Altcoins are cryptocurrencies other than Bitcoin. They are similar to Bitcoin but different as well.
For instance, most altcoins distinguish themselves from Bitcoin by providing new or additional capabilities, such as smart contracts or low-price volatility in the cryptocurrency market.
There are up to 9000 cryptocurrencies as of March 2021 and according to CoinMarketCap, altcoins accounted for over 40% of the total cryptocurrency market.
If you find it hard navigating through the numerous cryptocurrencies and not knowing which coin to invest in, a great platform that solves this issue is the YuanPay Group. They serve as a brokerage for the investments and acquisition of cryptocurrency.
Moving on, altcoin price movement tend to mirror Bitcoin’s trajectory and this is because they are derived from Bitcoin.
As stated earlier, the basic framework for Bitcoin and altcoins is similar; they share code and function as peer-to-peer systems capable of processing large amounts of data and transactions at the same time. In some instances, altcoins are considered to be an inexpensive method for digital transactions.
Here are the top 10 altcoins in the crypto market currently.
Ethereum is a decentralized software platform that enables Smart Contracts and Decentralized apps (DApps). Their technology eliminates the need for a middle man and allows for the creation of innovative financial tools.
Ethereum is the second most valuable cryptocurrency after Bitcoin. It has a current market capitalization of $64.35 billion.
Ethereum has seen rapid gains in price over recent years, the coin has been on a steady rise through most of 2021, and currently, the market value of one ETH is $2,903.70.
The goal of Ethereum is to make financial products more accessible for everyone. In areas without reliable banking services, users can run Ethereum products to access loans, mortgages, payment platforms,
2. Litecoin (LTC)
Litecoin launched back in 2011 as one of Bitcoin’s first alternatives and right now it remains one of the top 10 in the crypto market cap. The coin was created by Charlie Lee, an MIT graduate and former Google engineer.
Technically, Litecoin is very similar to Bitcoin, with a few minor tweaks. Because of their similarity, the two coins move closely at price.
Litecoin has been in the cryptocurrency market for 10 years. Now, this is considered a rare feat, seeing as how unpredictable the crypto market can get.
The main difference between BTC and LTC?
- Litecoin confirms payments faster and
- Litecoin uses a different cryptographic algorithm.
3. Cardano (ADA)
Similar to Ethereum, Cardano is popular because it enables financial applications and decentralized apps (dapps). Its value exploded barely a year ago, starting as a fraction of a penny then jumping to nearly ten cents a pop.
Cardano is currently the fourth largest crypto in market cap. As another part of its value add, Cardano validates transactions with low energy costs.
4. Ripple XRP
Ripple is based on the XRP Ledger.
XRP is used by some financial institutions to transfer payments across borders faster and cheaper than existing systems.
XRP is not based on blockchain, but rather an open-source distributed ledger database. The coin’s market appeal plummeted due to serious regulatory issues. According to Financial News Herald, the token price is down more than 60% since Dec. 22 last year when the SEC filed its complaint against Ripple.
5. Binance Coin (BNB)
Binance Coin is a utility cryptocurrency that serves as a payment method for the fees associated with trading on the Binance Exchange. The Binance is one of the most widely used exchanges in the world based on trading volume.
Those who use the token as a means of payment for the exchange can trade at a discount.
Dogecoin was launched in 2013 and was initially used for tipping on forums online and occasionally for donations. It is one of the few top altcoins with no limit to the number of coins that can be mined, and thus supply is unlimited over time.
Many skeptics did not expect the digital coin to grow in the competitive crypto market over the years or rank among the top cryptocurrencies in 2021.
Dogecoin is one of the crypto coins that analysts consider as a budding investment.
Several factors have played a key role in its high prestige, for instance, tweets by Elon Musk and recent Gamestop events.
Polkadot is a unique proof-of-stake cryptocurrency that is aimed at delivering interoperability among other blockchains; in other words, it allows systems to interact together under one roof.
Polkadot differs from Ethereum in the sense that, rather than creating just decentralized applications on Polkadot, developers can create their own blockchain while also using the security that Polkadot’s chain already has.
Ethereum developers can create new blockchains but need to develop their own security measures. This can leave new and smaller projects open to attack, as the larger a blockchain, the more security it has. This concept in Polkadot is known as shared security.
8. Bitcoin Cash
This coin emerged when the Bitcoin community split in 2017 over the direction it should take. Bitcoin Cash may have a lower exchange value than Bitcoin, but it offers faster transaction speeds and lower transaction fees.
As of September 2021, BCH has a market capitalization of around $12 billion and a value per token of $64.
9. Uniswap (UNI)
Uniswap is an extensive decentralised exchange that is behind the UNI coin. Uniswap hit the market within the Defi framework while the UNI coin emerged in 2020. Though it’s new in the industry, the UNI coin has achieved significant landmarks and is currently one of the DeFi coins to join the top race.
The digital coin traded at $33.54 on 8 March, which is considered to be a historic record for a coin that was launched barely a year ago.
Market analysts believe this price is below its expected potential growth and that UNI coin displays a considerable potential to surge yet more.
As its name suggests, Dash is known for its speedy transaction rate. Once called Dark Money, this financial tool is built for cheap, quick transactions. You can transact for under a cent in less than a second.
Dash is built on Bitcoin tech but has more privacy—Dash keeps public addresses hidden. That means senders can remain anonymous. For Bitcoin, it may be difficult to trace a public address to an individual, but the entire world can see every public address.