There are dozens of different cryptocurrencies, ranging from Ethereum and Bitcoin to Dogecoin and Tether. If you are just starting out in the world of cryptocurrencies, it can be very confusing because there are so many different options.
These are the top 10 cryptocurrencies on the market based on their overall market capitalization, which is the total worth of all of the coins that are currently in circulation. Hopefully, this will help you gain your bearings.
Taking a Closer Look at New Tokens on the Market to Buy
Investors who are interested in purchasing bitcoin need to be certain that any prospective investment opportunity is appropriate for their portfolio, whether it be in terms of the amount of risk involved or the degree to which it is diversified.
The good news is that the list of the fastest growing crypto currencies has a wide variety of opportunities, which guarantees that there is an investment strategy suitable for any type of investor. So, without any further ado, let’s dig in and have a look at some of the most exciting cryptocurrencies on the market in 2022.
Bitcoin
Bitcoin (BTC) is the first cryptocurrency ever created. It was released into circulation in 2009 by an unknown person using the alias Satoshi Nakamoto. BTC operates on a blockchain, or a distributed ledger that logs transactions and is spread out across a community of thousands of computers, just like the majority of other cryptocurrencies.
Bitcoin is maintained safe and secure from fraudsters thanks to a mechanism known as proof of work, which requires changes to the distributed ledgers to be confirmed by finding the solution to a cryptographic problem.
The price of bitcoin has surged as a result of its increased visibility in the public eye. In May of 2016, the cost of purchasing a Bitcoin was approximately $500. As of the first of March in 2022, the price of a single Bitcoin was more than $44,000. That equates to a growth of almost 7,800%.
Ethereum
Ethereum, which is both a crypto and a blockchain platform, is a favourite among program developers due to the potential applications that it could have. These applications include so-called smart contracts, which are agreements that automatically carry out their terms when certain conditions are satisfied (NFTs).
Ethereum, too, has seen remarkable expansion in recent years. Its price increased by more than 27,000% between the time period of April 2016 to the start of 2022, going from approximately $11 to over $3,000.
Tether
Tether is a stablecoin, which means that it is backed by fiat money such as the U.S. dollar and the Euro and that it theoretically preserves a value equal to one of these denominations. This is in contrast to other kinds of cryptocurrency, such as those based on blockchain technology.
Theoretically speaking, this indicates that Tether’s value should be more stable than the value of other cryptocurrencies; hence, investors who are concerned about the severe volatility of many other coins tend to favour Tether.
Binance Coin
Binance Coin is a type of cryptocurrency that may be used to trade on Binance, which is one of largest cryptocurrency exchanges in the world, as well as pay fees associated with trading. Binance Coin has gone beyond its initial purpose of facilitating trades on the Binance exchange platform since it was first introduced in 2017.
Trading, the processing of payments, and even making trip reservations are now all possible uses for the platform. Additionally, it may be bought, sold, or otherwise transacted for other cryptocurrencies, like Ethereum or Bitcoin, via trading or exchange.
In 2017, BNB traded at a price of only $0.10. Its price has increased to roughly $413 by the start of March 2022, representing a gain of around 410,000% in value.
XRP
XRP is a digital currency that can be used on the Ripple network to accommodate exchanges of various currency types. These currency types include fiat currencies as well as other major cryptocurrencies.
XRP was invented by several of the same founding members as Ripple, a digital networking and payment processing company. The value of XRP reached $0.006 at the start of the year 2017. Its price has reached $0.80 as of March 2022, representing an increase of far more than 12,600% in that time.
Terra
The Terra blockchain platform is a payment system for stablecoins that operates on the principle of maintaining a stable equilibrium between two distinct forms of cryptocurrency. Stablecoins backed by Terra, such as the TerraUSD, have their value pegged to that of traditional currencies.
The Terra platform is powered by its counterweight, Luna, which is also used to create additional Terra stablecoins. Both the Terra stablecoins and the Luna cryptocurrency respond to changes in supply and demand as follows: Users are encouraged to destroy their Luna in order to generate more of the Terra stablecoin whenever the price of the stablecoin increases above the value of the currency to which it is tied.
Users are encouraged to mint more Luna by burning their Terra stablecoins when the value of Luna decreases relative to its base currency. The value of Luna will increase in tandem with the rate at which the Terra platforms are adopted. The price of Luna has increased by more than 14,200%, reaching $92 as of the start of March 2022. On January 3, 2021, the price of Luna was $0.64.
Cardano
Cardano is significant for being one of the first cryptocurrencies to utilise proof-of-stake validation, despite the fact that it entered the cryptocurrency industry rather later.
By removing the competitive and problem-solving aspects of transaction verification that are inherent in platforms like Bitcoin, this method shortens the amount of time it takes to complete a transaction while also reducing the amount of energy used and the impact it has on the environment.
Cardano operates similarly to Ethereum in that it enables smart contracts and other types of decentralised apps. These are driven by ADA, the network’s native cryptocurrency. In comparison to the growth of other major cryptocurrencies, Cardano’s ADA token has seen comparatively subdued price appreciation.
In 2017, the price of ADA was $0.002 USD. The cost was $0.99 as of the 1st of March in the year 2022. This is a rise that is 4,850 times greater.
