Bitcoin has become the gold standard and the crypto of choice for new investors in cryptocurrencies. While it does have a first mover advantage and is a great gateway to other coins, there are tons of other alternative coins that are just as promising. If you want to diversify your assets and possibly find hidden gems, then you should consider looking at other coins as well. Here are some of the cryptocurrencies you should get to know besides Bitcoin.
Ethereum is the second coin in market capitalization in circulation and you cannot truly understand cryptos unless you understand it. While Bitcoin was made to be a store of value and for exchange purposes, Ether goes way beyond that. Ethereum is based on the principle of decentralized apps and provides programmers with a platform to build decentralized apps based on their own proprietary code. This allows programmers to build decentralized apps that are hosted on the Ethereum platform and are powered by Ether, which is the platform’s cryptocurrency.
What separates Ether from Bitcoin is its strong use case. While Bitcoin’s value is based on trust and is still seeing minimal support, Ether’s value is based on utility. So, while Ether might be somewhat pumped by speculators, it will most likely always have a certain value based on demand for decentralized apps and programmers wanting to use the platform. However, it also means that it will be less likely to reach Bitcoin’s heights since it wouldn’t be in the interest of the platform. And we can assure that the founders, who still control a large portion of the coins, will do their best to prevent Ether from spinning out of control, to make the platform accessible for developers.
Often dubbed as the anti-crypto, Ripple, and its token the XRP, are a huge departure from other coins. For one, it is by far the most centralized coin out there. While this might be an issue for some, it’s actually a strength in Ripple’s case. This is because XRP was created as a token for the banking system and isn’t trying to disrupt it like other cryptos do. Its main goal is to facilitate cross-border transfers and it has become an alternative to the Swift system. Since it’s heavily centralized, Ripple’s owners can have greater control over the currency to make it less volatile, which is a major plus considering who it is geared towards.
Another coin any crypto investor should know is Litecoin. Litecoin originated as a fork to the original Bitcoin blockchain and was created to be lighter cryptocurrency. One of the major issues with Bitcoin is its sluggish transaction times and Litecoin aimed at creating a much faster alternative that could handle more transactions in a shorter period of time.
Because of its many advantages over Bitcoin, many crypto investors have opted for the Litecoin to make coin-to-coin exchanges. Litecoin is also very easy to buy and can be found on pretty much every crypto exchange out here, no matter the country. For Australians citizens, sites like Crypto Head can help you find out where and how to buy Litecoin.
These three coins form the three major pillars when it comes to altcoins. They all have strong use cases and fill a very specific need in their sectors. So, make sure to at least consider adding some of them as part of your cryptocurrency portfolio.