The launch of thousands of cryptocurrencies has made investing in them seem like a maze, as there are thousands of different cryptocurrencies, which can be confusing when you first enter the world of cryptocurrencies. Forbes magazine has compiled a list of the top 10 cryptocurrencies to invest in based on their market capitalization or the total value of all currently traded coins.
1- Bitcoin:
– Market Cap: $1.4 trillion
– Annual Return: 165%
The cryptocurrency Bitcoin was created in 2009 by Satoshi Nakamoto and is the original cryptocurrency. Like most cryptocurrencies, Bitcoin operates on a blockchain, or distributed ledger transactions across a network of thousands of computers. Since additions to the distributed ledgers must be verified by solving a cryptographic puzzle, a process called proof of work, Bitcoin remains secure and safe from fraudsters.
The price of Bitcoin has risen significantly as it has become a household name. In May 2016, you could buy one Bitcoin for about $500. As of May 2024, the price of one Bitcoin was approximately $69,901. This is a growth of 13,880.2%.
2. Ethereum :
– Market Cap: $454.4 billion
– Annual Return: 109%
Ethereum, as both a cryptocurrency and a blockchain platform, is favored by software developers due to its potential applications, such as so-called smart contracts that are executed automatically when conditions are met and non-fungible tokens (NFTs). Ethereum has also seen tremendous growth. From April 2016 to the end of May 2024, its price rose from about $11 to around $3,783, an increase of 34,009%.
3. Tether :
– Market Cap: $111.3 billion
– Annual Return: 0%
Unlike some other forms of cryptocurrencies, Tether (USDT) is a stablecoin, meaning it is backed by fiat currencies like the US dollar and the euro, and it theoretically maintains a value equal to one of these currencies.
In theory, this means that Tether’s value is supposed to be more consistent than other cryptocurrencies, and it is preferred by investors who are concerned about the extreme volatility of other coins.
4. Binance Coin :
– Market Cap: $90.3 billion
– Annual Return: 99%
Binance Coin is a form of cryptocurrency that you can use to trade and pay fees on Binance, one of the largest cryptocurrency exchanges in the world. Since its launch in 2017, the cryptocurrency has expanded beyond just facilitating trades on the Binance exchange platform. Now, it can be used for trading, processing payments, or even booking travel arrangements. It can also be traded or exchanged for other forms of cryptocurrencies, such as Ethereum or Bitcoin.
The price of BNB in 2017 was just $0.10. By late May 2024, its price had risen to around $612, an increase of 612,136%.
5. Solana :
Market Cap: $80.8 billion
Annual Return: 809%
Solana was developed to support decentralized finance (DeFi) applications, decentralized applications (DApps), and smart contracts, utilizing unique hybrid mechanisms of proof of ownership and proof of history to process transactions quickly and securely.
When it launched in 2020, the price of SOL started at $0.77. As of May 2024, its price was approximately $181.83, yielding a profit of 23,250%.
6. USDC :
Market Cap: $33.2 billion
Annual Return: 0%
Like Tether, USDC is a stablecoin, meaning it is backed by the US dollar and aims to trade at a 1:1 ratio with the US dollar. USDC operates on the Ethereum network, and you can use USD Coin to complete global transactions.
7. Ripple (XRP) :
Market Cap: $30.0 billion
Annual Return: 18%
XRP was created by some founders of Ripple, a digital technology and payment processing company, and can be used on that network to facilitate the exchange of different types of currencies, including fiat currencies and other major cryptocurrencies.
At the beginning of 2017, the price of XRP was $0.006. As of May 2024, its price reached $0.54, representing an increase of 8,949%.
8. Dogecoin (DOGE) :
Market Cap: $24.1 billion
Annual Return: 129%
Dogecoin started as a joke currency to mock cryptocurrencies in 2013 but quickly evolved into a prominent cryptocurrency thanks to community acceptance. Unlike many other cryptocurrencies, there is no limit to the number of Dogecoins that can be created, leaving the currency vulnerable to devaluation as supply increases.
The price of Dogecoin in 2017 was $0.0002. By May 2024, its price reached $0.17, an increase of 83,353%.
9. Toncoin (TON) :
Market Cap: $22.2 billion
Annual Return: 250%
Toncoin was originally developed as a layer-one blockchain network for the encrypted messaging platform Telegram, but it was soon abandoned before being acquired by the TON Foundation. The project was renamed “The Open Network” from its original name “Telegram Open Network,” both referred to by the acronym: TON.
The currency allows users to buy, send, and store money on the incredibly fast and environmentally friendly TON network.
10. Cardano (ADA) :
Market Cap: $17.8 billion
Annual Return: 36%
Somewhat later in the cryptocurrency space, Cardano (ADA) became known for its early adoption of proof-of-stake validation. This method speeds up transaction times and reduces energy usage and environmental impact by removing the competitive aspect and solving problems for transaction validation on platforms like Bitcoin. Cardano also operates like Ethereum to enable smart contracts and decentralized applications, supported by ADA, its native currency. The ADA token of Cardano has seen relatively modest growth compared to other major cryptocurrencies. In 2017, the price of ADA was about $0.02. By May 2024, its price had risen to $0.47, an increase of 2,401%.
