Introduction:
In the ever-evolving landscape of digital finance, cryptocurrencies have emerged as a revolutionary force, reshaping the way we perceive and interact with money. As we step into 2024, let’s explore the top 10 cryptocurrencies that are making waves and leaving a lasting impact on the global financial scene.
Key points
- Bitcoin was the original cryptocurrency, launched in January 2009.
- Thousands of cryptocurrencies trade on the market.
- Most cryptocurrencies hold small market capitalizations.
Crypto bulls believe the volatile market is on track for new all-time highs and are optimistic regulatory clarity could open the door for more institutional investors to embrace cryptocurrency for the first time.
Even though thousands of other cryptocurrencies are now available, the crypto world is still dominated by bitcoin and ethereum. Ethereum’s and bitcoin’s market capitalizations comprise more than two-thirds of the crypto market.
Here are the 10 largest cryptocurrencies by market cap, excluding stablecoins.
1. Bitcoin (BTC)
Market cap: $861.4 billion
Year-over-year return: 162%
Bitcoin, often referred to as digital gold, continues to dominate the cryptocurrency market. Its decentralized nature and limited supply of 21 million coins make it a store of value, attracting investors seeking a hedge against inflation and economic uncertainty.
Roughly 14 years after its creation,bitcoin is still by far the most popular and valuable cryptocurrency in the world. Bitcoin was created by a mysterious person or group of people using the pseudonym Satoshi Nakamoto, and its blockchain-based, decentralized transaction verification and public ledger system revolutionized how people think about digital security.
While bitcoin’s decentralization and transparency make it appealing to investors and users, critics have raised concerns about its energy-intensive proof-of-work consensus mechanism and pointed out difficulties in scaling the network. In addition, there are now several large-scale crypto projects that have higher transaction speeds than bitcoin and others that have blockchains with special designs to improve bitcoin’s functionality.
2. Ethereum (ETH)(cryptocurrencies)
Market cap: $270.0 billion
Year-over-year return: 80%
Ethereum, the second-largest cryptocurrency by market capitalization, goes beyond being just a digital currency. It serves as a platform for decentralized applications (DApps) and smart contracts, enabling developers to create a wide range of decentralized service
Ethereum was one of the first altcoins, or alternatives to bitcoin. Ethereum was launched in July 2015 and is the most valuable crypto other than bitcoin. The ethereum blockchain is home to more than 1,400 applications and developer tools, and ether is the native cryptocurrency of the ethereum network.
ethereum completed its transition from a proof-of-work consensus mechanism to a much less energy-intensive proof-of-stake transaction verification system.
Ethereum is now a greener investment than bitcoin, but its blockchain functionality is its key differentiator.
3. Binance Coin (BNB)
Market cap: $48.2 billion
Year-over-year return: 24%
Binance Coin, the native cryptocurrency of the Binance exchange, has evolved beyond a simple trading token.
BNB was originally created as a utility token built on the ethereum network that users could use to access discounted trading fees on the Binance exchange. But the token has since transitioned to Binance’s own blockchain. BNB can now be used for a wide range of transactions, applications and other use cases.
It powers the Binance Smart Chain, facilitating fast and low-cost transactions, and is integral to the Binance ecosystem, offering various use cases like token launches and decentralized finance (DeFi) activities.
4. Solana (SOL)
Market cap: $43.6 billion
Year-over-year return: 670%
Solana has gained attention for its high throughput and low transaction costs.
Solana was launched in March 2020. Like ethereum, its network supports dApps, smart contracts and non-fungible tokens. But solana’s unique, hybrid proof-of-stake and proof-of-history verification system makes it faster and cheaper than ethereum.
Solana’s performance has made it a preferred choice for developers looking to build scalable and efficient blockchain projects. Unfortunately, the solana network has been plagued by outages since its launch, undermining its credibility within the crypto world
5. XRP (XRP)
Market cap: $31.0 billion
Year-over-year return: 68%
XRP is the native cryptocurrency of the Ripple network, designed to facilitate fast and cost-effective international money transfers. Launched in 2012, Ripple aimed to address the inefficiencies in traditional banking systems, particularly in cross-border transactions.
SWIFT is the global system banks and other financial institutions use to transfer money. But Ripple claims its technology is faster, cheaper and more transparent than the SWIFT system. XRP is the native cryptocurrency designed for the Ripple network and XRP Ledger blockchain. XRP got a huge boost in July when a judge in the Southern District of New York ruled that the crypto is “not necessarily a security” in certain circumstances, potentially putting it outside the SEC’s jurisdiction.
One of XRP’s main advantages is its incredible transaction speed. With a settlement time of just a few seconds, XRP outpaces traditional banking systems and many other cryptocurrencies.
6. Cardano (ADA)
Market cap: $19.2 billion
Year-over-year return: 104%
Building a Sustainable Blockchain
Cardano stands out for its commitment to sustainability and scalability.
Cardano is a decentralized proof-of-stake blockchain launched in September 2017 to be a more efficient system than bitcoin, ethereum or other proof-of-work blockchains available at the time. Cardano immediately had credibility among crypto enthusiasts because ethereum co-founder Charles Hoskinson founded it. Like ethereum, Cardano is focused on functionality and aims to be the platform of choice for dApp development and verifiable smart contracts.Cardano users can also use ADA for staking to help verify the network’s transactions and earn additional tokens.
7. Avalanche (AVAX)
Market cap: $13.5 billion
Year-over-year return: 212%
A Platform for Custom Blockchain Networks
Avalanche distinguishes itself by providing a platform for creating custom blockchain networks, allowing developers to tailor their solutions to specific needs.
Avalanche is another protocol launched relatively recently. The mainnet went live in September 2020.
What separates avalanche is that it is compatible with ethereum. The blockchain’s native token is AVAX, which can be used to pay transaction fees and governance.
8. Dogecoin (DOGE)
Market cap: $11.8 billion
Year-over-year return: 14%
Dogecoin was created in 2013 as a parody of bitcoin, but the cryptocurrency has become a legitimate investment to many crypto traders because of its simplicity, its high-profile supporters and the online appeal of its shiba inu mascot.
Dogecoin investor and Tesla CEO Elon Musk has repeatedly triggered volatility in dogecoin’s share price by mentioning or referencing the crypto. Musk is being sued by a group of dogecoin investors who allege he illegally manipulated its price. Billionaire entrepreneur Mark Cuban is also a dogecoin supporter and has praised the crypto for its potential as a medium of exchange.
9. Polkadot (DOT)
Market cap: $9.5 billion
Year-over-year return: 64%
The Polkadot blockchain was launched in 2020 by ethereum co-founder Gavin Wood. The protocol was created to connect different blockchains that were previously unconnected, allowing value and data to be transferred back and forth easily from blockchains such as ethereum and bitcoin.
Interoperability and Cross-Chain Compatibility
Polkadot aims to create a web where our data is our own, allowing different blockchains to transfer messages and value in a trust-free fashion.
10. TRON (TRX)
Market cap: $9.3 billion
Year-over-year return: 92%
Tron is a cryptocurrency project launched in August 2017 with the long-term goal of using blockchain technology and dApps to decentralize the internet.
TRX was originally an ethereum-based token but transitioned to its own blockchain in 2018.
The network has more than 177 million accounts and hosts the largest circulating supply of stablecoins. Tron’s network uses a delegated proof-of-stake verification system, and its native cryptocurrency is TRX.
Tron specializes in decentralized entertainment, such as gaming and gambling applications, allowing content creators to sell directly to consumers. In March 2023, the SEC charged Tron founder Justin Sun with fraud and other securities law violations.
Read More
taajakhabre.com/top-8-job-vacancy-in-january-2024
2a02:4780:11:1361:0:3746:aec1:2
2 thoughts on “Top 10 cryptocurrencies of 2024”