Bitcoin often dominates the news when discussions revolve around best cryptocurrency, yet there exist numerous alternative digital currencies apart from it. These alternative coins, known as “altcoins,” are frequently perceived as secondary options compared to Bitcoin.
Although Bitcoin holds the distinction of being the pioneering cryptocurrency since its inception in 2009, several others have gained substantial popularity, albeit not on the same scale as the original.
Bitcoin makes all the features when it comes to cryptocurrencies, but there are actually thousands of other alternatives when it comes to these advance monetary forms. Here are a few of the foremost prevalent sorts of cryptocurrencies.
List Of The Top 12 Best Cryptocurrency.
Market capitalization: $590.8 billion
Bitcoin (BTC), the original cryptocurrency created by Satoshi Nakamoto in 2009, operates on a blockchain network where transactions are recorded and verified through a process called proof of work. This ensures the security and integrity of the Bitcoin network. Bitcoin’s value has significantly increased over time, with its price growing from $500 in May 2016 to approximately $30,420 as of July 5, 2023, representing a growth of 5,984%.
Market capitalization: $229.5 billion
Ethereum is both a cryptocurrency and a blockchain platform known for its programmable features. Developers favor Ethereum due to its ability to support smart contracts and non-fungible tokens (NFTs). Ethereum has witnessed remarkable growth, with its price surging from around $11 in April 2016 to approximately $1,909 by the end of July 2023, resulting in a growth of 17,256%.
Market capitalization: $83.4 billion
Tether (USDT) is a stablecoin, backed by fiat currencies such as the U.S. dollar and the Euro. It aims to maintain a value equivalent to these currencies, providing stability amidst the volatility of other cryptocurrencies. Tether is favored by investors who seek a more consistent value compared to other digital coins.
Market capitalization: $37.2 billion
BINANCE Coin (BNB) is a cryptocurrency primarily used for trading and paying fees on the Binance exchange, one of the largest crypto platforms globally. Over time, Binance Coin has expanded its utility beyond the exchange and can now be used for various purposes, including payment processing, trading, booking travel arrangements, and exchanging for other cryptocurrencies like Ethereum or Bitcoin. BNB’s price has experienced significant growth, rising from $0.10 in 2017 to around $239 by late July 2023, marking a gain of 238,458%.
Market capitalization: $27.7 billion
Similar to Tether, U.S. Dollar Coin (USDC) is a stablecoin backed by the U.S. dollar, aiming for a 1:1 ratio. Built on the Ethereum blockchain, USDC enables global transactions with the stability provided by its fiat currency backing.
Market capitalization: $24.9 billion
XRP is a digital currency created by Ripple, a company specializing in digital technology and payment processing. XRP is designed to facilitate the exchange of different currency types, including fiat currencies and major cryptocurrencies, on the Ripple network. From its price of $0.006 in early 2017, XRP’s value reached $0.48 as of July 5, 2023, representing an increase of 7,844%.
Market capitalization: $10.0 billion
Cardano (ADA) is a cryptocurrency that embraced proof-of-stake validation early on, which improves transaction speed, reduces energy consumption, and minimizes environmental impact compared to proof-of-work systems like Bitcoin. Similar to Ethereum, Cardano enables smart contracts and decentralized applications using its native coin, ADA. ADA has experienced moderate growth, with its price rising from $0.02 in 2017 to $0.29 as of July 5, 2023, marking an increase of 1,330%.
Market capitalization: $9.4 billion
Initially created as a joke in 2013, Dogecoin gained popularity and became a prominent cryptocurrency due to its dedicated community and humorous memes. Unlike many other cryptocurrencies, Dogecoin does not have a maximum supply, making it susceptible to devaluation as more coins are created. Dogecoin’s price increased from $0.0002 in 2017 to $0.07 by July 2023, representing a growth of 33,408%.
Market capitalization: $7.5 billion
Developed for decentralized finance (DeFi) applications, decentralized apps (DApps), and smart contracts, Solana operates on a hybrid proof-of-stake and proof-of-history mechanism to ensure fast and secure transaction processing. Solana’s native token, SOL, powers the platform. Starting at $0.77 upon its launch in 2020, SOL’s price reached approximately $18.80 by July 5, 2023, resulting in a gain of 2,341%.
Market capitalization: $7.5 billion
Litecoin, one of the earliest alternative cryptocurrencies to Bitcoin, was designed to address perceived limitations of Bitcoin, such as slower transaction speeds and mining monopolies. Litecoin aims to facilitate everyday transactions, positioning itself as a “store of value” digital currency. Unlike Bitcoin’s maximum supply of 21 million coins, Litecoin is capped at 84 million coins and offers other technical differences.
Market Capitalization: $7 billion
Tron is a blockchain ecosystem created by Justin Sun in September 2017 with the aim of decentralizing the internet using decentralized apps and blockchain technology. According to data done online, Tron has the largest stablecoin circulation supply in the world at the rate of $0.07443.
Market Capitalization: $6 billion
Launched in May 2020, Polkadot is a digital currency that combines blockchain technology from various cryptocurrencies. The co-founder of Ethereum was one of the inventors of Polkadot, and some industry observers believe Polkadot aims to usurp Ethereum’s throne with a supply price of $4.99.
WHAT TO NOTE:
Since the cryptocurrency market is a wilderness, speculators in these digital assets should not invest more money than they can afford to lose. Crypto assets faced downward pressure for most of 2022, and trading remained volatile in the first half of 2023. It is also important to note that retail investors often trade with experienced players, making it a difficult experience for beginners.
Price and market capitalization source from coinmarketcap.com.
