​​What Are The Top 10 Cryptocurrencies To Invest In Coming Years?

Cryptocurrencies are digital currencies that can be used to purchase commodities by using an online ledger with strong encryption to protect online transactions. That's why most people nowadays have only one question in mind, i.e., "what are the top 10 cryptocurrencies" you can invest in to gain enough profits. But first, let us talk about digital currencies.

What Are Digital Currencies?

A digital currency is referred to as a form of currency that can only be used digitally or electronically. Digital money is also called electronic money or cyber money.

Digital Currencies have no physical properties and only exist in digital form. Transactions in digital currencies are made using computers or electronic wallets connected to the Internet or certain networks. Digital currencies have been used similar to physical currencies. They can be used to buy goods and pay for services. Bitcoin and Ethereum-like cryptocurrencies can also be used with restrictions in certain online communities such as gaming sites, betting portals, or social networks. The cryptocurrency market also allows for instant transactions that seamlessly cross borders.

These unmanaged currencies can trade profits for large amounts of interest and attract speculators. This is the best cryptocurrency to invest in today, available on various Crypto exchanges.

1- Bitcoin:

It certainly comes as no surprise that Bitcoin BTC (BTC) remains the world's most popular and all Time high cryptocurrency. Its Market Capitalization is currently close to $1.1 billion. If Bitcoin were a company, it would be bigger than the Meta Platform (formerly Facebook) or Tesla. Bitcoin continues to enjoy the benefits of being the first cryptocurrency.

2- Ethereum:

Ethereum (ETH) is the second most popular cryptocurrency after Bitcoin. Its market capitalization is around $500 billion, less than half that of Bitcoin. However, some believe that Ethereum will be the next Bitcoin. The main advantage of Ethereum is its usefulness in the real world. Blockchain supports a Smart Contracts Platform that can be used in various applications. Ethereum is particularly good at creating non-fungible tokens (NFTs).

3- Binance:

Binance handles the world's largest cryptocurrency trading. Therefore, it makes sense that Binance Coin (BNB) is the third most popular digital currency in the market. Binance smart chain reduces the supply of cryptocurrencies every three months based on the volume of transactions.

4- USD coin:

The USD coin (USDC) is a type of cryptocurrency called a stable coin. One dollar coins can be exchanged for one dollar at any time. Available at a fixed price. With Coinbase, eligible customers can earn all the dollars they own.

5- Litecoin (LTC):

Litecoin (LTC) is based on an open-source global payment network that uses Scrypt as a PoW that is not controlled by a central authority and can be cracked using Consumer Central Processing Units (CPUs).

6- Polkadot:

Polkadot (DOT) is a unique type of cryptocurrency that aims to provide interoperability between all types of blockchain available in the market. The core component of the Polkadot coin is the relay chain, which ensures the interoperability of different networks.

7- Bitcoin Cash (BCH):

Bitcoin Cash (BCH) holds an important place in altcoin history as it is one of the oldest and most successful hard forks of the original Bitcoin. In the world of cryptocurrencies, a fork occurs due to discussions and debates between developers and miners.

8- Dogecoin (DOGE):

Considered by some to be the original "meme coin," Dogecoin (DOGE) created quite a stir in 2021 when the coin price skyrocketed. The coin, which features an image of the Shiba Inu as an avatar, has been accepted for payment by several major companies, including the Dallas Mavericks, Kronos, and, perhaps most importantly, SpaceX, an American aerospace manufacturer owned by Elon Musk.

9- Monero (XMR):

Monero (XMR) is a secure, private, and untraceable coin. This open-source cryptocurrency was launched in April 2014 and soon gained much attention from the cryptocurrency community and enthusiasts. Monero is acclaimed as decentralized and focused on scalability, offering full privacy.

10- Solana (SOL):

Solana has completed a list of the five most popular cryptocurrencies. Currently, its market capitalization is around $65 billion. Solana was the biggest winner of any major cryptocurrency last year, crossing 10,000%. However, Solana offers faster processing speeds and lower transaction fees than Ethereum. That is why some people call it "Ethereum killer."

What Is the Meaning of Market Cap Value?

The term "Market cap" defines the market value of the shares a company issues. For example, a company with 10 million shares sold at $100 each would have a market capitalization of $1 billion. The investment community uses this number to determine the size of a company compared to total revenue or assets. When buying, market value is used to determine if a potential purchase represents good value to the buyer with low Transaction fees. See the given figure below to know more:

Proof of Work (PoW) Vs. Proof of Stake (POS)?

What is Proof of Work (PoW)?

The Proof of Work (PoW) is a system that requires non-trivial but viable efforts to prevent reckless or malicious use of computing power, spam, or denial of service attacks. Hal Finney adopted this concept in 2004. Proof of Work is also compatible with many other cryptocurrencies, enabling secure and decentralized consensus.

What is Proof of Stake (POS)?

The Proof of stake (POS) uses randomly selected miners to verify transactions. Proof of Work (POW) uses a competitive verification method to confirm transactions and add new blocks to the blockchain. Proof of stake is a consensus mechanism where cryptocurrency validators share verifying transactions.

Why Does Elon Musk Think Dogecoin Is Better Than Bitcoin?

Tesla billionaire CEO believes that the Dogecoin cryptocurrency is better for transactions than the Largest cryptocurrency, Bitcoin.

In a recent interview with Time magazine, the head of Tesla and SpaceX said that Dogecoin is a much better cryptocurrency for daily transactions like Credit cards, etc. "Bitcoin has a low transaction value and a high cost per transaction. As a spatial store of value, it is at least adequate. Some experts believe it is the correct thing to ask, "what are the top 10 cryptocurrencies "because of its popularity in current times.

What Are Various Digital assets?

Digital assets can be anything that is digitally stored and uniquely identifiable, allowing businesses to capture value. Examples of digital assets are documents, audio, videos, logos, slideshows, spreadsheets, and websites.

What Do Experts Think About The Future of Decentralized Finance Defi?

Decentralized finance Defi is an emerging digital financial infrastructure that theoretically eliminates the need for a central bank or government agency to authorize financial transactions. Considered by many to be the umbrella term for a new wave of innovation in financial services, Defi is a repository for the transaction history of all computers (or nodes) on a network. The idea is that no company has control over this ledger or can change it.

Defi uses cryptocurrencies and smart contracts to provide financial services, removing the need for intermediaries to act as guarantors. These services include loans, peer-to-peer trading without a broker, crypto savings, and an interest rate better than a bank—purchasing derivatives such as bank and stock options and futures contracts.