If you are into earning quick profits, cryptocurrencies can be quite enticing. It is a lucrative opportunity where you can earn a good amount of money in a short period of time. However, also remember that because of the volatility of cryptocurrencies, it is also possible that you could lose your money in an instant.
Bitcoin has been getting a mainstream attention lately. From selling around $1,000, it has reached $20,000 before plummeting down below the $15k mark.
The emergence of the blockchain technology is not only limited to Bitcoin. Digital and decentralized ledgers have made it possible for other virtual currencies to appear along the way. Some digital currencies offer faster transaction time, reduced transaction fees, and even better privacy compared to Bitcoin.
If you are thinking of diversifying your cryptocurrency portfolio or looking to maximize the opportunity to take advantage of altcoin’s volatility, here are some of the alternative options that you should take into consideration.
In terms of market capitalization, Ethereum has the second largest in today’s world of virtual currencies. Earlier this year, Enterprise Ethereum Alliance was made which is comprised of 200 organizations that are testing the Ethereum blockchain into small-scale projects and demos. This involves businesses in finance, tech, and even governments.
This virtual currency started 2017 at around $7.57 and is currently selling at $675. One of the things that made this virtual currency popular is the incorporation of smart contracts. This helps in allowing Ethereum from just being limited to currency-only applications.
However, you also have to take a closer look at the vulnerabilities of this virtual currency especially after it has been used by cryptokitties, a game selling virtual cats for thousands of dollars. At one point, it has slowed down transactions within the Ethereum network significantly.
Ripple has skyrocketed by 12,000% just this year. Just like Ethereum, Ripple’s blockchain technology is what makes it special. Ripple is laser-focused on one niche that is to become the preferred blockchain for the financial-services industry. It offers rapid transactions and proof payments that can help speed up business transactions.
In June 2016, Canadian Imperial Bank of Commerce, UBS, and Banco Santander has been testing out the distributed ledger technology brought by Ripple.
However, it was in November 2017 when it made its presence felt. American Express and Banco Santander have announced their partnership with Ripple. Ripple’s blockchain played a role in non-card cross-border payments across FX International Payment network to UK Santander Accounts. Impressively, the payments were processed instantly.
Stellar’s value has jumped by 10,400% in 2017. Similar to what Ripple offers,it aims to build products for financial transactions worldwide. It targets business clients that have concerns regarding cross-border transactions. In fact, what is more impressive is that it offers cross-border payments in just two to five seconds. It also has smart contracts similar to what Ethereum offers that make Stellar even more enticing.
The world of virtual currencies remains in its infancy stage. Because of this, you should keep an eye on these possible options other than Bitcoin. These options could potentially gain popularity in the coming months.