The concept of cryptocurrency is more than a few decades old, with the earliest iterations of it being conceived in the early 1980s. However, it wasn’t until 2009 when the first decentralized cryptocurrency, Bitcoin (BTC), was launched by a pseudonymous developer. Since then, a large number of other cryptocurrencies have been gaining traction among tech-savvy individuals who are looking for ways to trade and invest their money, to keep their assets censorship-resistant, or to just check out a niche digital space that’s been frequently hailed as an emerging transformative technology.
If you’re planning to dip your toes into alternative currency and find out for yourself what the hype is all about, why not start your journey by checking out these alternative currencies?
The alternative currency that started it all, Bitcoin is now a household name and is worth over USD 856 billion. Much like the other currencies that came after it, BTC runs on a blockchain or a digital ledger that records all the transactions that the data blocks go through. These ledgers are verified by providing proof of work or solving a cryptographic puzzle, a process that keeps the currency safe from scammers and fraudsters.
Having grown so much over the years, a single BTC these days can sell for about mid-5-figures in USD, depending on the movement of the market. However, it’s not an issue if you simply want to own a portion of a single BTC. Just join a Bitcoin exchange and get a wallet for the currency so you can start buying, selling, and trading.
For first-time crypto investors who want to enjoy anonymity and privacy, Monero (XMR) is a great option. This currency came about in 2014, and it uses three technologies to prevent others from seeing who sent a blockchain, where it’s from and where it’s going, and how much it’s worth. What’s more, there’s no need for special hardware or software to use Monero. Just create an XMR account, sign up for XMRWallet so you have a safe storage space for your stash, and start purchasing this privacy currency.
After Bitcoin, Etherium (ETH) is the second-largest digital currency in terms of market capitalization, at USD 345 billion. The goal behind the currency is to create a suite of decentralized financial products that anyone from anywhere can access. Like BTC, ETH used to rely on proof-of-work to deter malicious uses of computing power. This requires the user to exert non-insignificant amounts of effort to prevent anyone from gaming the system. This year, however, it switched to proof-of-stake, a system that allows users to validate transactions according to the number of coins in their possession. If you invest in this currency now and grow your wallet, you’ll have the option to maximize your mining capabilities.
Tron (TRX) was launched in 2017, the year many people consider to be the height of crypto mania. The currency distinguished itself from its contemporaries by refraining from developing technologies for cryptocurrencies, something that others were doing at the time. Much of TRX is modeled after ETH, though it’s also set itself apart by serving as a platform for content distribution. This is supported by its lead development group’s acquisition of BitTorrent in 2018. Users of the currency expect the demand for TRX to rise as more people use it to distribute their works. While the market at large has yet to discover this potential, it’s a smart move to invest in TRX now.
Founded in 2011 by a former Google engineer, Litecoin (LTC) serves as a means of paying anyone from anywhere without needing any intermediary to complete the transaction. It started out as a reactionary currency to BTC, so it has plenty of the original cryptocurrency’s features. However, the supply of LTC in the market is fixed, and there will never be more than 84 million LTC in circulation. The developers of the coin believed that limiting the number of units will allay fears of overproduction. If you have the same concerns about other currencies, this makes LTC a good option for you.
Fronted by the memetic face of a shiba inu, Dogecoin (DOGE) started out in 2013. Don’t let the coin’s seemingly sarcastic name and face fool you, though; the currency has a loyal fan base and many people use it to tip content creators on social media. Some users market it as a fun version of Bitcoin, with much of DOGE based on Litecoin. With its relatively affordable price and easygoing community, DOGE coins can be of great use to you if you want to safely explore what you can do with cryptocurrency.
Launched in 2017, Binance Coin (BNB) was initially developed to facilitate trade on Binance, which is one of the largest cryptocurrency exchanges in the world today. These days, people who invest in this currency can do more than just use it to trade on the exchange; it’s also possible to use BNB to purchase everyday goods and services, including booking accommodations and flights. If you’re on the lookout for a coin that you can use in and out of crypto exchanges, this is it.
Cryptocurrency might seem intimidating for many people who are not too savvy with digital technology. This, however, doesn’t mean you can’t check out what it’s all about without risking your financial stability. These currencies offer well-established options to first-time investors who want to see if buying, selling, and using digital currencies will help them achieve their financial goals.