that seem to be quite popular like Ethereum and Bitcoin and they are known to increase in value. However, in the recent past, there was a dip in the market that has brought new coins into the limelight.
There are different groups of cryptocurrencies, most of them being grouped according to their purpose and value. Cryptocurrencies have different utilities which are based on the vision that the founders had. If you are thinking of investing in cryptocurrencies, it is imperative to understand the different coins that are available on the market. In this article, we will look at the most popular coins. There are tons of cryptocurrencies but most of them have insignificant value. This is the reason why most investors pass over the smaller coins and focus on the big boys in the crypto market.
Which are the Most Popular Coins?
Understanding the various coins in the crypto market is imperative. There are some which are assets while others are networks, and it is important to tell the difference. For instance, Ethereum uses Ether and ETC for the network and native cryptocurrency. Bitcoin, on the other hand, uses the same name, BTC for both cryptocurrency and blockchain networks. At this moment, Bitcoin is the currency that rocks the whole market, and even though it’s unstable and volatile, people still appreciate it. Probably it will become (or it already is) a symbol of the existence of the crypto world, and keep the status “the crypto gold” forever, even if it disappears one day. The list may keep changing as there are coins that are coming up strongly and have incredible value. As such, we will keep updating the list.
Here are the top cryptocurrencies on the market:
- Bitcoin – We don’t really need to talk a lot about this one, since it’s the most popular among them all. At the same time, its price is changing almost every day, and there is rarely a flat line on the charts. But, people still love it, and if you ask them, they will always be interested in Bitcoin, no matter the fact they can’t really afford it.
- Ethereum – Ethereum is an open-source blockchain platform, and its native cryptocurrency is known as Ether. It’s generated as a reward for the Ethereum activity, and the miners can process it immediately. They are using the symbol Ξ, which is the Greek letter known as Xi, even though the official code is ETH.
- XRP – Ripple is a well-known payment protocol and a parent of the cryptocurrency known as XRP. The transactions are fast, and the money is distributed through an open-source protocol. They support fiat currencies too.
- Tether – This is the most popular stablecoin, because it’s tied to the American dollar, and its price was intended to be $1 forever. Surely, there were some changes over the years and even legal issues, but being the most popular stablecoin is a huge thing nowadays.
- Cardano – Cardano is another great blockchain platform, and the co-founder of Ethereum is its owner. Their native cryptocurrency is known as Ada. It was launched in 2017, which means it’s relatively new in the market.
- Stellar – Stellar is made to help crypto owners to transfer their money for lower costs. The platform is hosted on GitHub. The currency that came out from this project is known as Stellar Lumens, and their price is really small, but still gain a lot of interest, since the network is widely used.
- Chainlink – Another project built by Ethereum, but for smaller contracts and transactions. It’s popular among independent crypto users who aren’t interested in massive transactions.
- Uniswap – One of the most anticipated trading platforms, that is using tokens to complete the transactions. It’s one of the biggest names on the crypto market nowadays.
- Polkadot – This is one of the most popular multi-chain concepts in the crypto world, which means it’s based on interconnected blockchains. And as you suppose, one of the Ethereum co-founders is “guilty” about its existence nowadays.
- USD Coin – Another important digital stablecoin that is tied to the US dollar, and it uses many protocols, like Ethereum, Stellar, Algorand, and Solana. It’s a part of the official crypto exchanges, and even though it’s followed by a drama, it’s pretty practical for fast transactions among USD users.
Cryptocurrency is Decentralized Currency
Generally, currencies are regulated by financial authorities and banks, which is not the case with cryptocurrencies. This is a new world of decentralized finance, where there is no involvement of banks or any other financial institutions. When you think about all the activities that entail other forms of currencies, there is some level of regulation or control by the authorities. However, the transactions on BigMoneyRush are autonomous as this is the nature of cryptocurrencies.
Cryptocurrency appears to be the new technology in the financial markets. Technology has taken over different industries and there are so many people who automated different activities. This may be what decentralized finance will be all about. Imagine securing a loan or completing different transactions in an automated manner without conventional regulations? There are many people, especially in developed countries that seem not to understand how an unregulated finance system would be appealing. However, for countries that have financial instability, this is an appealing model.
Cryptocurrencies have different purposes and use, just like traditional currencies. For instance, you can easily secure a loan from decentralized finance in the form of crypto. Even with the various risks involved, this is a revolutionary idea that may change the finance markets. Smart contracts are now taking effect on various app networks like Ethereum. In such cases, when borrowing money, you will be required to put cryptocurrency as collateral. The main objective of the cryptocurrency industry is to make decentralized finance acceptable globally. This will make transactions run automatically with no intermediaries.
Cryptocurrency coins are in their thousands. This is way different from the common currencies that we know of. With an understanding of the different types of coins, you can make an informed decision on the specific ones that you can invest in. Please note that the top cryptocurrencies may keep changing as their values change.