In this article, we discuss 5 best cryptocurrencies to invest in for beginners in 2022 according to Reddit. If you want to read our detailed analysis of these currencies, go directly to 10 Best Cryptocurrencies to Invest In For Beginners in 2022 According to Reddit.
5. Solana
Solana is a blockchain network with one of the fastest transaction times. It can process 50,000 transactions per second and has a block time of 400ms. The Solana coin was founded in 2017 by Anatoly Yakovenko, a former Qualcomm employee. The Solana coin is one of the possible alternatives to Ethereum, with great potential moving forward. This is because the network uses a unique proof-of-stake and proof-of-history mechanism to achieve consensus, a move that allows for greater efficiency overall.
There are around 26 million Solana coins in circulation presently. Melania Trump, the wife of former US President Donald Trump, last year announced that she would be making use of the Solana network to launch an NFT. There are several big names in the crypto world that have partnerships with Solana, including Project Serum, FTX, Terra, Chainlink, Formatic, Stardust, Kin, and Tempest, among others.
4. Bitcoin Cash
Bitcoin Cash is essentially an updated version of Bitcoin, the most popular cryptocurrency in the world today. Some of the benefits that it offers over the parent coin is that transactions are faster, cheaper, and more reliable with Bitcoin Cash. It was launched in 2017. It is also the closest alternative to Bitcoin. As the price of Bitcoin climbs, many investors are looking for alternative investments in the crypto space. Regular network updates to meet demand help keep the Bitcoin Cash blockchain secure.
Bitcoin Cash is what some in the crypto world call a “hard fork” of the original coin. It was formed when not all the people on the original Bitcoin network agreed to a set of updates to the original blockchain, thus creating a spinoff coin. Other examples of hard forks of Bitcoin include Bitcoin Gold and Bitcoin Diamond. Hard forks usually don’t work well with the original software and updates are needed to be installed for seamless integration.
3. Ripple
Ripple is the most well-known cryptocurrency in terms of speed. The founders of the currency have specially designed the Ripple network as a way to move money around the world in a fast and secure way. They use the RTXP protocol for transfers. The Ripple network is one of the few cryptocurrencies geared towards banks and other large finance institutions. Ripple Labs, the creator of the Ripple coin, has relationships with hundreds of different banks already, who now do not have to go through costly intermediaries to transfer cross-border payments. Ripple offers faster and cheaper transfers to these institutions.
Ripple uses the Ripple Net, a set of validators spread around the world which maintain a ledger of who owns what on the network. These validators make sure that every transaction on the Ripple network follows the RTXP protocols. For people outside the Ripple network, like large banks, gateways are used to access the system. Some of the products offered by the Ripple Net to banks and businesses include xRapid, xCurrent, and xVia.
2. Ethereum
Ethereum is the second-most popular coin in the world and is often termed the “more versatile and secure” option for users who do not approve of Bitcoin. The Ethereum network is essentially a more complex blockchain ecosystem that does more than just money transfers, unlike Bitcoin. For example, the Ethereum blockchain uses “smart contracts” to eliminate the need for centralized authorities entirely. The Ethereum coin was founded in 2014 by Vitalik Buterin. The Ethereum network is now widely used for a variety of decentralized applications.
Ethereum is also popular as the network of choice for a “decentralized internet”. Most users on the internet exchange information between themselves via third parties presently. The new, decentralized version of the internet eliminates the need for these third parties and connects users directly to what they need. For example, one of the common examples of this is shared storage. Through the Ethereum blockchain, people can “rent” hard drive space to other people, virtually eliminating the need for “clouds”.
1. Bitcoin
Bitcoin is the most expensive and most popular cryptocurrency on the market. It is one of the most reliable investments for beginners in the crypto world because it has the highest adoption rates. The Bitcoin network is one of the oldest blockchain networks around and was essentially designed for use as a decentralized platform for exchange of money. This is the reason it is so popular and also one of the reasons why its usage is limited somewhat. The coin presently has a market cap of over $665 billion.
Bitcoin was launched in 2008 by Satoshi Nakamoto. Put in simple words, Bitcoin is a transparent ledger without a central authority. The ledger is open source and can be accessed by almost anyone wishing to see the transactions taking place. However, it is harder to figure out who owns these transactions. The price of one Bitcoin is presently around $42,500.
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