With all the buzz around cryptocurrency, alternative investments, and the Metaverse, it is safe to say that investing for beginners is a hot topic. If there is one lesson that cryptocurrency investors learn from the year 2021 is the fact that cryptocurrencies are here to stay. Contrary to what sceptics say, these cryptocurrencies are merely a passing fad. To their surprise or shame, cryptocurrencies continue to grow, not only in value and capabilities but also in terms of quantity. To date, there have been plenty of cryptocurrencies that are currently being developed while the already existing ones also continue to evolve. All these, with the hope of being able to add to its prevalence.
Despite news about the total market cap of cryptocurrencies going in a downhill direction, from almost $2.3 billion towards near the end of 2021, it experienced a dip of 10 per cent. Although we cannot deny that such a dip in the total market cap brings worries to investors and the entire cryptocurrency market, there are still plenty of reasons for people to invest in crypto.
If you are thinking about taking that plunge and investing in cryptocurrencies, better make sure it is something that is stable and growing. Below are two best examples of cryptocurrencies that you should consider investing in this 2022.
Of course, Bitcoin is still King, and that remains an irrefutable fact. But, another fact that we cannot deny is that Ethereum is also revving up the cryptocurrency world as it continues to provide highly capable infrastructures for several crypto applications.
The Ethereum platform can be credited for the birth of metaverse tokens and other crypto coins and applications. Thus, giving the cryptocurrency world more power. If you have been trading via bitcoin.io, then you should be pretty aware that Ethereum is designed in a way that its secure environment paves the way for more financial transactions to take place without the interference of things like government regulations. This makes Ethereum at the forefront of decentralised finance of DeFi while also making significant repercussions on how financial transactions are being processed, verified and approved.
Today, more people are turning to cryptocurrencies such as Ethereum for ease of processing of payment transactions without the need to go through many systems, like you would with traditional money. As Ethereum continues to be highly recognised in the cryptocurrency market, it has also gained the attention of significant financial players. The truth is, its native crypto, Ether, is already among the list of very few cryptocurrencies that can be traded via Paypal.
What makes it even better is that Ethereum continues to upgrade its platform to ensure faster speed. Ethereum is also being constantly improved to make it more capable of supporting different types of applications. As of today, Ethereum is only able to handle up to 45 transactions per second. This leads to congestion and traffic as more people use Ether for a lot of different transactions. But with the latest upgrade to Ethereum, word came out that it is being developed to be able to handle 100,000 transactions per second. This will not only lead to an increase in terms of power. But, such upgrades also translate to greater security and better sustainability.
Thanks to Vitalik Buterin and Joe Lubin, the ones responsible for developing the first Ethereum. Today, Ethereum accounts for 15 per cent of the total cryptocurrency market. And, with the latest upgrades that Ethereum has, there is no denying it will soon and will remain to be a standout in 2022. If you’re trading via the Bitcoin Motion platform, consider carefully looking into Ethereum. The Ethereum platform not only supports Ether, which is its native crypto. It also supports smart contracts, and this, too, makes Ethereum way better than any other cryptocurrencies these days. The smart contracts of Ethereum function as its central component for the entire operation of the platform.
Lubin and Buterin were among the first to believe in what Ethereum can do beyond just being a virtual currency good for trading.
The founders of Ethereum were among the first to consider the full potential of blockchain technology beyond just enabling the secure trading of virtual currency.
Next to Ethereum, the second-best cryptocurrency to invest in this 2022 is Solana. Although it sounds like a female name, it is another cryptocurrency developed by Anatoly Yakovenko and sprung into the world of cryptocurrency last April 2019. Today, Solana is considered among the largest cryptocurrencies in terms of the total value. Its individual unit is referred to as “sol”. Solana is called by experts as among the fastest blockchain knowing that it is capable of verifying up to 65,000 TPS for a fee that is not more than a penny.
Many people perceive Solana and other crypto coins to be just a mere “cryptocurrency”. The reality is these coins can do so much more than just being a cryptocurrency. For instance, cryptocurrency also acts as a token that is capable of powering up other applications on the platform. In the case of Solana, this cryptocurrency also plays an important role in powering up certain smart contracts, NFTs and DeFi apps.
Solana makes use of a PoS or Proof of Stake system for verifying transactions. At the same time, Solana is also known to manage its own coin supply while also creating new coins. If you want to be part of the Proof of Stake system, you have to purchase Sol first, which is its native cryptocurrency. The good thing about participating in Solana’s Proof of Stake system is that you have the chance to earn rewards for your cooperation in the operation of Solana. What makes Solana a good investment? It is growing significantly in just a short period of time. So, if you were among those who trade via Bitcoin Motion and made investments with Solana, the chances are high that you have already gained much from it.
However, rather than simply focusing on your fear of missing out, it is crucial that you understand what you are into. The world of cryptocurrency can be too complicated, especially for newbies in this field. Perform your due diligence first before finally making that plunge. Investing in cryptocurrencies is never without risks, so only invest in what you think you can tolerate losing.