You might have some idea about bitcoin, and most people think that bitcoin is the only crypto they can invest in. But investors always say that it is better to diversify your portfolio and adding more altcoins to your investment profile can reduce the risk of a huge loss. And China’s banning of Bitcoin is a blessing in disguise for altcoins to flourish. If you are interested in the crypto market, then you can try the following altcoins for your long-term investment.
7 altcoins that you can consider for your investment
Ethereum is different than bitcoin, and it is the first blockchain network that introduced smart contracts. dApps or decentralized is the backbone of Ethereum. There are more than 2921 dApps available in the market, and you can find them on the Ethereum platform or network. These apps are dedicated for various purposes, like gaming, gambling, socializing, non-fungible tokens, and decentralized finance.
Ripple is an interesting blockchain technology or network that is used to validate or facilitate online and offline transactions among banks and other financial lenders. You may hear about the SWIFT process, known as Worldwide Interbank Financial Telecommunications, and it is based only on ripple network. It is the fastest and most secured network that is lauded by banking institutions. Cryptocurrency named XRP is using the ripple network for their crypto transactions. Why would you prefer ripple over bitcoin and other cryptocurrencies? You can make a transaction with ripple network within five seconds, and it will cost you less than one cent. Banking channels widely use the ripple network, and it is a legitimate transaction process.
Introduced in 2020, this cryptocurrency has climbed the success ladder very fast. The market value of this crypto is around $31 billion. People may think that Solana and Ethereum arethe same because these digital currencies are using dApps and NFTs for their transactions, but there are some differences between these two currencies. Solana has two verification models, such as PoS and PoH, which are known as proof-of-stake and proof—of-history. It can validate your transactions faster than Ethereum. Apart from that, it requires less energy, and hence has an edge over Bitcoun.
Co-founder of Ethereum Gavin Wood introduced DOT in 2020. There is a permanent blockchain network that can record all the transactions history made through Polkadot, and it is quite similar to bitcoin. But an additional feature called parachains added a difference in this crypto. Here, users can customize these parachains for different uses, but they can add certain chains through computing networks to the main blockchain.
The world goes to know about these after Elon Musk’s statement. The mascot of this crypto Shiba Inu, made this currency popular.Elon Musk, founder of Tesla, invested in this cryptocurrency, and McDonald’sacceptsthis coin as their payment method. According to Musk, DOGE is one of the strongest cryptos in the world.
Charlie Lee, an engineer of Google, founded this crypto in 2011. He used to work in Coinbase Global Inc. Bitcoin, and LTC is almost similar, but LTC is available in silver color only. Apart from that, it can generate the blocks faster than bitcoin, and you can get the confirmation in less time. It has got a boost when some large retailers like AMC Entertainment Holdings Inc announced that they would accept bitcoin, LTC, and BCH as payment modes in their theatres.
FTX Token (FTT)
It is a utility token available on the FTX exchange. It can be an excellent investment option for short-term investors because you need to pay less transaction fees, and you can earn interest from this crypto. There was almost no fall detected in this network; even when bitcoin made a huge loss, FTX stands with a 14% hike. It is the only digital currency that the Bank of America has tracked.
Wrapping it up
Crypto is a volatile market, and you should keep your eyes on the recent trends and news to make an informed decision. So now, you can add such cryptocurrencies to your portfolio to diversify your investment profile.