The Top Altcoins List

The cryptocurrency industry is rapidly developing, which can leave you wondering “Doesn’t anyone just have a top altcoins list?” Bitcoin and Ethereum are some of the most popular cryptocurrencies, but today we will mainly be discussing penny altcoins available for purchase in 2022. Penny altcoins are luring crypto investors even though they can be high-risk investments. Due to their low market capitalization, they are affordable to invest in. One thing to keep in mind is that you should never enter this industry uninformed. Before you dive in, do some research on the crypto asset class. When it comes to investing in cryptocurrencies, there are hundreds of options. This top altcoins list will discuss the Top 8 penny altcoins available to buy in 2022 and beyond.

The Top Altcoins List:

1. Ethereum

Ethereum (ETH) is a platform that authorizes decentralized applications (dApps) and smart contracts to be operated and created without fraud, interference, or control from a third party. Ethereum’s consensus algorithm has transitioned from proof-of-work (PoW) to proof-of-stake (PoS) in December 2020. This change allows Ethereum’s network to run with far less energy and faster transaction times, and creates a deflationary economic environment. The goal of Ethereum is to set distributed financial products globally that anyone can freely access. These features make it more intriguing for investors in other countries, because those who do not have a state identification and state infrastructure can obtain loans, bank accounts, insurance, and some financial products.

2. Solana

Solana is often called the “Ethereum Killer.” As a result, many market observers anticipate that Solana will eventually overtake Ethereum as the premier smart contract platform. The Solana blockchain is substantially more efficient in scalability, speed, and costs. For instance, Ethereum’s present form is limited to 16 transactions per second. In comparison, the Solana blockchain can process over 65,000 transactions per second. Furthermore, you might know Ethereum’s ongoing problems with excessive fees. In a nutshell, transactions on the Ethereum blockchain — no matter how tiny – average $4 as of writing. Ethereum is unsuitable for processing microtransactions, essential in the smart contract industry. On the other hand, Solana can process transactions at less than 1/1000th of a cent.

3. Chainlink

Chainlink intends to supply real-world data to Ethereum and other blockchain smart contracts. It could lead to millions of new blockchain apps enabled by Chainlink’s data. While introducing real-world data may appear trivial at first, Chainlink’s goal is to provide reliable information without the need to trust anyone; otherwise, there is no difference between web2 and blockchain. Chainlink is a “Decentralized Oracle Network” (DON) at its core. A calculator is a math oracle, a term for a reliable source of information. The trick is to source data decentralized, so Chainlink needs to use blockchain technology. In short, Chainlink allows multiple entities to respond to a single inquiry and returns the answer given by most respondents.

4. Polygon (MATIC)

Polygon is a layer-2 network that works with the Ethereum blockchain to unblock the Level-1 Ethereum platform at low-cost and high speed. MATIC is used for network fees, staking, and governance. It is an ERC-20 token that uses a proof-of-stake consensus algorithm on the Ethereum blockchain. Polygon is currently the best bet for resolving the scalability issues that the Ethereum Blockchain is experiencing. Polygon is the best alternative for developers who want to use the Ethereum blockchain while also benefiting from multi-chain support for their projects. If you’re going to start collecting Polygon Matic coins, a possible strategy is to purchase the dip whenever the Fear and Greed Index is in the excessive fear stage.

5. Terra (LUNA)

Terra is a stable coin payment platform built on the blockchain to maintain perfect stability between two different types of cryptocurrencies. Stablecoins backed by Terra, such as TerraUSD, are linked to the worth of physical currencies. Luna and Terra’s stable coins are based on supply and demand. As the Terra platforms gain popularity, the value of Luna rises.

6. Stellar (XLM)

If you’re looking for a cryptocurrency to invest in that has a compelling use case, Stellar is an excellent option to think about. It is a decentralized payment network that uses Stellar Lumens (XLM) as its native cryptocurrency. Due to the network’s low fees and speed, payments can be sent globally, in any currency. This year, Stellar is arguably one of the best altcoins because it significantly improves the traditional banking system. Stellar uses decentralization as an alternative to the centralized transfer systems currently in use. Users benefit from the platform’s distributed ledger, which increases efficiency and transparency. Transaction history and data from the network’s other transfer systems are stored in this ledger.

7. Sushi

Like Uniswap, Sushi is a blockchain-based exchange. Sushi began by copying and pasting Uniswap’s whole codebase. Since then, Sushi has developed an extensive range of DeFi products and applications that Uniswap has yet to implement, such as lending, farming, and staking. It’s almost hard to believe how far Sushi has come since its humble beginnings in Japan. They disappeared without a trace, leaving behind hundreds of dollars. Even though this was a setback for the project, the Sushi community worked together to turn it into a top-ten DeFi protocol in smart contracts.

8. Litecoin

Litecoin (LTC) was one of the first cryptocurrencies to follow in the footsteps of Bitcoin and has been called “the silver to Bitcoin’s gold.” Created by a former MIT graduate and Google engineer, Charlie Lee, Litecoin is based on a global network payment that utilizes scrypt as a proof-of-work algorithm. Litecoin has some similarities with Bitcoin, but it produces blocks more quickly, permitting it to confirm transactions a lot faster.

Conclusion

Investing in altcoins can yield huge profits, especially if you’ve already missed out on Bitcoin’s rise in value. Adding the best altcoins to your portfolio is a great way to reduce your risk of losing money. It’s undoubtedly true that the cryptocurrency market tends to sync. However, it should be noted that some altcoins have performed much better than others. After all, Bitcoin has already exceeded a total market valuation of more than $1 trillion, implying that returns will be somewhat limited compared to smaller-cap altcoins. Expanding your assets will give you a better chance of selecting the best-performing altcoins.