When it comes to cryptocurrency, usually we think about Bitcoin. It has been several years since Bitcoin entered the scene and became the most popular type of cryptocurrency globally. However, despite its legendary status in the industry, this is not the final word on cryptocurrencies. There are currently over 7,000 cryptocurrencies to choose from, and many more tokens issued on the Ethereum blockchain. The total cryptocurrency market capitalization is $1.25T at the time of writing.
Wonder what are the most popular cryptocurrencies in 2022? Check out our list based on the Coinmarketcap statistics.
The whole crypto world started with Bitcoin in 2009. Today one BTC costs around $30,000. Bitcoin is a decentralized peer-to-peer digital currency. All transactions occur directly between similar, independent network users without an intermediary performing licensing or operational processes.
The total amount of Bitcoin is limited by its algorithm and will never exceed 21 million coins. New coins are created by mining. When transactions are transmitted over the blockchain network, miners verify them and receive rewards. Still, you should remember that Bitcoin is a speculative cryptocurrency – it is not backed by anything.
Ethereum was the first to implement the concept of a blockchain smart contract platform, so it deserves to be one of the most popular cryptocurrencies. The algorithm automatically performs the actions required to complete an agreement between multiple parties on the Internet. They are designed to reduce the parties’ need for reliable intermediates and thus minimize operating costs while increasing the reliability of transactions.
The main innovation of Ethereum was to create a blockchain platform that permits the execution of smart contracts, which further enhances the existing benefits of this technology.
Tether (USDT) is digital money that always corresponds to the value of the US dollar. Tether was launched in 2014, and its idea was to create a stable cryptocurrency that could be used as a digital dollar. Therefore, UDST is pegged to the price of the US dollar. The coins are backed by real dollars stored in a vault, which protects Tether from the usual volatility of the cryptocurrency market.
XRP is a cryptocurrency payment system created by Ripple Labs Inc. XRP is its “digital asset created for global payments.” Ripple offers a cheaper and more efficient alternative to the Society for Worldwide Interbank Financial Telecommunications (SWIFT) system for handling international transactions. XRP allows users to send money at a meager price, attracting potential interest from retail customers and banks. It is considered one of the most popular altcoins (other cryptocurrencies than Bitcoin).
Cardano is one of the largest blockchains, successfully using the POS consensus mechanism, which is less energy-intensive than the POW Bitcoin algorithm. It’s among the cryptocurrencies with the most potential, according to many experts. Its total value is $17,296,176,611, according to Coinmarketcap.
This open-source project also aims to “transfer power from unidentified structures to individuals for the latter’s benefit,” contributing to a society characterized by greater security, transparency, and justice.
Solana is a high-performance, open-source, and top-growing cryptocurrency based on the unauthorized nature of blockchain technology to provide decentralized financial solutions (DeFi). Solana is known in the crypto space for its short processing time, which its blockchain offers. The Solana hybrid protocol significantly reduces the time to verify both transactions and smart contracts.
The Solana protocol is designed to serve both small users and corporate customers. One of Solana’s main promises to customers is that they will not be surprised by the increase in fees and taxes. In addition, the protocol is designed to have low transaction costs while ensuring scalability and fast processing.