When we talk about cryptocurrencies, the first name that comes to our mind is Bitcoin or the Bitcoin Revolution System. Rather than just being a trendsetter, Bitcoin has created a benchmark and standard for cryptocurrencies. Since its inception, several cryptocurrencies have come into limelight. Today, we are going to learn about cryptocurrencies that evolved under the inspiration of crypto giants like Bitcoin.
We all know that cryptocurrency is virtual or digital money that comes in the form of tokens or coins. Each cryptocurrency is used for different purposes depending on the necessity. Cryptocurrencies ensure the processing of digital currencies and transactions over decentralized systems. As having a basic knowledge of cryptocurrency is sufficient to understand the entire blog, let us move on to know the types of cryptocurrencies. They are also known as Bitcoin alternatives.
#1: Ethereum (ETH)
Ethereum is considered as the first Bitcoin alternative and is a scattered platform. It encourages Smart Contracts and Decentralized Applications to be developed and executed. It protects the system from any downtime, interference from a third-party, fraud, or control. Ethereum has turned out to be the best choice for investors to even buy other digital currencies using Ether. After Bitcoin, Ethereum holds second place in the world in the market of cryptocurrency.
#2: Ripple (XRP)
Ripple stands unique when compared to Bitcoin and the other altcoins. It is a live global settlement network that enables immediate, low-cost, and specific international payments without any hassle. It provides a transparent exchange of money across countries at a conveniently low cost. Ripple cuts down the usage of computing power and decreases the network latency as it does not require mining at any stage. It comes pre-mined and involves only the introduction and removal of XRP from the market supply.
#3: Litecoin (LTC)
Litecoin was introduced in the year 2011, and it was among the first cryptocurrencies that resembled every characteristic of Bitcoin. It was often called the silver to the gold of Bitcoin. Without requiring any control by the central authority, it functions using the script as a proof of work. It is completely an open-source global payment network, which can be further decoded. Considering and comparing its market cap value, it takes sixth place in the world of the cryptocurrency market.
#4: Tether (USDT)
Tether was one among the first in the group of stablecoins, which aimed to attach their market value to a currency or any other external reference point to decrease volatility. This is one of the greatest cryptocurrencies, which is a strong block-chain enabled platform that allows fiat currencies into usage, digitally. Using Fiat currencies helps in reducing complexity linked with digital currencies.
#5: Bitcoin Cash (BCH)
Bitcoin Cash is considered the most important one in altcoins creation because it was one of the primal and successful blockchain technologies than the original bitcoin. In other words, we call this blockchain as hard forks. In earlier days, a fork occurs whenever there are debates and arguments between miners and developers. When these arguments do not come to an end, the digital currency is split. BCH is one of those splits introduced in the year 2017.
Libra is a cryptocurrency of Facebook that has launched and given to 28 great companies to be under their own control. Facebook will have its own digital currency, which will be attached to their account as a wallet. This cryptocurrency is unique from other altcoins because of its motive behind the introduction. Rather than calling it as a cryptocurrency, we can call it as a money exchange medium for shopping and other money spends by users.
#7: Monero (XMR)
Monero caters to exceptional security mechanisms and offers great privacy. It is an open-source cryptocurrency but at the same time, inerasable as well. It enables ring signatures for complete privacy where even a group of signatures appear with one real participant, the signature of that person is not isolated. So, there are high chances of people using it for illegal activities. Still, it has great technology induced.
Like Libra, EOS is also a cryptocurrency associated with a social media platform, introduced in the year 2018. Libra was not on a decentralized platform, but as EOS is designed after Ether, if offers a platform for developers to create decentralized applications.
#9: Bitcoin SV (BSV)
Bitcoin SV is a hard fork version of Bitcoin Cash; SV stands for Satoshi Vision. This again follows the history that BCH formed upon the debates and arguments among the BCH community; similarly, BSV also comes from the same manner.
#10: Binance Coin (BNB)
Binance Coin is the token offered by the Binance Cryptocurrency Exchange platform. It allows users to trade with different types of cryptocurrencies successfully on its own platform. It eases the transaction fees on exchange along with allowing you to pay for specific items and services.
There are many things in deep to learn about cryptocurrency because you will need it while investing. Keep updating yourself with the latest news on cryptocurrencies and usage.