Cryptocurrency continues to make headlines around the world as nations, banks, and even individuals explore new ways of using digital currencies. While Bitcoin is the most popular cryptocurrency, there are many more that are just as significant, if not more so.
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In this article, we’ll take a look at nine other cryptocurrencies that have been gaining traction in recent years. We’ll explore their unique features and how they differ from Bitcoin. Finally, we’ll discuss some potential uses of these cryptocurrencies in the future. So let’s get started!
Table of Contents
Ethereum
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference.
Ether, the native cryptocurrency of Ethereum, is mined through a Proof of Work (PoW) consensus algorithm (like Bitcoin). However, Ethereum plans to move to a Proof of Stake (PoS) consensus algorithm in the near future. This will make Ethereum more energy efficient and allow users to earn rewards for staking their Ether.
Ethereum is used by developers to create decentralized applications (dapps). These dapps can be built on top of Ethereum and run on the Ethereum network. Popular dapps include CryptoKitties, a digital collectible game, and Augur, a decentralized prediction market platform.
Bitcoin Cash
Bitcoin Cash is a cryptocurrency that was created in August 2017 as a hard fork of Bitcoin. Unlike Bitcoin, which has a block size limit of 1 MB, Bitcoin Cash has an 8 MB block size limit. This allows for faster transaction times and lower fees.
Bitcoin Cash is considered to be a more “true” form of Bitcoin than Bitcoin itself, as it removes the Segwit2x fork that occurred in November 2017. Segwit2x increased the block size limit to 2 MB, but many users felt that this went against the original vision of Bitcoin as a peer-to-peer electronic cash system. As a result, they opted to create Bitcoin Cash as an alternative.
Since its inception, Bitcoin Cash has grown to become one of the top 5 cryptocurrencies by market cap. It is currently traded on numerous exchanges and can be used to purchase goods and services just like any other cryptocurrency.
Litecoin
Litecoin is a cryptocurrency that was created in 2011 as a fork of the Bitcoin Core client. It is similar to Bitcoin in many ways, but it has quicker transaction times and a different hashing algorithm.
Litecoin is often referred to as “the silver to Bitcoin’s gold.” While both cryptocurrencies have a lot of potentials, Litecoin may be better suited for certain uses due to its faster transaction times. For example, Litecoin could be used for small transactions or as a currency for micropayments.
If you’re interested in investing in Litecoin, you can buy it on an exchange or mine it yourself. Mining Litecoin can be profitable, but it requires specialized hardware and software.
Ripple
Ripple is a cryptocurrency that was developed in order to make it easier for financial institutions to send money across borders. Unlike other cryptocurrencies, Ripple is not decentralized but instead is managed by a company called Ripple Labs.
This means that there is no blockchain associated with Ripple and transactions are processed much faster than with Bitcoin. However, this also means that Ripple is less secure than Bitcoin and is more susceptible to centralization.
Monero
Monero is an open-source cryptocurrency created in April 2014 that focuses on privacy and decentralization. Monero uses a public ledger to record transactions while new units are created through a process called mining.
Monero is unique in the cryptocurrency space because it offers complete privacy for its users. Transaction data is obfuscated through the use of ring signatures and stealth addresses, meaning that it is virtually impossible to track where Monero coins are being sent or received.
In addition to privacy, Monero also boasts decentralization and fungibility. Monero’s blockchain is not controlled by any single entity, making it resistant to censorship and manipulation. And because all Monero coins are equal, they can be freely exchanged without fear of discrimination.
Dash
With a market capitalization of over $1.5 billion, Dash is the fifth largest cryptocurrency after Bitcoin, Ethereum, Bitcoin Cash, and Ripple. Launched in 2014, Dash is a fork of the open source cryptocurrency project Bitcoin. While similar to Bitcoin in many ways, including its use of a blockchain and Proof-of-Work (PoW) consensus algorithm, Dash has a number of unique features that set it apart.
One of the most notable features of Dash is its PrivateSend function, which allows for anonymous transactions. PrivateSend uses a technique called CoinJoin to mix together inputs from multiple users into a single transaction, making it difficult to determine which input belongs to which user. In addition to PrivateSend, Dash also offers InstantSend, which allows for near-instantaneous transactions.
While Dash is often thought of as an anonymous cryptocurrency, it is important to note that all transactions are publicly visible on the blockchain. However, due to the nature of the coin mixing process used by PrivateSend, it can be very difficult to trace transactions back to their original source.
Ethereum Classic
Ethereum Classic (ETC) is a cryptocurrency that was created as a result of the hard fork of the Ethereum blockchain in 2016. The hard fork was necessary to reverse the damage caused by the DAO hack. The DAO was a decentralized organization built on top of the Ethereum blockchain that allowed individuals to invest in projects and receive rewards based on their success. However, due to a flaw in its code, the DAO was hacked and $50 million worth of Ether was stolen.
The hard fork resulted in two separate cryptocurrencies: Ethereum (ETH) and Ethereum Classic (ETC). Those who believed that the immutability of blockchain data was more important than reversing the damage caused by the hack continued to use ETC. Today, Ethereum Classic has a market capitalization of over $1 billion and is ranked as one of the top 10 cryptocurrencies by market cap.
Zcash
Bitcoin isn’t the only cryptocurrency on the rise. Here are some other digital currencies to keep an eye on. Zcash is a decentralized and open-source cryptocurrency that offers confidentiality and selective transparency of transactions. Zcash payments are published on a public blockchain, but the sender, recipient, and amount of a transaction remain private.
Zcash is based on Bitcoin’s codebase and uses the same proof-of-work consensus mechanism. However, it has a unique zero-knowledge security layer that encrypts transaction data so that it can’t be used to reveal sensitive information about users or their funds.
Like Bitcoin, Zcash has a limited supply of 21 million coins. However, Zcash’s block rewards are distributed differently from Bitcoin’s. In Zcash, 80% of the block reward goes to miners, while 20% is allocated to a founders’ reward for the development team and investors.
Since its launch in 2016, Zcash has become one of the most popular cryptocurrencies. Its market capitalization currently stands at over $1 billion, and it is ranked among the top 15 digital currencies by market cap.
Bitcoin Gold
Bitcoin Gold is a fork of the Bitcoin blockchain that occurred on October 24, 2017. The new cryptocurrency aimed to fix some of the issues associated with Bitcoin, including the high cost of mining. Bitcoin Gold uses a different proof-of-work algorithm than Bitcoin, which allows miners to use less expensive hardware. As a result, Bitcoin Gold is more accessible to individuals and small businesses that cannot afford the expensive rigs required to mine Bitcoin.
Conclusion
Cryptocurrencies are an ever-changing digital asset, and understanding them can be difficult. However, we hope that this article has provided insight into the different cryptocurrencies available on the market and what they offer. There is no one-size-fits-all when it comes to investing in cryptocurrency but exploring new opportunities can help you find something that fits your needs. Take a look at our list of cryptocurrencies and see which ones could work for you!
