5 Top Cryptocurrencies to Invest in Now Before Their Price Explodes in 2022
1. Bitcoin (BTC)
Bitcoin: what exactly is it?
Ever since its inception, the decentralised digital currency Bitcoin has maintained its position as the most valuable currency in the world.
It is transferred from one user to another across a decentralised network without the need for a central bank or single administrator.
Just how does Bitcoin operate?
The Proof-of-Work (PoW) consensus mechanism relies on the computational power contributed by miners to process network transactions. When users do this, they are rewarded with BTC tokens for completing difficult cryptographic problems.
Reasons why you should buy Bitcoin
Bitcoin is transparent and undeniable. It allows for secure, trustless payments and is censorship-resistant. These are Bitcoin's strengths.
As of January 1st, 2021, Bitcoin was valued at 29,374.15 dollars. If someone had invested 1000 dollars into Bitcoin on that date, their investment would be worth 1415.90 dollars as of January 11th, 2022. It is advised to buy Bitcoin when the Fear and Greed Index is in the acute fear level in order to start accumulating Bitcoins.
2. Ethereum (ETH)
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What's Ethereum?
If you're curious about Ethereum's future, you might wonder if you should buy it. Well, Ethereum is a blockchain that secures public digital ledgers. This community-run tech powers Ether (ETH) and decentralised apps.
What is Ethereum?
Ethereum's decentralised blockchain network maintains and tracks the currency. It allows developers to create smart contracts and decentralised applications (Dapp), where users can conduct transactions without an intermediary.
Buying ETH
Noble told time.com that Ethereum is worth buying since it's money and a store of wealth. It's a decentralised finance highway.
What would $1000 invested in ETH in 2021 be worth in 2022?
In 2021, Ethereum was worth $730.37. On 1/11/2022, it was $3,111.74. This means a $1,000 investment on January 1, 2021 would be worth $4,260.5 today.
3. Solana (SOL)
What is Solana?
Solana is a decentralised blockchain that allows scalable and user-friendly apps.
It can process many transactions per second, has lower fees than other blockchains, and uses Proof-of-Stake and Proof-of-History consensus.
How Does Solana work?
Solana uses a decentralised computer network and blockchain ledger. This database tracks currencies and records all transactions.
Why Buy Solana?
High speed, low fees, and scalability are cited as reasons to buy Solana by U.S. News. Solana tokens are non-fungible (NFTs).
Solana is the fastest blockchain network, processing 50,000 transactions per second.
Bitcoin can process 7 transactions per second, but Ethereum can process 15. Other than crypto, Visa can execute 1,700 transactions per second.
What would $1,000 invested in SOL in 2021 be worth in 2022?
On Jan. 1, 2021, Solana was $1.84. On 11 Jan 2022, it was $136.46. This means a $1,000 investment on January 1, 2021 is now worth $74,163.
4.Polygon(Matic)
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What is Polygon?
Polygon is a blockchain scalability platform that connects and builds blockchain networks that are compatible with Ethereum.
How does Polygon work?
Polygon offers a wide range of scaling architecture solutions for Ethereum, such as the Matic PoS chain as well as the Plasma Chain, among others. This results in much lower gas fees when compared to using Ethereum directly, and Polygon can reach 10,000 transactions per second, making it one of the fastest networks.
Reasons why you should buy Polygon
Polygon is a smart investment because it is compatible with Ethereum and used by several decentralised financial applications, according to GoBankingRates. Polygon users must bridge Ethereum assets to gain speed, affordability, and a market leader. QuickSwap, Aave, Curve Finance, AutoFarm, Beefy Finance, SushiSwap, 1inch are popular DeFi apps. It's used to mint Non-Fungible Tokens (NFT).
If you invested $1,000 in Polygon on January 1, 2021, your investment would be worth over $124,000 as of January 11, 2022.
5.Polkadot (DOT)
What is Polkadot?how it works?
Polkadot is a software protocol that incentivizes a global network of computers to operate its blockchain. The relay chain is Polkadot's main blockchain, and parachains leverage the relay chain's computing resources to validate transactions. Bridges connect Polkadot to other blockchains.
According to David Hamilton from Securities.io, these are the main reasons why Polkadot is a solid investment:
Polkadot’s relay chain is built with Substrate, a blockchain-building framework that is flexible and cross-platform.
Polkadot has a reputation for allowing users to stake the DOT tokens, where they get rewarded for their contributions.
Whenever a user stakes DOT tokens, they help to validate and mine the blockchain, and as such, each staker helps in securing and maintaining the network. This leads to an increase in the value of the DOT token.
If you had invested US$1000 in DOT at the beginning of 2021, it would be worth US$2,919.3 at the beginning of 2022.
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Article Data source :Zimpex