Connect with us

cryptocurrencies

The top 10 cryptocurrencies by market capitalization in 2022

Advertisements

Most of those who deal less intensively with digital currency are probably only familiar with Bitcoin. For many, it stands for cryptocurrencies, so to speak. In addition to Bitcoin, Ethereum, Ripple and Co., there are hundreds of other digital currencies. The coinmarketcap.com website listed around 7,300 actively traded cryptocurrencies in 2020. Of these, however, there are only a few significant players on the market. Below is an overview of the 10 most popular cryptocurrencies worldwide.

Surname market capitalization
Bitcoin €696,660,325,074
Ethereum €302,866,844,851
tether €72,658,998,451
BNB €57,760,544,607
USD coins €47,613,787,277
Ripple €34,263,628,358
Terra €28,076,426,864
Cardano €25,171,810,723
Solana €24,811,012,331
avalanches €19,242,337,249

Bitcoin – is there still something going on with the “mainstream coin”?

Bitcoin was the first cryptocurrency based on blockchain technology and, despite technological shortcomings, is still by far the most valuable and widespread cryptocurrency. It is being accepted as a means of payment by more and more providers and has been attracting keen interest from numerous companies for some time. Due to his high media presence, he is already known to large parts of the population.

Ethereum – Bitcoin’s closest competitor

In contrast to Bitcoin, Ethereum is not only a currency, but also a network for so-called “smart contracts”. For example, these “smart contracts” can only pay out money if a whole group of people agree. More than 200 organizations, including companies like JPMorgan Chase, Mastercard or Cisco Systems, are currently experimenting with Ethereum.  Ethereum Blockchain forms the technological foundation of many other cryptocurrencies and was introduced in 2015.

Tether – risky price fluctuations

The unregulated token cryptocurrency Tether is traded as a so-called stablecoin 1:1 to the US dollar. The fact that Tether is issued solely by the company Tether Limited is viewed critically. Many complain about the lack of transparency. Additionally, there are allegations that Tether Limited concealed the loss of $850 million in funds.

USD Coin – Stablecoin with more transparency

While other cryptocurrencies struggle with a lack of transparency and extreme volatility, USD Coin (USDC) is said to not have these problems. As a stablecoin, the value of this currency is pegged 1:1 to the US dollar. Not only that, the Circle Consortium behind USD Coin assures that every USD Coin is actually backed by one US dollar – either cash or in the form of short-term US Treasury bonds. A business agency checks on a monthly basis that these values ​​are correct.

Ripple – “the Bitcoin of the banks”

The great advantages of Ripple are the short processing times and low transaction fees, which is why Ripple has also received special attention in the banking sector. It enables cost-effective, efficient and cross-border payment transactions. That also makes it attractive to companies like American Express, Santander, and MoneyGram.

Litecoin – faster block times

The Litecoind is very similar to Bitcoin, but has a modified mining mechanism and can therefore process blocks at four times the speed. It was created in 2011 and is based on an open source encryption protocol. A peer-to-peer network manages transactions, balances, and expenses.

Bitcoin Cash – the modification of Bitcoin

Bitcoin Cash emerged from the Bitcoin network on August 1, 2017 and has since become the fourth largest cryptocurrency. Similar to Ripple, the advantages of Bitcoin Cash lie in the faster processing of information and the resulting faster transaction times.

Cardano – the scientifically proven cryptocurrency

Simultaneously cryptocurrency and blockchain platform, Cardano aims to scientifically explore and solve all the difficulties currently known in blockchain currencies. It is the first cryptocurrency based on peer-reviewed research and developed using evidence-based methods. Cardano’s objective since 2015 has been to completely redesign the way cryptocurrencies are generated and ultimately to create a decentralized platform in terms of scalability and security for complex and programmable value transfer.

Ethereum competitor Polkadot made it into the top 10

Advertisements

The still relatively young cryptocurrency Polkadot was able to place itself among the top 10 in 2020. Polkadot is a sharded multichain network, meaning many transactions can be processed in parallel across multiple chains (“parachutes”). This parallel processing power improves scalability. Custom blockchains are quick and easy to develop using the Substrate framework and can be connected to the Polkadot network in minutes. The network is also very flexible and adaptable, allowing information and functionality to be shared between participants, much like apps on a smartphone. Polkadot can be automatically updated to implement new features or fix bugs. The network has a sophisticated user-driven system of governance that also helps in securing it. Communities can adapt the governance of their blockchain on Polkadot to their needs and changing conditions.

Binance Coin (BNB)

The Binance Coin (BNB) is the cryptocurrency of the Binance trading platform. Only cryptocurrencies are traded on this platform. It achieved enormous success after a very short time and is mainly focused on the Chinese market. Binance stands for a word combination of “binary” and “finance”. More detailed technical data about the Binance Coin are still not known.

Advertisements

Click to comment

Leave a Reply

Your email address will not be published.