What is Altcoin?
Other cryptocurrencies that operate in the market, except Bitcoin, are called altcoin. There are different altcoins in this market and not all of them are successful. Many of these altcoins are scams or failed projects. Many of these cryptocurrencies are issued to fund various activities or projects.
Altcoins are also called alternatives to Bitcoin because these digital currencies were made due to the popularity of Bitcoin. The altcoin market is expanding and there are altcoins with good prospects. These altcoins have good support teams and high trading volume and they can be good investment options for people who want to invest in digital currencies other than Bitcoin.
Ethereum is a smart contract that hosts most decentralized apps (DApps). Also, Ethereum is the 2nd-largest cryptocurrency in the market. It has attracted many investors with its new generation of blockchain technology.
Launched in 2014, this altcoin is evolving and in its new update promises to reduce transaction costs and install a deflationary mechanism. Investor excitement over Ethereum 2.0 can also have a big impact on the coin. As transaction costs decrease and Ethereum increases in popularity, a good future awaits this altcoin. So Ethereum can be a good choice for your long-term investment.
Chainlink’s main goal is to bring the power of smart contracts to the real world. Chainlink is an Ethereum-based decentralized blockchain oracle network and can bring outside data into smart contracts.
This network is designed to easily transfer tamper-proof data from off-chain sources to smart contracts on the blockchain. It is also an ERC677 token, which is an extension of the ERC20 standard.
Features such as off-chain computation and enabling access to real-world data makes it to have a great potential. Many top DeFi apps pay highly to use LINK tokens on their platform. Since this token retains all of the functionality of an ERC20 token, it may be stored in ERC20 wallets. Given the features mentioned about this altcoin, we can see good potentials in Chainlink for investment.
Uniswap empowers developers, traders, and liquidity providers to participate in the financial market. This marketplace is open and accessible to all. Uniswap is a decentralized exchange (DEX) based on Ethereum that mainly exchanges cryptocurrencies and other tokens on its own platform.
It was created for exchanging Ethereum tokens through liquidity pools. This decentralized solution has eliminated intermediaries and took control from centralized players. Uniswap fees are also paid with UNI tokens. Here we see the good potential of Uniswap tokens and these features may increase their value in the market.
Given the potential of this digital currency, as well as very low transaction fees and fast network transfers, it can be very useful for small and everyday transactions for users. The coin reached the price of $ 0.7376 due to the support of individuals. But it is now trading at 72% below this price, but still has the potential to rise and reach new highs.
Stellar Lumens (XLM)
Stellar is a decentralized platform. The main goal of Stellar is to unite different banking systems around the world and using payment methods (ACH, SEPA, SPEI, etc). Stellar also has the potential to become a global payment network. These potentials make Stellar a good investment.
Is a decentralized financial system that allows users to lend and borrow digital assets. As a result, they are more anonymous and more secure than centralized lending. But decentralized lending has higher interest rates than centralized lending. By shifting finance to a decentralized world, Aave has great potential to prove itself as a successful project.
One of the most successful altcoins in the cryptocurrency market. Polkadot was launched in 2020 with the goal of enabling cross-chain transfers. This feature allows many assets, including digital currencies, to share between multiple blockchains in this way. Having such potential and multi-chain enables Polkadot to prove its worth in the future as part of the world of digital currencies.
This cryptocurrency is a smart contract blockchain with an active DeFi ecosystem. Solana also has more than $10 billion in locked-in protocols, which increases the potential of this altcoin. Due to the innovations in the Solana blockchain, and the presence of SOL tokens in this network, we can see a high-throughput, low-fee chain in Solana.
The Altcoins introduced depend on the success of their project and the demand of investors. Please research these altcoins before investing in them and enter the market with your own knowledge. As mentioned, in the world of cryptocurrencies, many altcoins have failed and lost their value. If you need exchanges where you can buy and sell altcoins, here we have compiled a list of the best exchanges.