As interest in cryptocurrencies grows, so does the popularity of cryptocurrencies. In the context of cryptocurrencies, the term “cryptocurrency” refers to complex cryptocurrencies that enable the development and processing of digital currencies and their transactions over distributed systems. Thousands of cryptocurrencies can feel overwhelming when you first start in the crypto world. To help you explore, here are the top 10 cryptocurrencies by market cap or the total value of all coins currently in circulation.
1. Bitcoin (BTC)
Bitcoin (BTC), created in 2009 under the pseudonym Satoshi Nakamoto, is the original cryptocurrency. Like most cryptocurrencies, BTC operates on a blockchain or transaction log distributed across a network of thousands of computers. To keep Bitcoin safe and protected from fraud you can visit the best platform for bitcoin trading over here.
As the name of Bitcoin became a household name, the price of Bitcoin skyrocketed. Five years ago, you could buy Bitcoin for around $500. As of 2021, the cost of 1 Bitcoin was over $62,000. It is an increase of approximately 12,300%.
2. Ethereum (ETH)
As a cryptocurrency and blockchain platform, Ethereum is favored by software developers because of its potential applications, such as so-called intelligent contracts and intangible tokens (NFTs) that execute when conditions are fulfilled.
Ethereum also experienced tremendous growth. In just five years, the price has risen from $11 to over $4,400, or nearly 40,000%.
3. Binance Coin (BNB)
Binance Coin is a type of cryptocurrency that allows you to trade and pay fees on Binance, one of the largest cryptocurrency exchanges in the world.
Binance Coin has expanded to make it easier to trade on the Binance Exchange platform. It can now also be used for commerce, payment processing, or travel booking. It can also be sold or exchanged for other forms of cryptocurrencies such as Ethereum or Bitcoin.
By 2021, it had grown over 530,000% to over $530.
4. Tether (USDT)
Tether is a stable coin, unlike other forms of cryptocurrency. In other words, it is backed by fiat currencies such as the US dollar and the euro and holds virtually the same value as one of these denominations. In theory, this means that Tether’s weight should be more stable than other cryptocurrencies, favoring investors who fear the excessive volatility of other coins.
5. Cardano (ADA)
Later in the cryptocurrency scene, Cardano is known for its early adoption of evidence. This technology shortens transaction times and reduces energy consumption and environmental impact by eliminating the competitive and problem-solving aspects of transaction validation found on platforms like Bitcoin. Cardano also works like Ethereum, allowing intelligent contracts and decentralized applications to run on its ADA coin.
The ADA Cardano token showed relatively modest growth compared to many other cryptocurrencies. As of 2021, the price is $2.01. It is an almost 10,000% increase.
6. Solana (SOL)
Designed to support the use of Decentralized Finance (Defi), Decentralized Applications (DApps), and Smart Contracts, Solana uses a unique hybrid proof of record and evidence of record mechanism to process transactions quickly and securely. Solana’s token, SOL, powers the platform.
The 2020 release price of SOL starts at $0.77. By 2021, the price was almost $201.91, up more than 26,000%.
7. XRP (XRP)
Created by founders such as digital technology and payment processing company Ripple, it can use XRP on this network to facilitate the exchange of various types of currencies, including fiat and other major cryptocurrencies.
As of 2021, the price reached $1.08, which equates to a 17,900% increase.
8. Polka Dot (DOT)
Cryptocurrencies can use multiple blockchains. Polkadot (and its cryptography) seeks to unite them by linking disparate blockchains to create a cryptocurrency network that can work together. This integration can change the way cryptocurrencies are managed and has fueled impressive growth since the launch of Polkadot in 2020.
9. Shiba Inu (SHIB)
Created in mid-2020, Shiba Inu is one of the last so-called “memes” hugely successful. Shiba Inu works on the Ethereum network. With a starting price of $0.0000000014, SHIB still trades for less than a cent but has risen 5.4 million percent to $0.00007567.
10. Dogecoin (DOGE)
Dogecoin has become a hot topic thanks to celebrities and billionaires like Elon Musk. Known as a joke in 2013, Dogecoin quickly became a popular cryptocurrency thanks to its dedicated community and creative memes. Unlike many other cryptocurrencies such as Bitcoin, there is no cap on the number of Dogecoins created, so the currency is prone to devaluation as its supply increases. In 2017, Dogecoin was priced at $0.0002.
Those who speculate on these digital assets should not invest more money than they can afford to lose. Volatility is high and crypto-assets can fluctuate significantly even in a single day. Individual investors can also trade with highly developed players, which can be a stressful experience for beginners.