With a cap of 10 10 billion, Bitcoin has been the central nerve of digital currencies for years. According to some recent statistics, the price reached a record-breaking high of $ 4500 in August. However, as Bitcoin gained momentum, numerous similar cryptocurrencies entered the market.
Moreover, most of these altcoins offer many advantages over bitcoins, which makes this market completely different. For example, they provide us with software development opportunities, social media platforms and many other options powered by blockchain.
Here are a few Bitcoin options that could become powerful players in such a turbulent cryptocurrency ecosystem.
With over 30% market share, Ethereum has become the second largest player in the digital currency landscape. Like Bitcoin, it is a decentralized payment network with its own currency. It is based on smart contracts, applications that run as programs without third party interference, censorship or fraud.
Ethereum is commonly used by developers to pay transaction fees. However, to understand how this process actually works, you need to know what an Etherium Virtual Machine is.
As such, Ethereum is not based on centralized computing. Thus, instead of running on a single server, Etherium is kept running by countless separate computers around the world. This means that any developer can pay Ether to run their code, which makes the development of blockchain apps much easier. That is, instead of creating a new blockchain for each new application, this practice allows you to create thousands of decentralized apps at once.
With the potential to change the world of digital currency forever, the Enterprise Etherium Alliance has teamed up with more than 150 banks, tech giants and other leading companies to help develop this cryptocurrency.
With a market cap of 220 million, Ripple is the world’s third largest digital currency and real-time gross settlement system. It was created in 2012 with financial institutions such as banks, payers and digital asset exchanges in mind. This enables them to transfer funds almost immediately to the existing numerous currencies. You can even ripple Bitcoin and convert it upside down.
For example, unlike Bitcoin and Ether, which is limited to 7 transactions per second, Ripple can process more than 1000 transactions. This is what makes it one of the most popular cross-border payment platforms. Due to the simplicity of transactions, the number of banks using XRP is constantly increasing. For example, a consortium of 47 Japanese banks has applied Ripple’s blockchain technology to conduct real-time domestic and international transactions at significantly lower costs.
Formerly known as Darkcoin or X Coin, DASH today refers to “digital cash”. It represents one of the largest and fastest growing open source, peer-to-peer cryptocurrencies. Most importantly, its decentralized governance and self-funding system made DASH the first decentralized autonomous organization. What sets it apart is its extensive features, including InstantSend (instant transactions), PrivateSend (private transactions) and DGBB (decentralized governance) that make it easy for us to trade cryptocurrencies.
These are Masternodes which play a fundamental role in DASH. They represent a level that is responsible for collecting and performing multiple transactions simultaneously. The best thing about such a decentralized MasterNode network is that it does not depend on a specific person, which means that any user can buy, transact DASH and join or leave the network whenever they want.
Founded in 2011, Litecoin is one of the oldest alternative digital currencies and the fourth largest in the world. Similarly in the case of Bitcoin there is no central authority, which means that coins are created through algorithm solutions. Of course, over time, these algorithms become more difficult to solve. What separates litecoin from bitcoin is that its overall cap limit is set at 84 million, compared to 21 million for bitcoin. Most importantly, litecoin blocks are created every 2.5 minutes compared to 10 minutes of bitcoin, which means it offers faster transactions.
Since it is 10 times larger than its nearest competitor, Bitcoin still has a huge lead over its competitors. However, as they gain popularity, the alternative digital payment systems mentioned above could steal its crown in the years to come. They are still low-value and their growth potential is high, so investing in them is always a good idea.