Top 10 Cryptocurrencies
What Exactly Are Cryptocurrencies?
Before we dive into some of these Bitcoin (BTC) alternatives, let’s take a step back and define terms like cryptocurrency and altcoin. In broad terms, a cryptocurrency is a virtual or digital currency in the form of tokens or “coins.” Despite the fact that some cryptocurrencies have entered the physical world via credit cards or other projects, the vast majority of them remain entirely intangible.
1. Bitcoin (BTC)
market cap: $565 billion
Bitcoin (BTC) is the original cryptocurrency, created in 2009 by Satoshi Nakamoto. BTC, like most cryptocurrencies, is built on a blockchain, which is a distributed ledger that records transactions across thousands of computers. Bitcoin is kept secure and safe from fraudsters because additions to distributed ledgers must be verified by solving a cryptographic puzzle, a process known as “proof of work.”
Bitcoin’s value has skyrocketed as its popularity has grown. One bitcoin could be purchased for around $500 in May 2016. On June 1, 2022, a single bitcoin was worth approximately $29,700. That’s a more than 5,800% increase.
2. Ethereum (ETH)
market cap: $219 billion
Ethereum, a cryptocurrency as well as a blockchain platform, is popular among programmers due to the potential applications it provides, such as smart contracts that execute automatically when certain conditions are met and non-fungible tokens (NFTs).
Ethereum has also seen explosive growth. From April 2016 to the beginning of June 2022, its price increased by nearly 16,300 percent, rising from around $11 to over $1,800.
3. Tether (USDT)
market cap: $72 billion
Tether (USDT) is a stablecoin, which means it is backed by fiat currencies such as US dollars and the Euro and theoretically maintains a value equal to one of those denominations. In theory, this means that Tether’s value should be more stable than that of other cryptocurrencies, and it is preferred by investors who are wary of other coins’ extreme volatility.
4. U.S. Dollar Coin (USDC)
market cap: $54 billion
USD coin (USDC) is an Ethereum-based stablecoin, which is a type of digital asset that is pegged 1:1 to the US dollar. This means that holders can exchange 1 USD coin for $1 at any time. Every USDC is backed by one dollar or an asset of equal value, both of which are held in accounts with US-regulated financial institutions.
5. Binance Coin (BNB)
Market cap: $49 billion
Binance Coin (BNB) is a cryptocurrency that can be used to trade and pay fees on Binance, one of the world’s largest cryptocurrency exchanges. Binance Coin has grown beyond simply facilitating trades on Binance’s exchange platform since its inception in 2017. It can now be used to trade, process payments, and even book travel arrangements. It can also be exchanged or traded for other cryptocurrencies such as Ethereum or Bitcoin.
6. XRP (XRP)
market cap: $19 billion
XRP, which was founded by some of the same people as Ripple, a digital technology and payment processing company, can be used on that network to facilitate exchanges of various currency types, including fiat currencies, as well as other major cryptocurrencies.
The price of XRP at the start of 2017 was $0.006. Its price reached $0.40 on June 1, 2022, representing a gain of more than 6,400%.
7. Cardano (ADA)
market cap: $18 billion
Cardano (ADA), which arrived on the crypto scene later, is notable for its early embrace of proof-of-stake validation. By removing the competitive, problem-solving aspect of transaction verification present in platforms such as Bitcoin, this method reduces transaction time, energy usage, and environmental impact. Cardano, like Ethereum, enables smart contracts and decentralized applications, which are powered by ADA, its native coin. In comparison to other major crypto coins, Cardano’s ADA token has grown slowly. The price of ADA in 2017 was $0.02. On June 1, 2022, its price was $0.55. This represents a 2,650% increase. The price of BNB in 2017 was only $0.10. Its price had risen to around $300 by early June 2022, a gain of approximately 300,000 percent.
8. Binance USD (BUSD)
market cap: $18 billion
Binance USD (BUSD) is a stablecoin created by Paxos and Binance to create a cryptocurrency backed by the US dollar. To maintain this value, Paxos holds an amount of USD equal to the total supply of BUSD. BUSD, like other stablecoins, allows traders and crypto users to conduct transactions with other crypto assets while minimizing volatility risk.
9. Solana (SOL)
market cap: $14 billion
Solana, which was created to power decentralized finance (Defi) applications, decentralized apps (DApps), and smart contracts, uses a unique hybrid proof-of-stake and proof-of-history mechanism to process transactions quickly and securely. Solana’s native token, which powers the platform.
SOL’s initial launch price in 2020 was $0.77. By early June 2022, its value had risen to around $40.58, a gain of more than 5,100%.
10. Dogecoin (DOGE)
market cap: $11 billion
Dogecoin began as a joke in 2013, but quickly grew into a prominent cryptocurrency thanks to a dedicated community and creative memes. Unlike many other cryptocurrencies, there is no limit to the number of Dogecoins that can be created, making the currency vulnerable to depreciation as supply grows. In 2017, the price of Dogecoin was $0.0002. By June 1, 2022, its price had risen nearly 40,000% to $0.08.