As the world becomes increasingly digital, cryptocurrencies are continuing to revolutionize the way we perceive currencies. Altcoins, as they are commonly called, are digital currencies that have been developed as alternatives to Bitcoin. In recent years, the number of altcoins available has grown exponentially, and it can be challenging to determine the best ones to buy. In this article, we detail the top five altcoins you can’t miss buying in 2021.
Ethereum (ETH) is undoubtedly one of the most popular altcoins, second only to Bitcoin. This altcoin is a decentralized platform that offers smart contracts and allows developers to create and deploy decentralized applications on it. ETH supports a wide range of use cases, including creating decentralized finance (DeFi) platforms, non-fungible tokens (NFTs), gaming, and more. With its market capitalization surpassing $200 billion, Ethereum is a must-have in any investor’s cryptocurrency portfolio.
Binance Coin (BNB)
Binance Coin (BNB) is the native cryptocurrency of the Binance exchange, one of the largest cryptocurrency exchanges in the world. This altcoin offers numerous benefits to users of the Binance exchange, such as fee discounts and access to exclusive features. However, it also has value outside the exchange, as it can be used as payment for goods and services. As the popularity of the Binance exchange continues to grow, so does the demand for this altcoin.
Cardano (ADA) is a third-generation blockchain, which means it offers significant advancements over traditional blockchain technology. This altcoin is designed to be a more secure and scalable alternative to other cryptocurrencies, making it ideal for use in the financial industry. Cardano features an advanced smart contract system and aims to become the go-to platform for decentralized applications. With its strong development team and growing community, Cardano has a lot of potential in the coming years.
Chainlink (LINK) is a decentralized oracle network that connects smart contracts to real-world data sources. This altcoin aims to solve the problem of smart contracts, which cannot access data from outside their blockchain. Chainlink has partnerships with many leading companies, including Google, SWIFT, and Oracle, which adds to its credibility. As the demand for smart contracts and decentralized applications continues to surge, so does the demand for Chainlink.
Uniswap (UNI) is a decentralized exchange (DEX) that allows users to swap cryptocurrencies without the need for an intermediary. This altcoin has become a mainstay in the world of decentralized finance (DeFi), and it has a strong community of supporters. UNI tokens also provide holders with governance rights, enabling them to shape the future direction of the platform. With the popularity of DeFi continuing to grow, UNI is poised for significant growth in the coming years.
1. What is an altcoin?
An altcoin is a digital currency developed as an alternative to Bitcoin.
2. What are smart contracts?
Smart contracts are self-executing contracts with the terms of the agreement directly written into code.
3. What is DeFi?
DeFi is short for decentralized finance, which aims to offer traditional financial services on a decentralized platform.
4. What is an oracle in blockchain technology?
An oracle is a tool that connects blockchain networks to external data sources.
5. How do I buy altcoins?
You can buy altcoins on cryptocurrency exchanges such as Binance, Coinbase, and Kraken, among others.
Investing in cryptocurrencies can be a daunting task, but it can also be highly rewarding. The five altcoins mentioned in this article offer investors a diverse range of options, each with its unique use cases and potential for growth. As always, it is essential to conduct thorough research and analysis before investing in any cryptocurrency. With the continued growth of the digital economy and the increasing popularity of cryptocurrencies, these altcoins are poised for significant growth in 2021 and beyond.