In this article, we discuss the 5 cryptocurrencies Redditors are buying for 2022 and beyond. If you want to read our detailed analysis of these currencies, go directly to the 10 Cryptocurrencies Redditors are Buying for 2022 and Beyond.
5. Solana
Solana is a cryptocurrency that is often described as a rival to Ethereum. This is because the Solana network, which uses the Solana coin, has fast transaction speeds and offers lower associated costs when compared to other popular coins. The Solana network is supporting a diverse range of projects spanning DeFi, NFTs, Web3 and others as it increases in importance for blockchain enthusiasts. Redditors have also been piling into the coin as investments in NFTs and DeFi applications increase.
Solana offers speeds of 50,000 transactions per second, a unique offering that has propelled the network to become the sixth-largest in the cryptoverse in terms of market capitalization. The network uses a proof of stake and proof of history consensus mechanism to achieve greater speeds, another differentiating characteristic when compared to other coins.
4. Binance Coin
Binance Coin is another alternative investment to Bitcoin and Ethereum that Redditors love. The coin is the native currency of the Binance cryptocurrency exchange, one of the largest crypto exchanges in the world in terms of volume of transactions. It is the third largest coin by market capitalization even though the transaction fees of the Binance exchange are some of the lowest in the world. Although the coin was initially based in China, it has since moved out of the Asian country as Beijing tightens control over crypto firms.
In 2021, the Binance Coin gained 1,300%, outperforming Bitcoin and Ethereum, which increased in value by 408% and 65% during the period. One of the reasons the coin gained in popularity was the increase in investments in altcoins because of a market crash that saw the prices of Bitcoin and Ethereum drop dramatically. The strong association of Binance with GameFi and the metaverse also helped it outperform other coins.
3. Ripple
Ripple is the cryptocurrency used by the Ripple network, a blockchain used by hundreds of banks around the world already. The Ripple network offers secure, fast, and cheap cross-border payment options. The coin was first released in 2012 and has now become one of the most popular across the world with a market capitalization of over $40 billion. One of the primary uses of the Ripple network is to facilitate rapid conversion between different currencies. As the gig economy takes off, the Ripple coin could increase in value dramatically.
Compared to traditional banks, which take days or weeks to handle large transactions, the Ripple network manages big payments within seconds. It also charges a low fee of 0.00001 Ripple for a standard transaction. The currency has thus become a favorite among Redditors who have been buying it for 2022.
2. Ethereum
Ethereum is the second-largest coin by market capitalization. Even though the coin is presently cheaper to Bitcoin, analysts expect it to outperform Bitcoin in the long run. This is because it offers faster speeds compared to Bitcoin and the mining methods for it are less damaging to the environment as well since they consume less power. Developers of the currency are working to increase the transaction speeds on the network. The aim is to increase speeds from 15 transactions per second to tens of thousands transactions per second.
These changes could come into force by 2022, which is one reason why Redditors are investing in the Ethereum network. The consensus mechanism for the network is also in the process of transition from proof-of-work to proof-of-stake. The Ethereum coin was developed by Vitalik Buterin, a Russian-Canadian computer programmer.
1. Bitcoin
Bitcoin is the most popular and expensive cryptocurrency on the market. Despite concerns around energy-intensive mining methods, the coin performed better than most other established coins on the market. Bitcoin was launched in 2008 and has over the years become the brand name most associated with the crypto world. As such, Redditors are buying the coin ahead for 2022 and beyond to benefit from the increased interest in crypto in general. It was developed by Satoshi Nakamoto.
Bitcoin uses a peer-to-peer technology to facilitate instant payments. Bitcoin is not backed by governments or central banks but is being exchanged for other currencies, a fact that speaks volumes about the future potential of the coin. Some investors have even said that the coin is a better hedge against inflation than gold.
You can also take a peek at 10 Stocks Jim Cramer and Ken Fisher Have in Common and 10 Best Nickel Stocks to Buy Now.
