Top 5 Cryptocurrencies and their futures in 2018
First, there was Bitcoin.
We are now a bit far from this beginning, but we still look at Genesis cryptocurrency. Beginning with the unbelievable gains of the first currency and the growing use of the underlying blockchain technology, new species emerge that are fighting for supremacy. And it seems the emergency rate will only increase.
The recent so-called “alternative currencies” therefore promise faster transaction speeds and lower costs, two areas in which the effectiveness of Bitcoin is waning. Some try to occupy niches that Bitcoin could not fill. Some offer more security. To be honest, some are rare.
But whatever they do (or want to do), Altcoins consume the original market share. Back in late 2013 and Big Brother Bitcoin accounted for 96% of total cryptocurrency capitalization, according to Coinmarketcap .com. Now it’s only 35%, with much of its lunch devoured by many new alternatives.
Here we examine these alternatives and in Bitcoin itself to try to evaluate the similarities and differences offered in Cryptocurrency Eden (market capitalization data on January 9, 2018):
Following the 2008 financial crisis, it was assumed that Bitcoin would provide a decentralized source of money that would operate outside the jurisdiction of traditional monetary authorities. The value of his token has grown exponentially in 2017. Bitcoin futures were offered by major US exchanges. UU Since December 2018, cryptocurrency gives new credibility to the market.
Total market capitalization: $ 255 billion
Another relatively old timer that has been at home since 2011. At that time, the hardware needed to extract bitcoins was specialized and expensive, which prevented the average investor from participating. The basics of Litecoin have been trying to expand access to the point where anyone with a decent office could attend.
Since then, other currencies have clearly been involved in this action, but Litecoin retains a strong network and some benefits from the initial phase.
Total market capitalization: $ 13.8 billion
Ripple is a bit different, but now it’s also the third largest cryptocurrency by market capitalization with more than $ 122 billion. Ripple also forms a global settlement network for traditional trust currencies and other assets. However, to reach an agreement, you must pay a small fee in XRP, which is the ripple token. They are the ones who trade in the encryption market.
This state of effective brokerage is what makes Ripple one of the largest currencies and could give it tremendous potential if it could consolidate its position as a service provider rather than just a currency. Big banks like Santander and UBS used it.
Total market capitalization: $ 92.3 billion
Ethereum is a free software platform for free software. This has allowed developers from the beginning and encouraged them to develop distributed applications that use them.
In the Boulder Chain of Ethereum, miners work to extract ethers. In addition to an exchangeable cryptocurrency, app developers can use either to pay transaction fees and services on the Ethereum network.
Ethereum was the clear offering of Crypto coins number two, dwarfed only by Bitcoin and often touted as a likely winner in a fight between the two giants. However, its brilliance has been diminished by the arrival of other cheaper alternative parts, and only time will tell if its ease of use can make it to the previous glory.
Total market capitalization: $ 117.2 billion
Bitcoin Cash was “forked” from the original Bitcoin blockchain. This is a reaction to the so-called “Bitcoin Scalability Debate”. In short, the initial configuration of Bitcoin had increased rates, making small transactions unprofitable. On August 1, 2017, everyone who had Bitcoin received a corresponding amount of Bitcoin. The idea was to solve bitcoin scaling problems with a block size of eight megabytes.
Despite its advantages, it remains a much smaller global market than its older brother. But it is still the fourth largest cryptocurrency on the planet.
Total market capitalization: $ 40.5 billion In the beginning he had and had Bitcoin.
While all the cryptomonads in this list had a stellar rise in prices over the last twelve months, there is still a debate about what they really are, beyond the exceptional utility vehicles for those who have the nerve to resist the often-seismic volatility
Many traditional bankers like JP Morgan’s Jamie Dimon and monetary figures, such as the Deputy Governor of the Bank of England, John Cunliffe, have agreed to warn that much of the incredible strength of cryptomedas in the past year was purely speculative in nature to do little with objective value.
Fair value valuations are known to be difficult for cryptocurrencies. Traditional fiduciary money acts both as a means of value and as a medium of exchange. At present, cryptocurrencies appear to be too volatile to match the first and are used relatively secondly.
The first problem leads to the second. Who would spend a room and know it could be worth 100% more in one week?
The medium of exchange deposit? Mania? Start in less than a month.
Bitcoin and its cryptocurrency challenger: money or mania?
Chart compiled with TradingView
And while the original idea may have been to take control of the traditional authorities, these authorities will keep a firm hand, while cryptocurrencies are not entitled to pay taxes. It could be the plan of the global monetary authorities, which will last for the foreseeable future. In fact, it is very unlikely that governments will ever be able to give up this financial control.
Most major central banks also value their own digital currencies. Of course, in some cryptographic circles this would be seen as an antithesis to the original idea. But the coins with the support of the state could still have the last laugh.
Cryptomonea flourished at a time when many market interest rates were at historically low levels and when post-crisis quantitative easing (QE) threatens to undermine confidence in traditional currencies.
Now that the interest rate cycle has changed in the US UU, and may change elsewhere will be interesting to see if the Criptoinnovación is somewhat mollified by the prospect of better returns in the fictitious world. The financial ecosystem that Crypto has generated is changing.