Cryptocurrencies keep on increasing day by day…
Currently, there are over 860 crypto tokens introduced with a market capitalization of $145 billion. Bitcoin has the largest market capitalization i.e $79 billion.
Another portion of the market cap of $76 billion is probably shared by Altcoins. Altcoins are none other than alternative cryptocurrencies. Most investors think Bitcoin(BTC) is the best and most useful cryptocoin in the market because Bitcoin is dominating more than 50% of the cryptocurrency market. This is absolutely not fair for a few reasons
- Bitcoin (BTC) is the first digital token in the market. BTC has the First Mover’s benefit.
- Other cryptocurrencies are facing multiple issues and use cases, Bitcoin cannot aim to offer solutions for such problems.
- As the cryptocurrency world is decentralized, nobody will have autonomous power. On the other hand, Bitcoin has the chance to go down in price in no time.
Thanks to crypto-projects that are highly evaluated by the crypto market sentiments. The use cases are intending to offer solutions for multiple problems.
Eager to know about crypto’s effective and functional use cases? Yes! Jump into the topic right away.
Best cryptocurrencies with practical use cases
Use cases beyond your digital currency. Users can access their finance with ease. Use the smart contracts and feel secure while transferring their funds. Stablecoins and digitised metals are other attractive things that are connected with the use cases of crypto coins.
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Bitcoin (BTC) – Payment & Store the Value
Without a second thought, Bitcoin (BTC) will be the first cryptocurrency on the list. Bitcoin is the KING of cryptocurrencies. BTC was introduced in 2009, from its invention, Bitcoin is solving multiple problems in the real world. Bitcoin was invented by “Satoshi Nakamoto“, the ultimate aim of Bitcoin is to offer an alternative option to the existing banking system.
The inventor Santoshi has understood that banks, government and other institutes are becoming inflationary over the period. With decentralization, users don’t need to rely on centralized ledgers i.e banks, wallets, government and more. Central banks will charge for transferring your funds from one account to another.
Santoshi also invented Bitcoin (BTC) to be an effective and reliable store of value, similar to how people store the value of precious metals such as gold and platinum for ages. Keeping it simple, Bitcoin is becoming powerful day by day. BTC will continue to grow and improve with the latest technologies.
Ethereum (ETH) – Decentralized Applications and Smart Contracts
It’s no surprise Bitcoin (BTC) have started the digital currency revolution, but Ethereum (ETH) has pushed crypto tokens into the reliable and true crypto market. Ethereum was introduced by Vitalik Buterin in 2014.
Ethereum (ETH) is the one-stop destination for building effective DApps (decentralized applications) and smart contracts. They are purely autonomous. From the launch, Ethereum is successfully implementing its use cases of decentralized apps and smart contracts.
There are over 667 decentralized applications running in the market. On the other hand, 1727819 smart contracts are deployed on the ETH blockchain. The numbers are the true testimony to the real fact that Ethereum is achieving its objective. You might be hearing about the scaling and other issues related to Ethereum, this may or may not be true. Just believe that Ethereum will work harder by solving as well as implementing its primary purpose.
Monero (XMR) – Private, Anonymous and Fungible Digital Money
It’s a universal fact that Bitcoin (BTC) is not anonymous. Yes! Each and everything will exist on a public blockchain network. Thanks to Monero! Monero was introduced by Nicolas Van Saberhagen in 2014. The ultimate goal behind the Monero invention is to offer “private, anonymous and fungible digital money”.
Finally, in 2017, Monero (XMR) has reached its goal. Monero has been tested and implemented ring signatures, stealth addresses, zero-knowledge proofs, ring CT-like technologies and more. Transactions performed on the blockchain are validated using RandomX (proof-of-work algorithm).
As per analysis, Monero has the 3rd largest programmer or developer community among digital currencies, behind BTC and ETH. The privacy functionalities are attracting millions of people around the world. Though Monero is the decentralized public ledger, every transaction information is obfuscated.
Tether (USDT) – Pegging Cryptocurrencies to Fiat Currency
Stablecoins were introduced with the key goal to exclude the volatility of cryptocurrencies by constantly holding the stable value. Stablecoins are the popular type of crypto tokens that are linked to traditional currencies such as the U.S dollar and gold in order to stabilize the value. Simply put, the value of stable coins are fixed to the remaining assets.
Tether (USDT) is a popular cryptocurrency with digital tokens that are issued by the “Tether Limited”, Tether USDT was handled by Bitfinex. Tether is considered a stablecoin as it was designed to be worth $1.00. Tether is pegged to other assets such as U.S dollars is mostly used by investors to move their crypto assets quickly on crypto exchanges. The value of a stable coin fluctuate according to remaining assets, investors don’t need to worry about price volatility.
Tether (USDT) can offer a great choice of value transfer. Also, get participate in the worldwide financial system for the users who are residing in economic turmoil and have insufficient access to government or banking.
Ripple (XRP) – Bank’s cryptocurrency and instant processing
Ripple sound’s similar to the cryptocurrencies for banks. Ripple is a popular payment solution available for global users. The payment protocol allows users to send and receive global payments without a third party or central counterparty.
Say big thanks to Ripple (XRP), as the payment platform is solving the issue of global remittances. XPR has been designed in an attractive way that can easily comply with every local and central bank. XRP can be implemented on the “top-of-swift” infrastructure. Ripple is the ultimate solution for the people who are struggling with the pain points of the global banking system. The “National Bank of Abu Dhabi” is already using Ripple during real-time payments.
Conclusion
Hope you’ve understood the best cryptocurrencies with practical use cases. While investing your money in crypto, having a powerful use case must be your top criteria. Cryptocurrency with excellent use cases is the one that rises in a short period. If you’re looking for international payment, choosing Ripple can be the best choice for you. Depending on your need and requirement, choose the best cryptocurrency to invest in.
