4 popular cryptocurrencies to buy now

The demand for cryptocurrencies has hit the roof, with people wanting to invest in them. With thousands of cryptocurrency options out there, it can get a little overwhelming for beginners. Cryptocurrency has dramatically expanded ever since bitcoin was introduced a decade ago. The current financial market greatly influences cryptocurrencies, and a drop in stocks can also drag cryptocurrencies down. This article highlights some of the best cryptocurrencies to invest in.

Before we move on to the list of top cryptocurrencies to invest in, let’s clearly understand cryptocurrency and its importance. This will help beginners know what they are investing in.

What are cryptocurrencies?
Crypto can be defined as a virtual form of money, generally in tokens or coins. While cryptocurrency was initially purely digital, some have paved their way into the physical world in the form of credit cards. That said, the majority of cryptocurrencies still remain intangible. These digital currencies can be traded across decentralized systems to help build financial profiles.

Cryptocurrency is a unique electronic cash system that isn’t owned by one person. The reason for its uniqueness is that it is developed as a code by teams who build mechanisms for issuance through a process called mining.

Bitcoin (BTC)
First developed in 2009, Bitcoin is the original cryptocurrency that took over the world in no time. It’s safe to say that BTC has been in a bull market ever since its inception. Created by Satoshi Nakamoto (pseudonym), BTC is a form of electronic cash that enables online payments from one party to another without the intervention of any financial institutions. BTC runs on blockchain or ledger logging transactions that are valid across a network of thousands of computers. There’s also a way to verify transactions known as proof of work, and it works by solving a cryptographic puzzle. As for security aspects, these are kept safe and cannot be hacked. Over the past six years, the price of BTC has seen a growth of 7,800%, which may sound unrealistic in the world of trade, but it’s true. A Bitcoin that was sold for $500 in May 2016 is now traded for $44,000. The market cap for BTC is $846 billion.

Ethereum (ETH)
This is not just a cryptocurrency but also a blockchain platform that enables peer-to-peer transactions through a secure network that executes and verifies application code names. Besides enabling transactions without having the need for a centralized authority, ETH offers transaction records that are immutable, verifiable, and that can be securely distributed. This gives the participants access to the transaction data, which is of utmost importance in digital currency. This cryptocurrency also saw a major influx since April 2016. Its price increased from about $11 to over $3,000 in March 2022. That is a rise of up to 27,000%. This crypto boasts a market cap of over $361 billion.

Tether (USDT)
Backed by a hypothetical equal value of U.S. dollars and Euros, this cryptocurrency is a stablecoin, unlike other forms of cryptos. Created by the Crypto exchange BitFinex, the stablecoins track traditional fiat currencies kept in a designated bank account that include U.S. dollars, Euro, and Japanese Yen. Simply put, USDT’s value matches one of the denominations of these currencies. Investors who want to play safely in these investments would first opt for Tether and advise their clients to do so. The market cap of this cryptocurrency is relatively low – over $79 billion but ensures more stability in the volatile market.

Binance Coin (BNB)
Issued by one of the largest crypto exchanges— the Binance exchange and trades, the Binance coin is a type of cryptocurrency that can be used to trade and pay fees. Initially, when this crypto was launched, it was merely used to facilitate trades on the said platform. But investors can now use Binance Coins for trading, processing payments, and booking travel in exchange for this cryptocurrency. The crypto has grown exponentially since 2017. The price of one BNB increased from $0.10 to $412 in March 2022. That is approximately a growth of 41000%.