If you’re interested to invest in Bitcoin, what are the best cryptocurrencies to invest? Check out the following and discover.
- Bitcoin (BTC)
With a market capitalization breaching the £537 billion mark, Bitcoin remains the world’s leading digital currency. Satoshi Nakamoto created BTC in 2009, running on a digital ledger recording transactions across a network of supercomputers worldwide. Updating the distributed digital ledger requires solving a cryptographic puzzle, keeping the digital currency safe and secure from unscrupulous individuals.
Bitcoin has seen exceptional growth, with experts believing it will only grow more robust. People could buy a BTC for £370 in May 2016. Less than six years later, BTC is at the £28,000 mark for a 7,600% growth.
- Ethereum (ETH)
Ethereum is a digital currency with a market capitalization of at least £240 billion. Although ETH plays second fiddle to BTC, programmers and developers love ETH because of its endless potential applications.
Like BTC, ETH also performs exceptionally well on the market. Its price in April 2016 was only £8 apiece. As of February 2022, a single ETH costs investors £1,980 for an almost-unimaginable 25,000% growth.
- Tether (USDT)
Most cryptos do not have the backing of a flat currency, such as the UK pound, Euro, and US dollar. Not the Tether. This digital currency hinges on a flat currency’s real-time value, making it a favorite of investors who prefer stability instead of volatility in their digital coins. Unsurprisingly, people call USDT a stablecoin, with a market cap of more than £57 billion.
- Binance Coin (BNB)
Launched in 2017, Binance Coin grew to become one of the most exciting and high-performing cryptocurrencies, with a market capitalization of at least £46 billion. It is the digital currency of Binance, one of the world’s largest cryptocurrency exchanges, empowering BNB holders to trade on the platform.
Although BNB started at less than 10 pennies, it is now worth £277 apiece for a net gain of 377,000%. One can use BNB to trade, process payments, and make travel arrangements. Adventurous investors also like its tradability with BTC, ETH, and other cryptocurrencies.
- US Dollar Coin (USDC)
The US Dollar Coin is similar to Tether (USDT), a stablecoin. USDC’s value is proportionate to the US dollar. Hence, people who want to buy 1,000 USDC can pay 1,000 US dollars. This cryptocurrency relies on the Ethereum blockchain, allowing investors to perform global transactions under the ETH platform. As of February 2022, USDC’s market capitalization is more than £32 billion.
- Cardano (ADA)
Although a new entrant to the digital currency market, Cardano is an early adopter of proof-of-state validation. It eliminates the competitive, cryptographic puzzle-solving verification process common in other cryptocurrencies. The method hastens transactions and reduces energy consumption to limit crypto mining’s environmental impact.
With a market capitalization of more than £26 billion, Cardano started at 1.5 pennies apiece. By February 1st, 2020, the cryptocurrency is already at 77 pennies, growing by 5,150%. This digital currency works like ETH in providing investors with decentralized applications and smart contracts.
- Solana (SOL)
Like Cardano, Solana believes in proof-of-state validation to facilitate more secure and quicker transactions. It is also an adopter of proof-of-history systems, enabling Solana to deliver its promise of fueling smart contracts, decentralized apps, and decentralized finance.
Although launched in 2020, Solana’s price grew by almost 13,000%, from 57 pennies to £74 by February 2022. Its market capitalization is more than £25 billion.
- XRP (XRP)
XRP is similar to Binance Coin, allowing XRP holders to use the digital currency to trade and conduct business on Ripple – a virtual payment processing and digital technology organization. People can trade XRP with leading cryptos and flat currencies.
In 2017, a single XRP cost less than a penny. Five years later, this digital currency grew by nearly 10,000%. It has a market capitalization of at least £21 billion.
- Terra (LUNA)
Terra serves as a platform for stablecoin transactions, specifically Terra-backed stablecoins. On the other hand, LUNA drives Terra, allowing cryptocurrency miners to find more Terra stablecoins.
One advantage of this crypto is its incentives. Luna holders can sell their coins if their value rises above the flat currency’s value, creating more Terra-backed stablecoins. They can also sell their stablecoins if Luna values fall below the partner flat currency’s value.
Terra has a market capitalization of more than £15 billion and a February 2022 value of £37.79 from a starting value of 47 pennies in January 2021.
- Polkadot (DOT)
Polkadot aims to integrate different blockchains into a single network to improve efficiency and collaboration. Experts believe the integration can improve cryptocurrency management and ensure Polkadot’s continued growth. As of February 2022, DOT has a market capitalization of more than £14 billion.
There you have the cryptocurrencies to watch out and invest in 2022 that you might want to consider. Before getting into crypto investments study your options well and consult a finance expert for guidance.