Bitcoin is the trendsetter of decentralized cryptocurrencies and is the most important cryptocurrency in the market. The world’s first cryptocurrency has enjoyed a high position on the throne for many years now, even when the market capital was low. Bitcoin is the standard for all the other cryptocurrencies. Bitcoin reached a market capitalization of $1 trillion just 12 years after its launch. This is extremely impressive given the time it had taken other major companies to reach it. At the moment, it seems the cryptocurrency Ethereum will break Bitcoin’s record as it has only been 6 years since its launch and it has seen much success.
Shay Benhamou says that there are other major cryptocurrencies that you should keep your eye on as well. These major cryptocurrencies also are worthwhile investments.
Major Cryptocurrencies To Keep On Your Radar
Ethereum is a second-generation cryptocurrency that was introduced with better technical aspects than bitcoin. Ethereum has a different endgoal than bitcoin which is to become an alternative monetary solution. Ethereum aims to create a decentralized suite that everyone in the world can access for free. This aspect makes Ethereum such an attractive cryptocurrency for investors. At the moment, Ethereum is the second-largest digital currency in terms of market capitalization. It makes up about 14% of the total cryptocurrency market capital.
Litecoin is often referred to as the “silver to Bitcoin’s gold” as it was the first cryptocurrency to follow after bitcoin’s steps. Litecoin was launched in 2011 and is based on a payment network that functions globally as an open-source. Litecoin is similar to Bitcoin in many ways but it also has its unique qualities. The coin has a faster transaction confirmation rate which is something that bitcoin still struggles with today. It is the sixth-largest cryptocurrency in the world with a market cap of $10.1 billion.
Bitcoin cash is the first and the most successful branch of bitcoin. The decentralized nature of Bitcoin means that alterations to the code of the crypto can be changed to maintain peace among developers and miners. Shay Benhamou explains that an alternative branch of the cryptocurrency under dispute is created to keep all parties satisfied. As an attempt to maintain peace among different factions, the altcoin that we know as Bitcoin Cash was created in 2017. Bitcoin Cash (BTC) has a market cap of $8.9 billion.
Cardano makes up about 1.75% of the total market cap of cryptocurrencies. It was a cryptocurrency that was developed by engineers, mathematicians, cryptographers with a research-based approach. Cardano is backed with around 90 papers on blockchain technology. Since it is such a carefully developed cryptocurrency, where one of its developers was previously on the Ethrereum development team, Cardano is often referred to as the Ethereum Killer. However, since Cardano is still in its early stage, we cannot be sure of that claim.
Binance Coin (BNB)
Binance Coin is a coin generated by the exchange platform Binance. The BNB is utility crypto that is used to pay the trading fee on the Binance Exchange. The Binance Exchange is one of the most widely used exchange platforms in the world. Traders can avail discounts on the total cost of trading if they use the BNB as a means of payment on the exchange. Binance Coin is also a decentralized cryptocurrency that was initially operated on the Ethereum blockchain as a token. The BNB has a market cap of $6.8 billion where one BNB has a market value of $44.46.
While Bitcoin is an investment that is sure to bring in major profits, you should also keep your attention distributed on these other cryptocurrencies. Shay Benhamou says that diversification of your trade portfolio is among the most important steps of cryptocurrency investments. So, if you have some cash lying around and are interested in trading in large-scale cryptos, then you should invest some money in these cryptos as well. While the risk of loss will be increased since they are major cryptos, you will also be making bigger profits.