Bitcoin has been a trendsetter and an ever-present standard for cryptocurrencies that are based on decentralized peer-to-peer networks. but it is also the de facto standard for cryptos. It’s inspired an ever-growing legion of followers and spin offs that are changing how we see currency today.
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What Are Cryptocurrencies?
The word cryptocurrency can be broken down into two words: crypto, meaning secret or cryptography and currency which is a system of money. Digital currencies are referred to as cryptocurrencies because they use encryption techniques for security purposes.
For example, Bitcoin uses blockchain technology in order to keep transactions secure from cybercriminals looking to steal information without getting caught by authorities.
Cryptocurrencies remain intangible but some have been created with physical cards that function like bank accounts such as TenX Card or Monero Debit Cards while others still rely only on digital means through apps on your phone such as Wirex Visa Virtual Currency Prepaid Card.
The cryptography behind cryptocurrencies is the reason they are called “crypto”-currencies. Cryptography allows for secure transactions and decentralized systems across cryptocurrency networks (i.e., Bitcoin, Litecoin).
These currencies often have a common commitment to decentralization developed as code by teams who build in issuance mechanisms and controls through mining or other methods of distribution.
Cryptocurrencies are revolutionary because they can be free from government control and manipulation, but this feature is under fire as cryptocurrencies grow more popular.
These currencies try to present themselves with modified or improved versions of Bitcoin, such as security features that have not yet been seen by an altcoin in the market.
Cryptocurrencies are a booming industry that has taken the world of finance by storm. With over 4,000 cryptocurrencies in existence as of January 2021, it’s hard not to get caught up in this exciting trend.
Bitcoin is not the only digital currency out there. There are actually many more cryptocurrencies that you can invest in, including ones such as Ethereum and Litecoin. Although Bitcoin was the first major token to make an impact on this industry, analysts look beyond BTC for other great digital tokens that could be released tomorrow.
Instead of just looking at a coin’s relative ranking in terms of its market capitalization like many others do, we have looked into various factors before deciding whether or not it should be included in our list.
What are Top 10 Most Important Cryptocurrencies Other Than Bitcoin?
Ethereum (ETH)
Ethereum is a digital currency that allows you to purchase things from reputable vendors without having to provide personal information such as your name or credit card number.
A platform for smart contracts and decentralized applications, Ethereum is a global computer that can be used without any downtime or fraud. It provides complete transparency in all dealings to ensure the validity of transactions with minimal control from third parties such as governments or banks – which ensures users no longer need their trust but only rely on code instead.
The goal behind Ethereum is creating a suite of financial products accessible by anyone in the world regardless of faith or ethnicity; essentially trying to make everyone equal financially speaking while still maintaining security with blockchain technology.
Some implications of this are more powerful for those in some countries, as they can now have access to bank accounts and loans without state infrastructure or identifications.
Ethereum is a blockchain-based platform that runs decentralized applications. The currency Ether lets users run these apps and move around on the Ethereum network, but it’s also just one of many options for digital currencies out there to invest in today.
The Ethereum presale was an enormous success in 2014, ushering in the rise of initial coin offerings (ICOs). The platform is used for so many things that it’s hard to name them all. You can codify, decentralize and secure anything on this thing. After a devastating attack on the decentralized autonomous organization (DAO) in 2016 led to a split between ETH and ETC. As of January 2021, the market cap of ETH has increased dramatically to $138.3 billion with each token priced at $1,218.59.
Ethereum will make a major change to its proof-of-stake consensus algorithm in 2021. This new system allows network participants (nodes) to stake their Ether and process transactions, earning them interest like an account with money in it would.
Bitcoin’s proof of work is currently the dominant method that rewards miners for processing transactions on blockchains; however Ethereum plans this move because it has faster transaction speeds than Bitcoin and uses less energy than other methods such as Proof of Work or Delegated Byzantine Fault Tolerance to do.
Litecoin (LTC)
Charlie Lee, a graduate from MIT and former Google engineer created Litecoin. He wanted to create silver for Bitcoin’s gold where it was lighter weight than the original cryptocurrency that allows transactions at a faster speed with lower fees.
Litecoin is a decentralized payment network that runs on the script proof-of-work system. It offers fast transaction confirmation time, making it great for merchants and developers alike. Litecoin has many similarities with Bitcoin but also some key differences. In order to fully understand these features, you’d have to be an expert cryptographer.
Litecoin is the sixth-largest cryptocurrency in terms of market capitalization and has a per token value that’s around $153.88 for January 2021, which approaches as it nears its seventh anniversary on February 8th!
Cardano (ADA)
Cardano is a cryptocurrency that was built on the shoulders of giants. This project started out as an idea from engineers, mathematicians and cryptography experts who sought to create an open-source blockchain with safety in mind for those concerned about their funds being lost during transactions or attacked by hackers looking for vulnerabilities within any given system.
The project was co-founded by Charles Hoskinson who left the Ethereum team when they decided to take an alternate path from what he envisioned for them.
Charles Hoskinson and Jeremy Wood are the brains behind Cardano, a new blockchain that has been developed to be more efficient than Bitcoin. These gentlemen have written over 90 research papers on cryptocurrency technology in their time working with it. Their devotion to the development of Blockchain 3.0 has become the foundation upon which this platform stands today, a testament that they are passionate about their work.
Cardano is a blockchain company looking to put the world’s financial system on its platform. It has several goals, such as building decentralized financial products like Ethereum and providing solutions for chain interoperability, voter fraud prevention, and legal contract tracing.
Cardano is a blockchain that was created with the aim to solve some of Bitcoin’s flaws. In January 2021, they had achieved $9 billion in market capitalization and each ADA was worth about 0.31 making it one if not the most valuable blockchains today.
Polkadot (DOT)
Polkadot is a new cryptocurrency that aims to connect different types of blockchains together. It will let all kinds of decentralized networks work with each other, including oracles and permissioned systems.
Polkadot is an innovative blockchain technology that allows for different types of blockchains to work together. It has a relay chain that lets the interoperability occur, and it also utilizes parachains, or parallel blockchains with their own native tokens for specific-use cases.
Bitcoin Cash (BCH)
Bitcoin Cash (BCH) is one of the oldest and most successful forks in all of cryptocurrency. A fork occurs when a group disagrees with changes made to code, so they branch off and make their own coin instead. This happens through general consensus. there’s no central authority making these decisions for you.
Sometimes, when different factions can’t agree on a digital currency’s code changes they must split the original version. This creates two coins: one that follows its prior code and another new coin with changed codes from before.
Stellar (XLM)
Stellar is an open blockchain network designed to provide enterprise solutions for large transactions between banks and investment firms, which typically take several days and cost a good deal of money. These can now be made nearly instantaneously with no intermediaries involved at little-to-no costs.
The Stellar blockchain is a multifunctional platform that can be used by anyone. The system allows for cross-border transactions, and its native currency Lumens (XLM) ensures transaction security on the network.
Chainlink
Chainlink is a company that makes it possible for smart contracts on Ethereum, currently the second most valuable cryptocurrency in circulation with more than $500 Billion market cap (behind Bitcoin), Since blockchains themselves do not have access to external information, Chainlink’s innovation bridges this gap and provides trustless connectivity between dapps and APIs.
Binance Coin (BNB)
Binance Coin is a new cryptocurrency with the potential to revolutionize how we trade coins. It operates both as an exchange and payment method, allowing users discounts on their trades while still providing them access to worldwide markets through its decentralized network structure that does not depend on any single country or company for support like other currencies do.
Binance’s blockchain supports the decentralized platform of its own crypto-to-crypto trading service. The company was founded by Changpeng Zhao in 2017 and it currently has one of the highest daily trade volumes globally.
Tether (USDT)
Tether was created as a stable coin that is pegged to the U.S dollar in order to reduce instability and increase appeal. The coin’s market value fluctuates with outside forces but generally remains within 1 USD of its original price at all times- making it attractive for those who would like stability from their digital currencies.
Monero (XMR)
The Monero cryptocurrency is the world’s most secure and private currency. Launched in April 2014 with a donation-based community approach for decentralized development, the currency has become popular among cryptography enthusiasts because of its focus on privacy via ring signatures.
