There are more than 5,000 cryptocurrencies in existence, with more being created. However, some of the best cryptocurrencies to invest in are listed below.
Bitcoin is the most popular and widely used cryptocurrency to date around the globe. It is often referred to as the king of cryptocurrencies and its main objective is to act as global, peer-to-peer, digital cash. Bitcoin has the highest liquidity in the digital currency market, making it the best to buy, especially for beginners. Most investors will not have any problem in buying their Bitcoin and for the value thereof gradually increasing as the supply steadily diminishes.
Litecoin was one of the first cryptocurrencies which followed Bitcoin and it is also one of the most popular cryptocurrencies in the last decade. Using the source-code of Bitcoin, Litecoin is a fork of Bitcoin, with some added technical changes to the code. This makes Litecoin faster than Bitcoin with the same goal in mind, to become a global, peer-to-peer currency.
Ethereum is one of the first major projects in the world that introduced the concept surrounding smart contracts. These allow developers to launch mobile as well as desktop decentralised applications, or DApps, on top of the blockchain. There are thousands of tokens that run on the Ethereum network, with these tokens spurring the initial coin offering (ICO) movement. Next to Bitcoin, Ethereum is another major cryptocurrency that deserves consideration for investment in 2021. Alongside Bitcoin, Ethereum is highly liquid, ranked second and often third below Bitcoin. There is a loyal community as well as team behind Ethereum which means that the price on this cryptocurrency has a high chance of remaining stable and increasing long-term.
Unlike Bitcoin and Litecoin, that aim to become global, peer-to-peer currencies, the Binance coin is merely a utility coin. This means that its value derives from how useful it is along with how much demand there is for its utility, within the Binance ecosystem. Binance Coin is one of the most liquid cryptocurrencies and it is well-ranked on Coinmarketcap with a stable and increasing trade volume. Despite high demands for this coin, it has shown impressive price stability and consistent growth in recent times.
Basic Attention Token (BAT)
This is another utility token that is commonly used in the Brave Browser. The BAT token is used to tip content creators or anyone that is found to be helpful on the internet. This cryptocurrency has liquidity that fluctuates but is still within the top 40 most traded coins. The price volatility of the BAT token is also consistent when it is compared to that of other cryptocurrencies in circulation. There is a total of 1.5 million tokens which is planned to remain this way, depending on demand for BAT tokens.
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