Bitcoin is the most valuable and well-known of all cryptocurrencies. It has always been a trendsetter and has brought about a wave of cryptocurrency options that are built on a decentralized, peer-to-peer network. But if you are considering investing in cryptocurrencies, you may be wondering which crypto options beyond Bitcoin are worth investing in. While Bitcoin might be in the news more often, here are some alternative options that are definitely not going unnoticed.
Ether, the token of the Ethereum network, is the first alternative to Bitcoin on most investors’ lists. Ethereum is a decentralized software platform enables Smart Contracts and Decentralized Applications (DApps) to be built and run without the risk of downtime, control, fraud, or interference from third parties. Ethereum’s goal is to create a suit of decentralized financial products that anybody can have free access to around the world regardless of who they are. As of January 2021, Ether had a per-token value of $1,218.59 and a market cap of $138.3bn.
Launched in 2011, Litecoin was one of the first cryptocurrencies to be introduced after Bitcoin, and has sometimes been referred to as the ‘silver to Bitcoin’s gold’. It is based on an open-source global payment network that is not controlled by a central authority. It possesses many similarities with Bitcoin; however, trading Litecoin differs with faster block generation rates leading to faster transaction times overall. Today, there are a growing number of developers and merchants that accept Litecoin, and in January of this year, Litecoin was the sixth-largest cryptocurrency worldwide with a per-token value of $153.88 and a market cap of $10.1bn.
Bitcoin Cash (BCH)
Bitcoin Cash is an important altcoin since it is one of the earliest and the most successful hard forks of Bitcoin. As a background, a fork will take place as a result of debates and disagreements between the developers and miners in the cryptocurrency world. Because digital currencies are decentralized, wholesale changes to the code that underlies the coin or token at hand need to be made due to general consensus. In some cases, the digital currency will be split when an agreement cannot be reached, with a new chain beginning as an alternative version of the prior coin. As a result of one of these splits, Bitcoin Cash was formed in August 2017. BCH increased the block size from 1MB to 8MB, allowing it to hold more transactions and speed up transaction time. It had a per-token market value of $513.45 in January 2021.
This open blockchain network was designed to connect financial institutions for the purpose of large transactions, providing enterprise solutions. Large transactions between investment firms and banks that would usually take up to several days and cost a large sum can now be done using this network immediately and at little to no cost to those making the transaction. Although it’s an enterprise blockchain designed for business transactions, Stellar is an open blockchain that can be used by anybody, and allows any currencies to be easily transacted across borders. As of January 2021, Stellar Lumens had a market capitalization of $6.1bn.
While Bitcoin might be the cryptocurrency that gets the most airtime, if you are considering investing in digital currencies, these other options are worth considering.Like What You See? Share the Story!