top cryptocurrencies 2021

The Top Cryptocurrencies 2021

Meanwhile there are cryptocurrencies a dime a dozen. Bitcoin has opened the door and today there are more than 3000 different coins, some more popular than others.

What are the best cryptocurrencies for 2021? Well, this will depend a lot on the ups and downs of the market, since digital money is especially volatile, but also on the community and the technology on which both platforms and their tokens are based.

Thus, although it is not possible to categorically answer the question “which cryptocurrencies to invest in” or “which are the most profitable cryptos”; we can rely on some clues to predict whether a crypto is worthwhile or not:

  • Technology and innovation or improvements over other cryptocurrencies.
  • Market capitalization and current trading volume
  • Community size and engagement
  • Backing from large companies or governments, as well as acceptance in exchanges and businesses.

Cryptocurrencies can be bought and traded at the brokers listed here. And finally, the greater or lesser originality and freshness of the project. In this ranking you will find cryptocurrencies whose current value is lower than the 10 coins with the highest capitalization, however, they offer a totally new and revolutionary idea that distinguishes them from the rest.

Ranking of Cryptocurrencies

Whether by H or by B, these are some of the cryptocurrencies you should be aware of in 2021.

Bitcoin

What is so special about it?

Bitcoin was the very first cryptocurrency. It was the one that brought the revolution, the new big thing in technology. All cryptocurrencies that came afterwards are mostly more or less the same thing but with a little twist here and there.

Many alternative cryptocurrencies count as even better regarding certain features, but still, Bitcoin was the first mover, and it’s the blockchain that is the most known and most supported and the coin enjoys the highest adoption. It is the coin with the highest capitalization and the one with the highest volume of transactions. As of today, some 17 million BTC have been mined and in 2021 Bitcoin will continue to lead the way and will continue to be the benchmark for the rest of the cryptocurrencies.

Ethereum

What’s so special about it?

Ethereum is the so-called queen next to Bitcoin – which is the king cryptocurrency. Ethereum is actually a different approach to use blockchain technology, in this case not as a simple currency like Bitcoin, but as a smart contract system. This means a platform for developments of technical applications of all kinds, that run decentralized as well and can therefore not be adjusted by attackers. Right now one of the most popular use cases of such smart contracts is the field of decentralized finance. There are other cryptocurrencies that run on top of the Ethereum network, using the ERC-20 token system, which means cryptocurrencies based on Ethereum.

Ripple

What is so special about it?

The Ripple cryptocurrency and platform have given a lot to talk about, as some experts do not consider the coin to have intrinsic value in itself. In fact, Ripple does not operate on a Blockchain nor does it generate new coins, therefore, neither can it be mined and its founders (the Ripple Labs company) maintain all control over the coins released.

However, despite the controversies, Ripple has managed to remain among the top 5 most valued cryptocurrencies practically since its creation. This is largely due to its acceptance by prestigious financial institutions and possible future alliances with industry titans such as Amex.

Polkadot

What is so special about it?

Polkadot is considered by many experts as the network that will replace Ethereum in the future, thanks to its security features, scalability, interconnection between its blockchains and its voting governance system…

The most interesting thing about the project is that the Polkadot network manages to integrate several independent blockchains, which work in parallel but can exchange data with each other. Imagine it like the different apps on your phone, they work within the same system and each one is able to fulfill a different function.

This solves the problems of congestion in the blockchain and also allows each chain to specialize in different sectors: some are oriented to transaction management, others to data management, etc.

Other key factors in its success are its security measures and its voting governance system, so that the community decides whether changes or improvements are made to the code (and hard forks are avoided).

Litecoin

What’s so special about it?

Inspired by Bitcoin, Litecoin was born in 2011 with the aim of becoming its alternative.

Thus, from the beginning, its developers made an effort to solve several technical and security problems originated in the old blockchain. Thus, Litecoin can produce four times more units than Bitcoin and with greater security guarantees.

In addition, it uses the Scrypt function in its PoW, which allows mining to many more users, since it does not require supercomputers (decentralizing the mining processes).

BNB

What is so special about it?

Binance Coin is the official cryptocurrency of the cryptoexchange Binance, one of the largest exchanges in the world and also present in Asian markets.

The BNB was basically created to support transactions within the Binance platform itself, however although at the beginning it functioned more like a gas within the system itself, it is currently supported by other exchanges as well.

The best of all are its numerous discounts on the Binance network, lowering transaction costs.

USDTether

What is so special about it?

It is a cryptocurrency that allows you to store money and make transactions in a simple way, without the need to transfer the Tethers to another cryptocurrency, but to exchange the tether coins directly into fiat money.

It tries to put an end to the characteristic volatility of cryptocurrencies by maintaining a 1:1 parity with the dollar. Thus 1 Tether will always be equivalent to 1 USD or to its fiat pair (because it can also be referenced to other currencies such as the EUR or the GBP).

For this reason, and despite market fluctuations, so far this year Tether has managed to maintain a relatively stable value with respect to other digital currencies.

Chainlink

What’s so special about it?

Chainlink is a decentralized oracle system whose technology is based on the Ethereum blockchain.

This is important because most blockchains only support, understand and manage information within their ecosystem. What Chainlink achieves through these oracles, is to connect offline (real-world) resources to blockchains via API data transfer and other external sources. In this way, anything can be managed on its blockchain, such as airline tickets, for example.

Its technological advances have undoubtedly earned it major collaborations with Google’s Smart Oracles and the Swift smart oracle system with SWIFT (the one for bank transfers, yes).

Cardano

What’s so special about it?

Cardano has been quite a surprise. Despite its short life (launched at the end of 2017), the cryptocurrency earned a place in the top 10 most valuable coins.

From the beginning, its designers sought to create the most technologically developed Blockchain of accounts in existence. To this end, they have developed a multi-layered design that operates on the blockchain at several levels: a layer where ADA coins operate and another computational layer where smart contracts are executed.

It also employs a new mining algorithm called Ouroboros that significantly reduces energy costs and fees in general.

 

Current crypto prices can be checked here, for instance.

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