Cryptocurrencies are based on blockchain technology, functioning as decentralized systems free from government control.
Bitcoin stands out as one of the most popular cryptocurrencies.
There are currently more than 5,000 cryptocurrencies on the market and their popularity continues to grow. They can be used to buy and sell goods and services. And on Wall Street, it continues to gain traction.
Many people view cryptocurrencies as long-term investments.
However, it is somewhat risky due to the volatility that characterizes them, which is why prior research will be a great advantage.
In this article, we present the eight best cryptocurrencies that are worth investing in in 2022. The 8 main investments in crypto-currencies in 2022
To invest in crypto-currencies, find out about the market, because a new network of crypto-currencies can impose itself against other existing platforms.
Therefore, here are the 8 best cryptocurrency investments in 2022.1. Bitcoin (BTC)
Bitcoin is the market leader in cryptocurrencies. It is the first cryptocurrency to have been launched, born in 2008, and its creation is attributed to Satoshi Nakamoto. It is one of the virtual currencies that has been on the market for the longest time, which gives it a much higher price and capitalization than any other crypto investment option.
Bitcoin is currently accepted by many companies as a means of payment, making it a smart investment. The largest banks have integrated bitcoin transactions into their offerings. Tesla accepted this cryptocurrency for a while as a payment method for its cars.
And Visa allows transactions in bitcoins. The adoption of bitcoin in everyday life is becoming more and more frequent, so much so that exchanges between bitcoin and local currencies are done on online platforms, specialized ATMs and face-to-face meetings.
Risks of investing in bitcoin
The value of bitcoin is fluctuating, and can increase or decrease by several thousand dollars in a given month. Be aware of this fact, because if it makes you nervous, you may want to avoid investing in bitcoin.
Otherwise, it can be a smart long-term investment. Another reason to consider is the price of bitcoin, as most people can’t buy whole bitcoins, which can be a negative point if you want to avoid buying fractions of this cryptocurrency.
Buy Bitcoin: Binance trusted platform2. Ethereum (ETH)
Ethereum is defined as a platform that was created in 2015 by Buterin Vitalik, and was born as an instrument for decentralized and collaborative applications, its native cryptocurrency is Ether (ETH). Therefore, Ethereum, in addition to being a cryptocurrency like Bitcoin, has its own network.
Ethereum is the second most valuable cryptocurrency after Bitcoin, which puts it far ahead of its competitors. Its unique technology has given it a competitive edge, putting it in a privileged position, not only for the cryptocurrency itself, but also for the solutions it can offer in terms of crypto-assets.
Among these solutions, smart contracts stand out, with Ethereum making a breakthrough in this aspect, and allowing the blockchain ecosystem to manage transactions and automate certain results.
Risks of investing in Ethereum
Ethereum has the disadvantage of using a single lane for transactions, which can make processing transactions slower when the network is overloaded.
Transaction fees are high and can reach peaks according to CoinMarketCap. A security breach in 2016 led to the loss of more than $50 million in Ether.
Buy Ethereum: Binance trusted platform3. Binance coin (BNB)
Binance Coin (BNB) was founded in 2017 by CEO Zhao Changpeng. BNB is the official cryptocurrency of Binance, the largest and best-known exchange platform in the world.
This cryptocurrency runs on the Ethereum blockchain and is an ERC-20 token. And it was born to support transactions within the platform itself.
Binance Coin has proven to be one of the most stable investment options, according to CoinMarketCap. BNB is used to pay for goods and services, participate in exclusive token sales, and settle transaction fees on Binance’s Smart Chain.
It has a broad functionality that has led to the success of the coin in Binance’s subprojects, being used on blockchain, on third-party exchanges for daily payments, and for binance’s recently launched smart blockchain (BCS), but despite all this, it remains a volatile investment.
Risks of Investing in Binance Coin
One of the main features of Binance Coin is that it was created by a company and not by groups of technology developers. Despite binance Coin’s demonstrated commitment so far to maintain a robust blockchain, security concerns remain.
Buy Binance Coin: Binance trusted platform4. Cardano (ADA)
Cardano is one of the small networks that attract investors due to the low power consumption used to make transactions, making it faster and cheaper than large networks such as bitcoin. Unlike Ethereum and Bitcoin, it uses proofs of consensus and not proofs of work.
This avoids complex mathematical calculations to maintain the integrity of the chain, which saves energy in operation. Cardano has its own ADA cryptocurrency, and recently launched an update increasing functionality, enabling the implementation of smart contracts called dApps very similar to Ethereum.
It is characterized by greater security and adaptability, constant improvements and a lead over hackers.
It is therefore one of the most interesting emerging technologies in the sector, which brings creative solutions to the limits of Ethereum and Bitcoin.
Risks associated with investing in Cardano
As a small network, Cardano might struggle to compete with other larger cryptocurrencies, which doesn’t make it very attractive to most investors looking for a high adoption rate.
Buy Cardano: Binance trusted platform5. XRP (XRP)
XRP was born in 2012, founded by Ripple, a company that has revolutionized the processing of digital payments, resembling a crypto PayPal. It serves as an exchange between fiat currencies and cryptocurrencies, which is why they are pursuing the development of a credit system based on Peer to Peer (P2P).
One of the largest investments is made by Ripple in non-fungible token (NFT) projects using the XRP Ledger blockchain, which foresees it as a strong competitor to Ethereum.
Risks of investing in XRP
One of the biggest risks that could make noise for both XRP and other cryptocurrencies is to think of it as a security and not as a currency.
The most notable development was the lawsuit filed against Ripple by the Securities and Exchange Commission, alleging violation of the registration provisions of the Securities Act of 1933 by raising more than a billion dollars by offering securities backed by unregistered digital assets.
Buy XRP: Binance trusted platform6. Solana (SOL)
Solana has seen growth since its recent inception, starting 2021 with 0.01% of the market and ranking in the top 10 cryptocurrencies by market capitalization.
Solana’s main appeal lies in the scalability of its network, its speed and the ease with which it can be used to create decentralized applications running on a blockchain.
Investment risks in Solana
Investing in Solana can be a good deal, as the company has grown by almost 11,000% this year, but you should know that just as they went up, they can go down.
Solana suffered a nearly one-day outage due to resource depletion, which can be a problem due to reliability issues.
