Bitcoin has not just been the leader in ushering in a trend of cryptocurrencies built on decentralized peer-to-peer networks, it in addition has become the standard for several cryptocurrencies. It has inspired an ever-growing band of followers and creators who understand the power of newer, safer, harder, fairer and faster money. In regards to commentary around all cryptocurrency globally, the very first thing that springs to mind is understandably Bitcoin. Beyond the power, profit, brand recognition and opportunity Bitcoin provides, it is one among so many cryptocurrencies that are changing the world for the better. There are still about 3000 cryptocurrencies that have a purpose-built function to address the security, storage and distribution challenges of data well beyond just money.
What Are Cryptocurrencies?
Before we have a closer look at a few of these alternatives to Bitcoin, let’s step back and briefly examine what we mean by the terms cryptocurrencies and altcoins Bitcoin doubler x2. Firstly, a cryptocurrency is broadly defined as virtual or digital money that takes the proper execution of tokens or “coins.” There is only 1 Bitcoin cryptocurrency and every other coin option to Bitcoin is referred to as an altcoin.
While some cryptocurrencies have ventured into the physical world with credit cards and other projects, the large most of cryptocurrencies remain entirely intangible. Just like you never need to the touch a contact, digital image, file or video stream for it to have value and use, the same applies with money and information. However, the key difference between an electronic digital file and an electronic digital currency is that cryptocurrencies like Bitcoin can’t be copied. That is, while one can copy and paste an electronic digital file, this really is not the case with Bitcoin and other cryptocurrencies ensuring they maintain their value in scarcity and preventing counterfeiting.
The field of cryptocurrencies is consistently growing, and another mammoth digital token might be released tomorrow. While Bitcoin is just a pioneer in the era of cryptocurrencies, experts adopt many means of evaluating tokens or coins. Analysts, commentators and investors alike assign a great deal of importance to the ranking of coins relative to one another with regards to their fiscal value within the crypto market. While a coin’s price and overall market value should be used into consideration, there are other reasons why a cryptocurrency attracts attention and subsequent investment. Let’s look at the following alt coins that are proving their value through real-life use cases.
The Ethereum cryptocurrency (ETH) first appeared in 2015 being an open software platform predicated on blockchain technology. It allows developers to create and deploy their very own decentralized applications on the surface of the Ethereum blockchain. Beyond a mere store of value or money network, Ethereum provides everyone with a chance to leverage off the power of blockchain technology with a programmable application. You might like to consider Ethereum to crypto as GoDaddy or Wix is to the internet. That is, before such sites existed, only qualified web creators could build a website as there wasn’t a user-friendly interface for the typical average person to complete it themselves. Nowadays, through the power of sites such as GoDaddy and Wix, almost everyone can build their very own website. That is synonymous to the power of Ethereum as we can see multiple projects built upon the Ethereum network due to its design, security, simplicity and reliability. During the time of this writing, the value of all Ethereum issued (known as a marketcap) reached $291 billion USD, with one “ETH” costing $2,524 USD per coin.
Ripple (with its cryptocurrency coin called XRP) was designed to speed up bank transactions while reducing the fees endured by the customer. You might like to believe as Ripple replacing the very slow and very expensive SWIFT network that facilitates the international remittance market. Ripple technology has already been being used by some banks. Unlike Bitcoin that has been designed to restore banks, Ripple aims to help banks through faster transactions at a lower cost. Dissimilar to Bitcoin and Ether, you cannot mine Ripple. Although XRP operates through blockchain technology, it is rather different to Bitcoin since it is just a centralized system where all the digital money (ie XRP) already exists and belongs to an American company called Ripple Labs. Users, banks and investors can purchase XRP tokens to either hold like an inventory, or use on the Ripple network to quickly and cheaply transfer value in one user to another.
Charlie Lee, a former Google Engineer created and launched Litecoin in 2011. It had been among the very first cryptocurrencies to check out in the footsteps of Bitcoin and is frequently referred to as the “silver to Bitcoin’s gold.” The speed of Litecoin transaction processing is faster than Bitcoin and acts as both a shop of value and payment network. Litecoin also uses less power than the Bitcoin network as a result of way in which it had been designed.
Dash is just a revolutionary digital money system that has been launched in 2014. The network has grown to 4,1000 master nodes making it one of the largest peer-to-peer networks in the world. Consequently of more nodes, the platform can provide more capacity and security for the users. Miners who support the Dash network are rewarded for securing its blockchain and master nodes through the payment of Dash coins.
The Nem cryptocurrency appeared at the conclusion of 2015. Unlike most cryptocurrenciesArticle Search, it’s a unique unique code. The absolute most significant feature of Nem is so it works utilizing the POI (proof of importance) algorithm technology. This can be a vastly different way of securing a network compared to Proof of Work and Proof of stake blockchains.