Cryptocurrencies are becoming more and more popular, and the market has seen a sharp ascend over the last few years. Traders have become attracted to the market because with a right approach, they can make a fortune. Additionally, various companies have started to implement cryptocurrency payment methods in their businesses, promoting the public opinion of the market. Since Bitcoin was born in 2009, an estimate of 10,000 coins have been introduced over the years, but 2000 of the projects have shut down or turned out to be a scam. Considering the intangible nature of cryptocurrencies, it is vital that you know which coins have a bright future ahead of them and then decide which one is worth investment. This article introduces ten cryptocurrencies -other than Bitcoin, a yardstick against which the value of most altcoins is measured- that have a promising future and can return considerable profits.
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The cryptocurrency market can get highly volatile at times. During the volatility, the safest thing to do is to change your other cryptocurrencies to a stablecoin unit until the market goes back to normal. Tether was developed in 2014 on Bitcoin blockchain using Proof of Reserve standard and aimed to incorporate fiat money in digital currencies. Tether is one of the most popular stablecoins and is pegged to the US dollar, and its value is almost the equivalent of 1 dollar. As of September 2021, Tether is the fifth-largest asset by market capitalization ($ 65.5 billion)
Ethereum is a blockchain platform, and its issued cryptocurrency Ether (or Ethereum) is the second most expensive cryptocurrency after Bitcoin, with every coin having a value of $3,170 at the time (21/09/01). The platform has been developed with its individual programming language, Solidity, using Proof of Work (POW). It allows users to sign smart contracts and run decentralized applications (dApps) without the control and interference from a third-party organization. The goal of Ethereum is to provide the means for everyone around the globe to have free access to financial products.
Litecoin is famous for being “silver to Bitcoin’s gold” and was developed in 2011 as a fork of Bitcoin. LTC uses Scrypt as the standard scheme for Proof-of-Work protocol. Scrypt was designed to prevent custom hardware attacks on LTC. The coin aims to generate blocks and perform transactions at faster rates compared to Bitcoin. In addition, LTC pursues an unfinished Bitcoin project called Segregated Witness or SegWit that aims to detach signal data outside the base block. LTC has a limited supply of 84 million coins, and its Current Market Price (CMP) is $173.
As stated earlier, Ethereum, a second-generation platform, uses POW protocol and needs a great deal of energy to operate. Energy consumption has been a serious challenge for projects using POW, especially with the serious alerts issued by environmentalists about the drastic climate changes. As a result, Proof-of-Stake (POS) was developed as a more efficient alternative for POW, and Cardano, a third-generation platform, founded its project on a POS basis. ADA is the primary coin of Cardano. The project pursues the same aims as Ethereum consuming less energy.
Polkadot is a POS project developed to create a medium where platforms (permissioned or permission-less) from different blockchains can work together, serving an interoperable purpose. Using Polkadot, developers can create their blockchain in a secure environment. Furthermore, the platform can be used to transfer arbitrary data as well as tokens. DOT is the official cryptocurrency issued by Polkadot with a CMP of $25 and $24.9 billion worth of market capitalization.
Bitcoin Cash (BCH)
Bitcoin Cash is another successful fork of bitcoin that was created in August 2017 but later in November 2018 split into two versions: ABC and SV (Satoshi Version). The purpose of BCH is to increase the block size in Bitcoin blockchain from 1MB to between 8MB and 32MB and, consequently, accelerate transactions’ confirmation processes. Thanks to BCH, Bitcoin blockchain -which could formerly process 1,500 transactions per block- handles up to 25,000 transactions per block. BCH has a supply limit of 21 million coins and is currently worth $644 with a $12.1 billion market cap.
Stellar is a non-profit corporation that obtained its funding from Stripe (an online payment infrastructure) and donations from Google, BlackRock, and other organizations. Stellar’s project is aimed at developing economies and hopes to provide enterprise solutions to connect institutions from around the globe and reduce the transaction fees for money transfer between the institutions without the presence of a third party. However, anyone can use the platform, and it is not restricted to entrepreneurs. Stellar issued Lumens (XLM) as its primary cryptocurrency. The token is worth $0.33, and its market cap is $7.9 billion.
Solana is a newly-developed platform that provides Decentralized Finance (DeFi) solutions. What is new in the project is the hybrid consensus algorithm that can handle a maximum of 50,000 transactions per second. The platform is open source and is based on two protocols: Proof of Stake and Proof of History. The duality of protocols has inspired retailers and institutional traders, and SOL, the project’s cryptocurrency, has experienced rapid growth since Solana was officially launched in March 2020. Right now, the value of an SOL is $106, and it has a market cap of $30.6 billion.
Chainlink is a decentralized oracle network that connects off-chain data with smart contracts via Service Level Agreement (SLA) software that meets the needs of blockchain users. The project claims to fill the gap between blockchains and the real world. Chainlink ensures the security of oracle networks using ERC-20 token but has a POS algorithm. LINK is the official token for Chainlink with a maximum supply of 1 billion tokens, presently worth $25 with a market cap of $11.2 billion.
Binance Coin (BNB)
BNB is the coin issued by the popular cryptocurrency exchange, Binance. BNB initially used the TRC-20 token but eventually developed blockchain and now operates on POS protocol. BNB is used to pay transaction fees for trades in Binance with a discount, and the trader can exchange BNB against other cryptocurrency. Currently, one BNB is worth $478, and its market cap is $79.8 billion.