In this article, we discuss the 5 cryptocurrencies millennials are buying for retirement. If you want to read about some cryptocurrencies that millennials are buying, go directly to 10 Cryptocurrencies Millennials are Buying for Retirement.
5. Filecoin
Filecoin is a blockchain-based digital payment system developed by Protocol Labs. The system is intended to be used for cooperative digital storage and data retrieval. It uses a mix of proof-of-replication and proof-of-spacetime consensus mechanism. The network was launched in 2017. It raised more than $200 million within the first thirty minutes of the launch. The Filecoin network has a close partnership with Internet Archive. In April last year, the Filecoin foundation had donated $10 million to the Archive as the founders of the latter joined the Filecoin board.
Filecoin was founded by Juan Benet, a scientist who studied at Stanford University. Benet also founded the Interplanetary File System. Filecoin is different from other coins because it aims to store data, like a cloud service, through a decentralized mechanism. Most cloud firms today store data in centralized servers, leading to concerns around security and privacy as cloud computing becomes increasingly popular. Filecoin offers users a variety of incentives for mining and storing, encouraging honesty in data storage.
4. Hedera
Hedera is a cryptocurrency network on which anyone can make transactions or deploy applications. However, unlike other crypto networks, the software side of things is managed not by a foundation or a group of individuals, but rather by a group of businesses. There are some design trade-offs that come with this arrangement. For example, the network supports high transaction speeds but transaction history can only be accessed through pre-approved nodes on the network. Timestamping and transaction ordering also have limited access.
Hedera offers businesses the confidence they need with which to access data on the network. Some of the big companies that already use the Hedera network for their business needs include LG, IBM and Boeing. The Hedera network can process transactions quicker and at cheaper rates compared to other networks because it groups transactions through a process called hashgraph. This is a patented algorithm where a number of different nodes are in constant communication with each other to validate data.
3. Klaytn
Klaytn is another crypto network that is geared to serve the specific needs of business clients. The coin was founded by Ground X in 2019 to drive mass crypto adoption. The platform offers decentralized data and distributed governance at low latency and increased scalability. The modular options that the network offers to businesses allows them to build their blockchain according to their own specific needs. These service-based blockchains are connected to the overall network but can function separately as well.
Klaytn uses a combination of the proof-of-work (POW), and proof-of-Stake (POS) consensus mechanisms. This is achieved through an improved arrangement of Instabul Byzantine Fault Tolerance. For businesses who need further guarantees, Klaytn allows the use of the POS mechanism exclusively. The POS mechanism only allows a finite number validators, improving overall security of the system. The network offers faster speeds than other blockchains and can process 4,000 distinctive transactions in just one second.
2. Quant
Quant is a blockchain ecosystem founded in 2015 by Gilbert Verdian with a goal to make global exchange of information easier. The network uses overledger functionality to bridge different blockchains together. Verdian was a government employee in the United Kingdom and Australia and was impressed by the usefulness of distributed ledger technologies. The Quant token is the native coin of the network and offers users access to certain exclusive services and benefits. Developers and enterprises pay consumption fees every month to the network.
Quant uses different layers to improve interoperability between blockchain networks. These layers include a transaction layer, a messaging layer, and a filtering and ordering layer. Since Quant is an Ethereum-based platform, it offers benefits like blockchain games, DeFi applications, and access to a modular architecture. One of the advantages of using the Overledger DLT Gateway of Quant is that it offers businesses the ability to write smart contracts in any programming language.
1. Algorand
Algorand is a blockchain platform that uses the Algorand coin as the local token on the network. The Algorand system is designed to process transactions quickly. The network uses the proof-of-stake (POS) consensus mechanism. Algorand was founded in 2017 by Silvio Micali, a professor at MIT and an expert in cryptography. The total supply of the Algorand coin is capped at 10 billion. 7 billion of these are in circulation. Algorand can process transactions quicker than Ethereum. The latter takes about 14 seconds for one while the former can do it in four seconds.
Algorand is one of the most energy-efficient blockchain networks. This differentiates it from other blockchain networks that have come under increased scrutiny because of the energy it takes to mine their coins. Since April 2021, the Algorand network has been carbon-negative. The efficiency of the network depends on factors such as relay nodes, prohibition of forking, and the continual compression of information on the blockchain. The coin has been accepted as the official digital currency of the Marshall Islands since 2020.
You can also take a peek at 10 Best Healthcare Dividend Stocks to Buy Now and 10 Dividend Stocks with Over 20 Years of Dividend Increases.
