Cryptocurrencies can be a crucial part of your investment portfolio if managed right. Buying multiple cryptocurrency coins can even assist with augmenting your investments as enhancing protects you from losing all your hard-earned money. Crypto trading is one of the most popular methods to make money, but there is a lot of volatility that makes it highly risky. In the grand scheme of things, this would be a scary thought for any hard-working person, but when there is a high risk, there is a pretty good chance of scoring even a higher reward. There are other effective strategies to make profits with cryptocurrency. This article features the list of the top ten cryptocurrencies to buy before 2022 if you want to become rich.
Here is the list of the top ten cryptocurrencies to buy before 2022:
The list of the top ten cryptocurrencies to buy before 2022 is incomplete without the king of crypto. Created in 2009 by someone under the pseudonym Satoshi Nakamoto, Bitcoin (BTC) has become a household name all over the world. As with most cryptocurrencies, BTC runs on a blockchain, or a ledger logging transaction distributed across a network of thousands of computers. Bitcoin promises lower fees than traditional payment methods and is operated by a decentralized system as it's not backed by a government or any commodity.
Conceived in 2013 by programmer Vitalik Buterin, Ethereum, like any blockchain, is a database of information that is designed to be unhackable. Ether, or ETH, is the cryptocurrency used to complete transactions on the blockchain. Ether is the native cryptocurrency of the platform. Amongst cryptocurrencies, Ether is second only to Bitcoin in market capitalization.
Polkadot is a network protocol that allows arbitrary data—not just tokens—to be transferred across blockchains. This means Polkadot is a true multi-chain application environment where things like cross-chain registries and cross-chain computation are possible. Polkadot is surely one of the best cryptocurrencies to buy before 2022 in order to become rich.
Given the speculative nature of cryptocurrency, popularity alone is critical. As for a valuation, Dogecoin is worth what it is worth because others believe the token will increase in value. Those investing in DOGE also are banking on more headlines from celebrity hype. Dogecoin is a cryptocurrency created by software engineers Billy Markus and Jackson Palmer, who decided to create a payment system as a "joke", making fun of the wild speculation in cryptocurrencies at the time.
Tether is useful for crypto investors because it offers a way to avoid the extreme volatility of other cryptocurrencies. Furthermore, having USDT (as opposed to the U.S. dollar) removes transaction costs and delays that impair trade execution within the crypto market.
Cardano is a public blockchain platform. It is open-source and decentralized, with consensus achieved using proof of stake. It can facilitate peer-to-peer transactions with its internal cryptocurrency, Ada. Cardano was founded in 2015 by Ethereum co-founder Charles Hoskinson. Cardano also works like Ethereum to enable smart contracts and decentralized applications, which are powered by ADA, its native coin. Cardano's ADA token has had relatively modest growth compared to other major crypto coins.
Binance was created as a utility token for discounted trading fees in 2017, but its uses have expanded to numerous applications, including payments for transaction fees (on the Binance Chain), travel bookings, entertainment, online services, and financial services. Exchanges take fees for executing crypto transactions, and part of the reason Binance is so popular is that its transaction fees are among the lowest in the world. Users pay just 0.1% to execute each of those billions of trades.
Created by some of the same founders as Ripple, a digital technology and payment processing company, XRP can be used on that network to facilitate exchanges of different currency types, including fiat currencies and other major cryptocurrencies. It is one of the best cryptocurrencies to buy before 2022.
Solana is a public blockchain platform. Developed to help power decentralized finance (DeFi) uses, decentralized apps (DApps), and smart contracts, Solana runs on a unique hybrid proof-of-stake and proof-of-history mechanisms that help it process transactions quickly and securely. Bloomberg considers Solana to be "a potential long-term rival for Ethereum". Like Ethereum, Solana can also run smart contracts.
USD Coin (USDC) is a fully collateralized US Dollar stablecoin based on the open-source fiat stablecoin framework developed by Centre, a consortium founded by Circle and Coinbase. USDC tokens are ERC-20 compatible and can be used with any ERC-20 compatible digital wallet or service.
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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.