Bitcoin has become a trendsetter that has brought cryptocurrencies or cryptocurrencies to popularity. Built on a decentralized peer-to-peer network, Bitcoin has also become the standard for cryptocurrencies, inspiring a growing following and spin-offs.
However, it should be noted that Bitcoin is not the only cryptocurrency available, it is important to look at other currencies and find out which other than Bitcoin works well. Here are some of the cryptocurrencies that survived during price spikes until sharp declines emerged.
However, in 2022, cryptocurrencies continue to be under pressure as commodity prices rise and the threat of high interest rates emerges. Here is a list of big cap cryptocurrencies:
- Ethereum (ETH)
The first Bitcoin alternative on the list is Ethereum (ETH), a decentralized software platform that allows smart contracts and decentralized applications (dApps) to be built and run without downtime, fraud, control, or interference from third parties. The goal behind Ethereum is to create a decentralized set of financial products that can be freely accessed by anyone in the world, regardless of nation, ethnicity, or creed.
This aspect makes the implications for those residing in several countries more attractive because those without country infrastructure and country identification can gain access to bank accounts, loans, insurance, or various other financial products. Applications on Ethereum run on ether, its platform-specific cryptographic token.
Ether (ETH) is like a vehicle to move on the Ethereum platform and is mostly sought after by developers looking to develop and run applications on Ethereum, or now, by investors looking to make purchases of other digital currencies using ether.
Ether was launched in 2015 and is currently the second largest digital currency by market cap after Bitcoin, although it lags behind the dominant cryptocurrency by a significant margin. Trading at around $1,383 per ETH as of September 18, 2022, ether's market cap of $169.5 billion is less than half that of Bitcoin.
- Tether (USDT)
Tether (USDT) is one of the first and most popular so-called stablecoins—a cryptocurrency and aims to peg their market value to a currency or other external reference point to reduce volatility. Since most digital currencies, even major currencies like Bitcoin, have often experienced periods of dramatic volatility, Tether and other stablecoins are trying to smooth out price fluctuations to attract users.
The price of Tether is directly related to the price of the US dollar. This system allows users to more easily make transfers from other cryptocurrencies back to US dollars in a more timely manner than actually converting to normal currency.
Launched in 2014, Tether describes itself as a "blockchain-enabled platform...to make it easier to use fiat currency digitally." Effectively, these cryptocurrencies allow individuals to leverage the blockchain network and related technologies to transact in traditional currencies while minimizing the volatility and complexity often associated with digital currencies.
As of September 18, 2022, Tether is the third largest cryptocurrency by market cap, with a market cap of USD67.9 billion and a value per token of USD1.00.
- USD Coins (USDC)
Another stablecoin, USD Coin also pegs its price to the US dollar using fiat-guaranteed reserves, meaning it holds the same amount of fiat currency as the amount of USD Coin in circulation.
USD Coin was launched in 2018 by the Center Consortium, which consists of Circle and Coinbase. Since Circle is based in the US, it is subject to regulation and makes USD Coin a regulated stablecoin. As of September 18, 2022, USD Coin has a market cap of $55.5 billion and a price per coin of $1.00. It ranks fourth in market cap and trading volume.
- Binance Coin (BNB)
Binance Coin (BNB) is a utility cryptocurrency that operates as a payment method for fees associated with trading on the Binance Exchange. It is the third largest cryptocurrency by market cap.
Those who use tokens as means of payment for exchanges can trade at a discount. The Binance Coin blockchain is also the platform on which the decentralized exchange Binance operates. Binance Exchange was founded by Changpeng Zhao and is one of the most widely used exchanges in the world by trading volume.
