WHAT IS ALTCOIN? WHAT YOU NEED TO KNOW ABOUT ALTCOIN
tiendientu-header We all have probably heard of the word altcoin. In the cryptocurrency market, what is Altcoin? Altcoin is a good cryptocurrency to refer to other concepts. And how is Bitcoin different from Altcoin? Let's tiendientu.org learn about Altcoin!
content
What is altcoin?
How is Altcoin different from Bitcoin?
Review Altcoin
Mining Altcoin (Digging Altcoin) like?
Are altcoins on sale?
Altcoin future will be like?
Should I invest in Altcoin?
Where to store Altcoin?
How to buy and sell Altcoin?
Conclude
What is altcoin?
As you all know, Bitcoin is the first cryptocurrency to appear in the world. Following the success of Bitcoin, a series of other cryptocurrencies were born to serve different purposes.
And to call all the cryptocurrencies born after Bitcoin, we use the term Altcoin. As of December 2019, nearly 5,000 altcoins appeared on the market (according to data from CoinMarketCap).
What is altcoin?
Of course, when Altcoin is the concept of just many different coins, the price of Altcoin is also very different. For example, as Ethereum is currently the largest altcoin (ranked 2nd in terms of market capitalization, after Bitcoin) is fluctuating at $ 220 (on October 7, 2018).
To look up the altcoin list as well as the altcoin price, we can visit websites specializing in cryptocurrency market statistics such as CoinMarketCap, LiveCoinWatch or ATHCoinIndex, etc.
Where was the first altcoin?
Namecoin (NMC) is the first altcoin born after Bitcoin, NMC coin was created by Vinced on April 18, 2011.
Namecoin is considered to be the first fork of Bitcoin, helping to improve the decentralization, privacy, censorship, security and speed of certain components of Internet infrastructure such as DNS and identity.
How is Altcoin different from Bitcoin?
Each Altcoin is different from Bitcoin in many different ways: economic model, coin distribution method, consensus algorithm (not applying Proof Of Work but applying Proof of Stake for example), security, ... Some provide flexible programming languages for developers to build applications on that platform, with Ethereum as an example.
Some altcoins are nothing more than a version of Bitcoin, changing only a few small parameters that have no effect, or promising to make useful improvements but essentially nothing. Especially the coin forks from Bitcoin that we can mention such as Bitcoin Cash, Bitcoin Gold, Bitcoin Diamond, ...
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How is Altcoin different from Bitcoin?
The birth of altcoins all tried to overcome the weaknesses of Bitcoin.
For example, Litecoin has improved the time to update each block, leading to faster transaction confirmation time. Monero aims to enhance the security of transactions ...
However, no altcoin is perfect, maybe it will be strong at this point but there will be a minus point in some part. It is also a factor that helps promote the growing crypto ecosystem to meet the different needs of users.
Review Altcoin
Advantages
Thousands of coins appeared to make the crypto market exciting and have a clearer community hierarchy. Those are good signals for the cryptocurrency market. And is an opportunity for those who want to make a profit with crypto.
Increased choice for users. There is no need to focus solely on Bitcoin.
Increasing applicability and diversity for the cryptocurrency market in general.
Bitcoin has many advantages but also many disadvantages. The Altcoin coins later born brought the solution to solve the problem of BTC.
Defect
No one coin does not pose a risk. Even Bitcoin still has many factors that cause users to worry.
More and more sharks are present - people who hold large amounts of altcoins. They pump a lot of money into low price coins then sell them to make a huge profit.
Many coins only exist for a short time.
The more coins appear, the more the number of scam projects and phishing users increases.
Altcoin today is too much and a lot of coins are not really needed, there are no practical applications.
Mining Altcoin (Digging Altcoin) like?
With the proliferation of altcoins, the characteristics and features of Bitcoin are both inherited and developed by its followers.
If Bitcoin pioneered the concept of Bitcoin mining with specialized machinery, then the coins that followed, for many different purposes, may have eliminated the mining process.
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Mining Altcoin (Digging Altcoin).
Therefore, there are altcoins that cannot be mined like Bitcoin in the market. So let's not be confused that mining Altcoin can work with all cryptocurrencies.
Some famous altcoins can be mined using specialized mining machines such as Bitcoin Cash (BCH), Litecoin (LTC), Monero (XMR), Dash, ...