While it can’t be argued that Bitcoin is the most valued cryptocurrency and the crypto standard that has been embraced by the world, the fact is that there are several alternatives to Bitcoin.
If you’re new to the cryptocurrency world and interested to know more about cryptocurrencies, you’re at the right place. In this post, we’ll tell you about some great alternatives to Bitcoin. So, read on!
If Bitcoin is gold, you can think of Litecoin as silver. A brainchild of former Google engineer and MIT graduate Charlie Lee, the cryptocurrency was introduced to the world in 2011. Litecoin has no central control and its proof of work, known as “scrypt”, is something that consumer-grade CPUs can decode.
In terms of overall features, Litecoin is quite similar to Bitcoin. However, one significant advantage it has is its quicker transaction confirmation time.
As of July 2021, Litecoin’s market capitalization is at $8.114 billion.
If you think blockchain is cutting edge, wait until you learn about hashgraph. Hashgraph is basically a distributed ledger technology (DLT) that succeeds blockchain technology. While blockchains use excessive mining power to validate transactions, hashgraphs use the so-called gossip about gossip protocol. The protocol enables transactions to be validated by the nodes of the time-sequence graphs without using minders to validate those. This cuts power consumption and validation time while enhancing the overall network security (categorized as aBFT – the ultimate form of consensus algorithm.)
Hedera was co-founded by Dr. Leemon Baird and Mance Harmon, and managed by a governing council which members are some of the world leading organizations, such as Google, Boeing, IBM, LG, Standard Bank, and many more – making it one of the most decentralized cryptocurrency in the world.
As of now, Ethereum is the world’s second-biggest cryptocurrency. However, the gap between Bitcoin and Ethereum is still quite wide. The cryptocurrency runs on its platform-specific cryptographic token known as ether. Launched in 2015, Ethereum’s goal was visionary – to create a freely accessible financial product suite that was decentralized. Its market capitalization as of July 2021 is more than a whopping $219 billion.
Ethereum was in the news throughout 2020 for its consensus algorithm change to proof-of-stake from proof-of-work in 2021. This change facilitates the platform delivering faster results in terms of transaction speed and energy efficiency.
One of the major risks associated with Ethereum is that developers have to create their own security measures. If the created security measures aren’t effective, Ethereum blockchains are vulnerable to hacks.
Polkadot is a cryptocurrency that has a proof-of-stake consensus algorithm. Its core component, the relay chain, facilitates varying networks’ interoperability. It also facilitates parallel blockchains or “parachains” which have their own native tokens.
In many ways, Polkadot is similar to how Ethereum is at present. However, the major difference is that when it comes to Polkadot, developers can enjoy greater protection when creating blockchains from the existing security in the chain.
Polkatdot’s market capitalization is more than $12 billion as of July 2021.
Cardano is a product of thorough research that was undertaken by cryptography experts, engineers, and mathematicians. One of the men to play a key role in Cardano’s development was Charles Hoskinson, one of Cardano’s co-founders. was one of Ethereum’s co-founders as well. The highlight of this cryptocurrency is its blockchain, which was created following peer-reviewed research and extensive experimentation. That’s why when it comes to cryptocurrencies with proof-of-stake consensus algorithms, many regard Cardano as unparalleled.
As of July 2021, Cardano’s market capitalization is more than $37 billion.
Stellar is an excellent open blockchain network that facilitates large transactions by connecting financial institutions for providing enterprise solutions. Previously, large transactions between investment firms and banks took a long time as there were several intermediaries involved. However, Stellar eliminates the need for intermediaries, which allows transactions to be completed rapidly. Transaction costs are also greatly reduced thanks to the cryptocurrency.
As of July 2021, Stellar’s market capitalization is over $5 billion.
Tether is classified as a stablecoin. which is one of the most recent forms of cryptocurrency to be introduced. The difference between Tether and the other cryptocurrencies we’ve mentioned so far is quite simple – stablecoins, unlike Bitcoins, aim to refer to an external point or currency to peg their market values. This results in lesser volatility compared to other cryptocurrencies such as Bitcoin and Ethereum.
Tether’s market value is directly related to the value of the dollar. So if you’re someone who wants to convert cryptocurrency to dollars, Tether is the cryptocurrency to invest in.
Tether was launched in 2014, and as of July 2021, its market capitalization is more than $62 billion.
The last cryptocurrency on this list is Monero, which is one of the few untraceable cryptocurrencies. Launched in April 2014, Monero’s claim of being untraceable (if it is to be believed) makes it equivalent to a black market currency. The cryptocurrency’s development is based purely on community-driven action and donations.
While Monero’s reputation has suffered because of what it is, it also offers benefits to certain individuals, for e.g. dissidents living under oppressive regimes in their native countries.
Now Over to you!
Which cryptocurrency that will explode in both value and role in the market approaching the fourth quarter of 2021? Please share your opinions.