Digital currency is taking the world by storm. Investors are not only concerned about the profits they might get to make through their investment in cryptocurrency but also the risk factors involved in the highly volatile digital market. While bitcoin mining is mostly associated with cryptocurrency and not many know of the different currencies available in the market, studying every currency to reap better results is of utmost significance. Below is a thorough guide that delves into the subject of five of the most important cryptocurrencies in 2020.
As obvious as it is, bitcoin hold quite a significant place in the digital market. Investor or not, bitcoins are the most popular and the oldest coins among all the altcoins – coins other than bitcoins. Now that these coins have been in the market for more than a decade, these are the driving force that determines the market price of all the other altcoins, i.e., if the price of bitcoins goes down, chances are other’s will also go down, and same goes with the increase in price. Consequently, with extreme volatility rate in bitcoin, investors mostly find themselves reluctant to invest, opening doors for other currencies to take the front seat and cater to all their investment needs. All in all, the coins can be used to make payments and dominates marketing cap like no other coin.
Ether has been one of the top-ten digital currencies. Considering the platform – Ethereum is a decentralized software and technically quite advanced than bitcoin. It came as an altcoin and took over the market cap because of its advanced use of technology. From smart contracts to commerce, the coin is a perfect fit for both these purposes.
While Ethereum and Chainlink are the new in, investors should keep an eye on the two platforms. The platform of Chainlink is based on the mechanism of Oracle network. In case you wish to benefit from the platform, you have to advance yourself in the knowledge of technology. Initially, the system might seem complex, but with some efforts, you might get the chance to benefit yourself. Precisely put, the system connects smart contracts found on blockchain to external data. Now that Chainlink is another altcoin, it is considered as one of the topmost world’s digital asset.
If you wish to make secured cross-border transactions, Ripple can be the way to go. Considered as the native digital asset on the XRP ledger, Ripple has made cross-border transactions not only easier but also fast. If you dread the idea of cross-border transactions, consider using Ripple. Chances are you’ll find it, free of all the hassle while also making exchange rates lower, i.e., it provides real value to the investors.
Precisely put, Litecoin is just another currency based on bitcoin but with a little advancement in its features. Litecoin performs at a quicker pace and is slightly more powerful than bitcoin. Yet, because of the higher volatility rate found in bitcoins, investors are mostly sceptical about using it as a payment option. Still, it is quite a robust digital currency that can be used for peer-to-peer payment.
Get your hands on digital currency and adapt to the latest tools of investments. Chances are you’ll only get to soar higher in returns. Bitcoin or Litecoin, dive deep into the subject of these currencies and rejoice the outcomes.