What cryptocurrencies to invest in?

Investing in cryptocurrency

In 2017 we witnessed a rapid spike in the value of most cryptocurrencies. Some tokens outperformed others in terms of price and capitalization, and altcoins mounted some serious pressure on Bitcoin. Market moves were unpredictable.

Investing in cryptocurrency is easy, but a wide variety of them means tough choice—investors struggle to decide what cryptocurrencies to invest in. In this article we are going to take a look at interesting cryptocurrencies from the investment standpoint.


Top cryptocurrencies to buy

It is not hard to narrow down search to the best cryptocurrencies to invest in, since they are "household names" in a sense. In order to gain maximum profit with minimum risk, what one needs to do is study the specifics of popular and in-demand cryptocurrencies.

Each token has advantages and disadvantages that affect its price which falls and rises idiosyncratically—stagnates, and then takes off or plummets. Cryptocurrency investing doesn't always bring instant profits but requires patience.

Bitcoin


The first-ever cryptocurrency that has stood the test of time and is the rightful flagship of the entire domain. The most trusted coin in the eyes of crypto investors and therefore resilient and reliable. If you don't want to waste time thinking, be sure to invest in Bitcoin.

Bitcoin growth in 2017:


Ethereum


This promising token appeared on the horizon only 2 years ago but has already surpassed other cryptocurrencies in terms of price and market cap. Ethereum's "Smart contracts" technology, that lies at the foundation of this coin, is of interest to IT companies. There is no cap on the total number of ETH coins, this is why there is no end in sight to ETH mining. High network speed, but the transaction cost is also high.

Ethereum growth in 2017:


Litecoin


The second cryptocurrency in the world (after Bitcoin) that has a lot in common with the latter and therefore is just as reliable. However, the speed of the Litecoin network is a lot higher than that of its predecessor. Despite the similarity with Bitcoin and its advantages, Litecoin's value is dozens of times lower and it is not as limited in supply: there will be 4 times more Litecoins than Bitcoins—84 million.

Litecoin growth in 2017:


Dash


The Dash distributed network follows a different set of principles than Bitcoin: it is a double-layer architecture and not single-rank, it is based on a consensus of knots with equal rights. User protection is achieved through total anonymization of transactions—sender and recipient information is hidden, hence network users are protected from their data being leaked or stolen.

Dash growth in 2017:


Bitcoin Cash


Bitcoin Cash in an independent decentralized cryptocurrency that follows the same rules as the original Bitcoin, but suffers from less transaction commissions and boasts a higher network speed due to an 8-fold increase in block size. Aside from that, BCH is BTC's twin.

Bitcoin Cash growth in 2017 (came into being in the middle of the year):


Ripple


Ripple was designed as a system of instant and safe transactions that facilitates digital data transfer of all kinds: fiat money, cryptocurrencies, including bonuses and mobile credits. Ripple is centralized and doesn't work on a publically available blockchain, it doesn't allow for mining, while the total number of coins in shrinking. Ripple's features attract financial organizations looking for digital payments solutions.

Ripple growth in 2017:


Monero


Monero's anonymity is achieved through the mixing of completed transactions, which makes it impossible to trace the source of a transaction. Monero employs one-time “expenditure keys” (used in transactions), and “view keys” (allow for wallet information sharing).

Monero growth in 2017:


ZCash


The concept of this reliable cryptocurrency was designed by US- and Israel-based engineers and involves innovative technologies. The main purpose of ZCash is to provide full anonymity of transactions through currency interchangeability. Tokens’ ownership history is not displayed in the blockchain.

ZCash growth in 2017:


Stellar


A decentralized consensus platform that supports an unlimited number of currencies and comprises a decentralized trading platform for digital assets that do not convert among themselves directly. Stellar tokens are used for simplifying cross-blockchain deals regardless of markets and gateways.

Stellar growth in 2017:


IOTA


The IOTA network is capable of processing thousands of transactions simultaneously. Directed acyclic graph substitutes mining. IOTA is based on the BTC code but doesn’t suffer from its ailments: centralization due to the overconcentration of mining power, as well as commissions, all this allows for micropayments.

IOTA growth in 2017 (came into being in the middle of the year):


Investment methods

The sooner you make up your mind, the sooner you’ll start investing. Cryptocurrencies are bought and sold on cryptocurrency exchanges and by electronic currency exchangers.

Cryptocurrency exchanges

You’ll have to create and replenish your account with fiat money. Currency assortment varies from platform to platform. For example, EXMO has USD, EUR, RUB, UAH, and PLN. After replenishing, you can buy cryptocurrency instantly in the “Exchange” section or create a purchase order in the “Buy & Sell” section of the website. “Buy & Sell” is the preferable option due to lower cost.


BTC/USD

Electronic currency exchangers

Buying cryptocurrency from e-currency exchangers is faster and less complicated. However, not all of them feature cryptocurrencies. This is when exchanger monitors, for example, OKchanger, come into play. Pick a currency pair on the monitor’s main page: select the currency that you have, and the currency that you need. After you’ve made your choice, the monitor will show a list of appropriate exchangers and their rates. Click on the exchanger’s name, and you’ll be redirected to its website where the transaction will take place.


Visa/MasterCard USD to Bitcoin exchangers

Afterword

This is not a conclusive list, but just a tiny slice of a rapidly growing industry. Besides the above-mentioned cryptocurrencies, there will always be new ones, that are not known as of yet, but they will take places among the largest, just like it happened with Ethereum. However, if you’d like to start investing in cryptocurrencies, you should take aim at those coins that are already deeply rooted in the market.


Posté sur
22 janvier 2018