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The 10 cryptocurrencies with the most future

After 2021 is full of uncertainty, 2022 is presented as the year of financial recovery in which a large amount of liquidity is willing to be invested in multiple assets. And now more than ever is the time when cryptocurrencies or cryptocurrencies are being talked about the most as a real alternative to a centralized financial system and as a good safe haven for years to come. Do you want to know what the main cryptocurrencies are and how to invest in them? Enjoy this post!

For you to see with your own eyes; In the following image you can see the growing interest in the term “cryptocurrencies” in Google searches in the last 5 years:

The 10 cryptocurrencies (or cryptocurrencies) with the most future - image 3

However, with so much noise on social networks and other media, we can certainly feel confused and not understand exactly what these cryptocurrencies or cryptoactives are based on and how they work.

In this guide, we are going to talk about what cryptocurrencies are, what principles they are based on, and what are the main cryptocurrencies by market capitalization. Join us!

What are cryptocurrencies or cryptocurrencies?

Cryptocurrencies or cryptocurrencies are digital or virtual currencies designed to function as a medium of exchange.

These currencies have the same function as the money we use in our day to day since they are used to pay for products or services. Now, as it is digital technology money, this can be hackable and that is why crypto comes into play.

Cryptography is the science that is responsible for encrypting a message so that it can only be read by the appropriate recipient. In this way, when we send a cryptocurrency to a person, we ensure through cryptography that the currency cannot be intercepted and stolen.

The 10 cryptocurrencies (or cryptocurrencies) with the most future - cryptography 1024x341
In this image, we see how the cryptography prevents that if you are not the receiver or sender you cannot interpret the message sent (or steal the currency in our case)

This technology is not only used to ensure that cryptocurrency transactions are secure, but also to control the creation of new units of a particular cryptocurrency.

In short, cryptocurrencies are limited entries in a database that no one can change unless specific conditions are met.

Characteristics of cryptocurrencies

Its main characteristics, as we have said, are:

  • A cryptocurrency or cryptocurrency is a form of digital asset based on a network that is distributed over a large number of computers. This is what makes it decentralized (it does not depend on a large central computer).
  • It is not a physical currency (although it can be stored on devices such as hard drives or external memories) .
  • Its creation is based on unique cryptography.
  • They do not depend on anybody or the government that is responsible for generating this type of currency.

Cryptocurrency Features

Cryptocurrencies are systems that allow secure online payments that are denominated in terms of virtual “ tokens ”, which are represented by internal accounting entries of the system.

“Crypto” refers to the various encryption algorithms and cryptographic techniques that protect these inputs, such as elliptic curve encryption, public/private key pairs, and hash functions.

How many cryptocurrencies or cryptocurrencies are there?

Today there are more than 10,000 virtual currencies worldwide and counting. In addition, every so often a new one appears, which is created through a process called ICO.

What sets all these currencies apart is the technology, encryption, and philosophy they use. Blockchain technology is used by most cryptocurrencies, but it is not the only one.

With the creation of new cryptocurrencies, new platforms have appeared to send, receive and buy different types of cryptocurrencies such as Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. However, we must not confuse these networks with wallets or with cryptocurrency buying and selling platforms. There are platforms such as Coinbase and Binance that are both a buying and selling platforms and digital wallets that allow you to operate with cryptocurrencies or cryptocurrencies easily and safely.

The latest news of the Blockchain boom predicts more and more the consolidation of virtual currencies and also the arrival of more and more investors (even governments have already started buying these assets). We tell you which are the cryptocurrencies of the moment and those that seem to have more future. For this we will choose the 10 largest coins by market capitalization:

The ranking of the 10 most famous cryptocurrencies:

1# Bitcoin (BTC)

The 10 cryptocurrencies (or cryptocurrencies) with the most future - bitcoin 1024x576

Surely Bitcoin is the cryptocurrency or cryptocurrency that you have heard the most about. The reason for the fame of this digital currency is that it is a pioneer. In 2008 it was created by several people under the name Satoshi Nakamoto. Of course, at its launch, it did not have the value that it has now and most could not even think that it would reach this data.

Without a doubt, this currency has positioned itself as a leader in the digital market. However, it has gone through great ups and downs and it is difficult to know when it will go up or down. Despite the fact that many managers consider Bitcoin to be the new digital gold, it continues to have large price variations and very high volatilities.

The operation of the Bitcoin network is relatively simple (hence much of its virtue) but amazingly secure. We leave you here an outline of how Bitcoin mining works and what parties are involved in a transaction:

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2# Ethereum (ETH)

The 10 cryptocurrencies (or cryptocurrencies) with the most future - eth

Ethereum is not a currency, it is a decentralized computing platform. We could represent it as a large computer that is divided into multiple computers at the same time and works simultaneously. This computing network allows the execution of applications in this distributed network and the operations are fed with the currency of the network, the ether (ETH).

Ethereum is considered a 2nd generation blockchain, which means that it has been built based on the Bitcoin operating system but with great differences. Both networks are used for digital money, but the Ethereum network is programmable, which means it has much more functionality.

ETH is the application currency of the Ethereum network, similar to Bitcoin in nature. These are some of the characteristics of ETH that make it different from FIAT money or government money (such as euros or dollars):

  • They are your strict property; they are not managed by custodian entities (such as commercial banks).
  • It is protected by the science of cryptography and by your private keys.
  • They are a P2P (Person to Person) payment system which means that you can send your money to any other person in the world without the need for intermediaries such as banks or governments.

Ethereum currently presents a scalability problem that makes the transactions that are executed in its network increase in cost. To address this issue, Ethereum is working on Ethereum 2.0, a set of interconnected updates that will make it a more secure and scalable network.

However, Ethereum already has competitors, the well-known 3rd generation Blockchains or “Ethereum killers” such as Cardano (ADA) or Solana (SOL) that we will now comment on in the post.

3# Cardano (ADA)

The 10 cryptocurrencies (or cryptocurrencies) with the most future - ada

Cardano is the representation of what is known as the 3rd generation of the Blockchain that tries to solve the scalability problem of 2nd generation blockchains such as Ethereum. Over the last few months, Cardano has become one of the fastest-growing assets in the entire crypto industry, multiplying its value by more than 50 times in 2021.

Cardano distinguishes itself by using mathematical principles in its consensus mechanism and a unique multi-layer architecture, which makes it stand out from other competing blockchains.

The Cardano founding team consists of Jeremy Wood and Charles Hoskinson. The latter was part of the founding team of Ethereum but separated from the team as a result of differences from the rest of the team. Cardano was successfully launched in September 2017 and its native token is ADA.

Cardano is distinguished from the rest of the Blockchains (with their respective tokens) in that it had a much more premeditated and scientifically rigorous origin. In addition, it differs in that it seeks to solve problems that other blockchains present regarding security, scalability, and decentralization.

Cardano’s consensus algorithm (i.e., the way in which network operations are verified to be trustworthy) is distinguished from traditional Proof of Work protocols and is a variant of Proof of Work. participation or «Proof of Stake». This algorithm is called Ouroboros.

# Tether (USDT)

The 10 cryptocurrencies (or cryptocurrencies) with the most future - tether

Tether is a stable currency or stablecoin , that is, all cryptocurrencies of this type in circulation are backed by an equivalent amount of traditional fiduciary currencies, such as the dollar, the euro, or the Japanese yen.

Tether was specifically designed to build the necessary bridge between government currencies and cryptocurrencies and offer users stability, transparency, and minimal transaction fees.

In the case of Tether, it is pegged to the US dollar and maintains a 1:1 ratio in terms of value. That is, 1 Tether is equal to 1 Dollar.

ADVANTAGES OF TETHERING

  • The price is stable.
  • Sending money from one Tether wallet to another has no transaction costs.
  • It is a great capital refuge for those traders or investors who decide to divest from a non-stable cryptocurrency but do not want to exchange their assets for government money and pay the corresponding rate. In this way, they convert their crypto assets into Tether, and then they can later convert their Tether into another crypto asset they want to invest in.
  • It is widely accepted by the different buying and selling platforms.

However, they are not all advantages and there is great concern regarding the management and treasury of Tether Ltd. In addition. the company does not provide any guarantee for any right to redeem or exchange Tethers for real money; that is, Tethers cannot be exchanged for US dollars.

5# Binance Coin  (BNB)

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Binance Coin is the official cryptocurrency of the Binance crypto exchange, whose name is an acronym made up of the words “binary” and “finance”.

This Binance coin was born to support transactions within the Binance platform itself. In this line, the developers of the Exchange try to increase the importance of their token through projects related to the Blockchain that can be financed by the users themselves with Binance coins.

BNB is an ERC20 Token that was launched in July 2017 as an ICO with the aim of financing the birth and growth of Binance. Once this ICO stabilized, these tokens were transferred to Binance’s own blockchain known as Binance Chain.

Because the issuance of BNB’s is not limited, there is a mechanism to avoid its inflation known as BNB burning, which reduces the supply until there are only 100 million units of this token left.

ADVANTAGES OF BNB TOKEN

This coin is a utility token, which means that it has a specific utility on the Binance platform. Some of the features it allows are:

  • Payment of the fees of the transactions that you carry out within the Exchange in BNB (paying the fees in BNB is cheaper than paying it in FIAT such as dollars or euros).
  • Reach different user levels. The more BNB you accumulate in your Binance account, the better conditions you will be offered.
  • Governance: Possession of BNB allows users to have rights over the governance of the platform, thus being able to be part of the decisions of the future of the platform (it is similar to the shares of a company).

6# Ripple (XRP)

Ripple (XRP) for many experts is the successor to Bitcoin since this digital currency was created by the former developers of Bitcoin with the aim of improving performance.

Ripple’s main goal is to connect banks, payment providers, and digital asset exchanges, enabling faster and more profitable global payments .

Like Bitcoin, Ripple is a totally secure and encrypted system whose transaction information is public but payment information is not. In other words, it is a confidential system where the sender and receiver are the only ones who have the information and the code that decrypts it.

7#Dogecoin (DOGE)

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Dogecoin is one of the most popular cryptocurrencies or cryptocurrencies of all time. You have probably seen in multiple media and big celebrities promoting this cryptocurrency that was initially created as a simple meme.

This currency was born as an internet joke that was based on a meme. The Doge meme is simply an image of a Shiba Inu, a breed of dog, which is often accompanied by different grammatically erroneous phrases that often make fun of a situation.

After the widespread success of the meme, Billy Markus decided to create an alternative currency to Bitcoin based on Litecoin because he knew that Bitcoin at that time was closely related to the remuneration of criminal activities on the Internet.

Doge’s operation is based on Litecoin and works in a similar way to other cryptocurrencies in which miners have to carry out mathematical tests in order to approve a block of the chain.

The reason for its popularity has been a consequence of the fact that different celebrities have “pumped” (artificially raised) its price through a repeated mention on social networks acclaiming that it is the people’s currency.

8#USDCoin (USDC)

The 10 cryptocurrencies (or cryptocurrencies) with the most future - usdc

USDC is another example of Stablecoin as we mentioned earlier in the case of Tether. In this case, the companies behind USDC are Circle and Coinbase, making it a solidly backed currency with a higher level of transparency than its competitors.

USDCoin is a response to the need to have stablecoins as bridges between the world of government money (EUR, USD, MXN,…) and the world of cryptocurrencies, but also as a response to the mismanagement of Tether as the only stable cryptocurrency.

Tether had to ensure that for each issued token (USDT) there was 1 USD in its safe to support it, but successive audits showed that they did not have that support. They also presented accessibility problems since in order to access the purchase of those tokens you had to meet capital criteria that many would characterize as abusive.

In this context, Coinbase and Circle saw the need to serve the market with a much more secure and backed token and decided to create a Centre. Center is the company in charge of managing the USDC.

The USDC token is an ERC-20 token that works on the Ethereum network, which adds a series of advantages over Tether, such as being able to integrate with other decentralized applications that run on Ethereum and with other cryptoactive exchange houses.

9# Polkadot (DOT)

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We could define it as a Blockchain project that tries to connect the different existing blockchains to a universal chain of blocks. It is one of the biggest current problems of the blockchain, the non-interoperability between the different chains (Bitcoin, Ethereum,…).

The founder of the project, Gavin Wood, was part of the Ethereum development team, being at the same decision-making level as the original founder of Ethereum, Vitalik Buterin.

Wood, motivated to create a project that overcomes some of the weaknesses and inconsistencies of the Ethereum ecosystem (scalability and interoperability among many other things), started the Polkadot project in October 2016.

Unlike other platforms, Polkadot is among the newest and introduces a series of new technical features to achieve its ambitious goal of encouraging the spread of cryptocurrencies.

The native Token of the Polkadot network is the DOT. This token plays a key role in the maintenance and operation of the Polkadot network. By owning and staking DOT, users gain the ability to vote on network upgrades, with each vote being proportional to the amount of DOT cryptocurrency they own.

10#Solana (SUN)

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Solana is one of the Blockchain networks that has gained the most fame in recent weeks and is more than justified. One of the great problems that are presented by the Blockchain ecosystem is its own scalability.

Solana has managed to create a high-performance network, fast and capable of executing a high level of operations per unit of time thanks to a unique method of ordering transactions. In turn, users will be able to pay network commissions with the native SOL token.

What sets Solana apart is its trade verification protocol known as Proof of History. This mechanism is not a consensus mechanism like Poof of Work or Proof of Stake but it is a great way to improve the time spent confirming the order of transactions. By combining Proof of History with Proof of Stake, the nodes of the network need less time to validate the order of the transactions, so it works faster.

Advantages of Solana

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The native token of the Solana network is SOL and it works as a utility token. The use of SOL is to make transaction fee payments as well as to interact with smart contracts on the network.

Other cryptocurrencies with a future

After having seen the first 10 coins by market value, we cannot fail to mention some other projects that are very large and that are gradually gaining prominence in the market. Let’s see some of them!

11#Uniswap(UNI)

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The uniswap project is tremendously promising. It is a DEX or decentralized exchange protocol that works based on the Ethereum network and is an active agent for the existence of an automated liquidity protocol (AMM)

The objective of Uniswap is to allow decentralized “swaps” (exchanges) of some assets to others. And all this without centralization, since as we have said, it works on the Ethereum network.

On Uniswap, traders can trade Ethereum tokens without trusting anyone with their funds. In parallel, anyone can lend their crypto to special reserves called liquidity pools and in exchange for providing money to these reserves, they will earn commissions.

ADVANTAGES OF UNISWAP

  • 100% decentralized system
  • Wide supply of tradable tokens (any ERC20)
  • Low commission system
  • Non-profit organization and good founding team

12#BitcoinCash

The 10 cryptocurrencies (or cryptocurrencies) with the most future - btc cash

Bitcoin cash is the result of a Bitcoin fork, that is, a new version that originated from the Bitcoin that we all know.

Both currencies have similar programming and operation, what differentiates Bitcoin from Bitcoin Cash is the block size used by each network. The size of the Bitcoin block is 1MB which makes it a much safer technology but at the same time slower. In addition, this problem is increased as there is a greater increase in users of the Bitcoin network.

To solve this problem, some developers decided to make a new version of the traditional Bitcoin to a Bitcoin that had a larger block size (8MB). This new alternative is Bitcoin Cash, a slightly less secure cryptocurrency than Bitcoin but faster and more scalable.

13#BinanceUSD

The 10 cryptocurrencies (or cryptocurrencies) with the most future - busd

BUSD is yet another example of stablecoins as we saw the example of USDT (Tether) and USDC (USDCoin). In this case, the token is created by the alliance between Paxos and Binance.

BUSD is a coin that is also pegged to the US dollar and can be purchased through Binance’s own exchange.

It has the same advantages as the rest of the stablecoins that we mentioned earlier at the top of this article.

14#Earth

The 10 cryptocurrencies (or cryptocurrencies) with the most future - Terra luna

One of the great problems of the cryptocurrency market is that they have a great variation in their price (also known as volatility) and consequently the massive adoption of users who use them as a payment method has not yet seen a great increase (as if has done the price of them).

The reason? Very simple. Would you be willing to accept payment for a service you have provided to a client in a currency that may be worth twice or half tomorrow? You have probably said no and this is still a big pillar to solve before the mainstream payment ecosystem reaches the crypto world.

One of the projects that were born with the aim of providing all the security and decentralization benefits of the world of cryptocurrencies with the price stability of fiduciary currencies is Terra (LUNA).

This Blockchain is mainly composed of 2 tokens. The TERRA USD Token and the LUNA Token.

  • LUNA is the Native Token that serves to ensure the network, governance, and collateralization of the other token (TERRA). The offer is limited (very important to take into account so that it can grow in value) to 1000 Million Tokens.
  • Terra USD (USD) is the stable coin of the Terra blockchain.
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One of the projects that have had the greatest relevance in the decentralized finance (DeFi) ecosystem is Chainlink (LINK). It is a decentralized oracle service capable of providing external data to Ethereum smart contracts. In other words, it connects blockchains with the real world.

The token of this network is the LINK and it serves as an incentive for the node operators to do a good job. Each of the nodes that are installed and the request for information handled correctly allows both the nodes and their operators to accumulate tokens as compensation.


What do you think of all these projects? Are you already an investor in some of them? Which do you think to have a better future? Leave us your comments and share!

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