The beginning of the year 2022 has been no less than a roller coaster ride for cryptocurrencies. Though a couple of weeks in the recent past have not really worked in favor of the cryptocurrency market, what serves to be a ray of hope is the bounce-back of the cryptocurrencies, though slow but steady. It's possible to get filthy rich by investing in cryptocurrency in 2022 but you could also lose all of your money. Investing in crypto assets is risky but also potentially extremely profitable. Cryptocurrency is a good investment if you want to gain direct exposure to the demand for digital currency. While Bitcoin continues to dominate the crypto sector, other promising altcoins are also making headlines as they are attracting many crypto investors lately. So obviously, Bitcoin is not the only crypto option to invest in. This article lists the top 10 cryptocurrencies small business owners should invest in.
Created in 2009 by Satoshi Nakamoto, Bitcoin is the original cryptocurrency. As with most cryptocurrencies, BTC runs on a blockchain, or a ledger logging transaction distributed across a network of thousands of computers. Because additions to the distributed ledgers must be verified by solving a cryptographic puzzle, a process called proof of work, Bitcoin is kept secure and safe from fraudsters.
Another most valuable cryptocurrency in the world, the Ether token is based upon the Ethereum blockchain and has become a cornerstone of the cryptocurrency world. Simply put, if today Bitcoin is gold, then Ether is silver. Ethereum introduced innovations to blockchain security and usage, with its 'smart contracts' becoming a platform for other applications.
Cardano continues to remain one of the most popular cryptocurrencies due to its flexible network and fast transactions. Claims to be more friendly to the environment, than other currencies. Like company dividends on stock, it can justify stronger prices over time, as it has gathered real-world uses, from farm supply chains to fighting retail plagiarism. Scalability, sustainability, and interoperability are some of its chief selling points. The recent upgrade in the network has enabled the facility to build smart contracts on its network.
Tezos is one of the top cryptocurrencies for crypto investors' social engagement in the highly volatile cryptocurrency market. It is known as an open-source platform to address barriers to blockchain adoption for digital assets and applications. Tezos offers an energy-efficient blockchain for artists, entrepreneurs, brands, and many others to engage with a DApps network.
The Binance Coin is a form of cryptocurrency that you can use to trade and pay fees on Binance, one of the largest crypto exchanges in the world. Since its launch in 2017, Binance Coin has expanded past merely facilitating trades on Binance's exchange platform. Now, it can be used for trading, payment processing, or even booking travel arrangements. It can also be traded or exchanged for other forms of cryptocurrency, such as Ethereum or Bitcoin.
Solana is a promising up-and-comer that's managed to muscle into the world of DeFi and claim meaningful market share. Many currencies are built on top of the dominant Ethereum network, but not Solana, which has its own blockchain that uses the native SOL token. Solana's low transaction fees should continue to poach users from Ethereum until The Merge is complete.
Polkadot (DOT) is a unique PoS cryptocurrency aimed at delivering interoperability among other blockchains. Its protocol is designed to connect permissioned and permissionless blockchains as well as oracles to allow systems to work together under one roof. Polkadot's core component is its relay chain, which allows the interoperability of varying networks. It also allows for parachains or parallel blockchains with their own native tokens for specific-use cases.
XRP is one of the most popular cryptocurrencies on this list. XRP is a useful token providing low transaction fees and fast transactions. Ripple, the company that issued XRP, has established its reputation as the most sought-after partner of many countries in creating their own digital currencies. Also, Ripple's technology is being used by dozens of banks for facilitating transactions across the globe.
Avalanche is a new "layer one" blockchain — a blockchain that improves the base protocol to make the system more scalable, as Binance described it. It was founded as an Ethereum competitor by Ava Labs and computer scientists at Cornell University, one of whom, former professor Emin Gün Sirer, is a veteran in cryptographic research, according to CoinMarketCap.
Unlike many other cryptocurrencies that serve actual functions, dogecoin was created as a satirical take on bitcoin. Last year, the cryptocurrency rose sharply based on hype on message boards and tweets by Elon Musk. This is the same type of speculation that drove GameStop up by more than 400% in a single week in 2021.
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Disclaimer: Analytics Insight does not provide financial advice or guidance. Also note that the cryptocurrencies mentioned/listed on the website could potentially be scams, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. You are responsible for conducting your own research (DYOR) before making any investments. Read more here.