The ALTCOIN, are all the coins that came out after Bitcoin, many have different characteristics and particularities.
The world of cryptocurrencies has revolutionized the way we understand financial processes. Since Bitcoin was born, new systems have emerged that try to differentiate themselves by incorporating new technologies.
Basically an altcoin is any
cryptocurrency other than bitcoin, which is why the expression means “alternative currency”. Currently there are more than 7,000 virtual currencies that have been developed to offer solutions to various problems.
Below we will explain some of the most relevant altcoins that exist apart from Ethereum, Ripple, ICO’s that we have already explained in other articles.
The top 7 most famous Altcoins
Litecoin (LTC)
Litecoin was developed in October 2011 by Charles “Charlie” Lee. Inspired by Bitcoin, he created Litecoin as an option. However, its central objective was to be a clear alternative to the emblematic virtual currency.
This cryptocurrency is not managed by any central authority. Its main difference from Bitcoin is its faster block generation rate and the use of Scrypt as a proof-of-work (PoW) scheme.
At its peak, Litecoin was taken as silver (metal) and Bictoin as gold. This cryptocurrency is still highly recognized around the world and is accepted as a means of payment.
Cardano (ADA)
This new cryptocurrency was developed in 2017 by one of the creators of Ethereum, Charles Hoskinson.
Cardano is a third generation cryptocurrency, which was born from a group of academics, and is considered as a scientific and proof cryptocurrency.
An interesting aspect of this virtual currency is its level of security, speed, and scalability. In addition, unlike other blockchains, Cardano has a double-layer network that is differentiated from each other.
This makes the system work much more efficiently when compared to other cryptocurrencies.
Polkadot (DOT)
Polkadot was created in 2017 as an alternative to interconnect different blockchains.
It is basically an open source protocol that allows the connection of various blockchains in a secure and scalable way.
This system allows the transmission and processing of data from multiple chains, therefore its scalability power is high.
Also the system has the ability to create its own chains to increase its power.
Bitcoin Cash (BCH)
In 2017 there was a division in the Bitcoin system and as a result Bitcoin Cash (BCH) was created. This separation occurs due to divergences regarding the way in which the BTC cryptocurrency should scale.
In this way Bitcoin Cash (BCH) becomes a new virtual currency whose purpose is to increase the scalability of the payment system, which is the main challenge of bitcoin.
Monero (XMR)
The Monero (XMR) cryptocurrency emerged in 2013 under an anonymous author.
Its central objective was to maximize the levels of privacy, as well as the ability to keep all its functions decentralized.
One aspect worth noting about this virtual currency is that it can run on different operating systems.
Tether (USDT)
Tether is a virtual currency that emerged in 2014 as a solution to the problem of volatility and low convertibility.
The central objective of the creators of this cryptocurrency is that it had a stable price, and that it was also easily accessible.
Tether is currently considered the fastest growing stablecoin in the cryptocurrency market. It is assumed that 1 USDT = 1 USD.
One problem is that the guarantees to keep the price stable are not always clear and there are no third-party audits that strongly support the project in this regard.
Binance Coin (BNB)
Binance coin is one of the most capitalized virtual currencies in the world and is issued by the world’s largest virtual currency exchange.
It was launched in July 2017 since its launch it has grown very quickly especially due to the support given by the fact that this coin is backed by Binace.
Binance is one of the main virtual currency exchange houses in the world with a solid business that does not stop growing.
Every quarter, Binance uses one-fifth of its profits to buy back, and permanently destroy, Binance Coins in its treasury.
Since its birth its use has expanded, today it can be used in numerous applications such as payment of transaction fees (in Binance), travel reservations, entertainment and financial services.