Protection from Volatility with these Cryptocurrencies
Volatility has been the defining characteristic of the crypto market from its inception. The highs are incredibly high, but so are the lows. Even after almost a decade, crypto remains an emerging market with a lot of uncertainty about its future. It is this volatility that makes trading and investing in cryptocurrency both exciting and risky at the same time. It means if you have some interest in cryptocurrency, you might be looking for protection from volatility to secure your profit. Trading these volatile markets demands special attention and knowledge to mitigate risk. Here are some of the best Cryptocurrencies markets to invest in with protection from volatility.
1. Ethereum
(ETH) Ethereum is an open-source, public, blockchain-based distributed computing platform featuring smart contract (scripting) functionality. It supports a modified consensus algorithm and a Turing-complete virtual machine called the Ethereum Virtual Machine (EVM). The EVM and its smart contracts are the building blocks for decentralized applications. Ethereum was proposed in late 2013 by Vitalik Buterin and launched in 2015. The currency has seen massive growth since its inception, from below $8 to over $400 as of December 2017.
2. Bitcoin (BTC)
Bitcoin is the most popular cryptocurrency in the world. It was created in 2009 by Satoshi Nakamoto, who remains anonymous and has never been identified. Bitcoin is an open-source, peer-to-peer digital currency that enables instant payments to anyone, anywhere in the world. Any central authority does not govern it: it’s based on open-source software, and its network consists of multiple nodes (computers connected to the internet) that verify transactions and add them to a distributed ledger known as the blockchain. It can be used to purchase goods and services online or mined for additional bitcoins. The currency has seen massive growth since its inception, rising from below $10 to over $2000 as of December 2017. It is currently ranked 9th by market capitalization with a market cap of over $61 billion. The new Bitcoin Cash (BCH) currency also takes after Bitcoin because it has faster transaction speeds and lower mining costs.
3. DirtiCoin
DirtiCoin is a fungible cryptocurrency with the stability and value of the currency backed by the value of real estate. Dirt Investment Coin is hitting the market to help everyone by providing protection from volatility and inflation by actually backing their currency with a standard. The standard they chose is real estate as it has the most proven track record to beat out all other investments. This currency is going to shake up the market and would have made it higher on the list if it had a little more time to vet, as it is brand new we will be watching it closely with anticipation.
4. Avalanche (AVAX)
Avalanche is a decentralized cloud computing platform that aims to be the backbone of the next generation of cloud computing. Avalanche is a distributed ledger technology (DLT) platform that aims to improve existing blockchain designs by combining the benefits of Bitcoin and Ethereum with other innovations. Avalanche’s design was built on top of Ethereum but with the addition of its features, including a consensus mechanism, an off-chain scaling solution, and smart contracts. It is based on the Ethereum network but with additional features designed specifically for enterprise users. The Avalanche Network uses a hybrid consensus mechanism to function as a public and private chain, depending on whether there are enough validators (miners) online to maintain its integrity.
5. Binance Coin (BNB)
Binance Coin (BNB) is the cryptocurrency that powers the Binance exchange. It allows users to hold funds in a wallet and use it to pay for all fees on the business, including trading fees and listing fees. The Binance Coin is designed to be used for payment for all costs on the exchange. It also functions as a payment method for listing tokens or as a way to incentivize users of the deal with airdrops. The Binance Exchange was founded by Changpeng Zhao (CZ) in 2017 and has quickly become one of the most popular cryptocurrency exchanges in China. Binance is a global player in the crypto space, with many irons in the fire. The exchange is the most popular in China, and the Binance Coin is one of the top cryptocurrencies in the world. It is a secure platform that uses multi-signature technology to ensure safe funds. It was designed to be more than just a trading platform, focusing on helping the ecosystem grow and develop.
6. Tron (TRX)
Tron (TRX) is the cryptocurrency that powers the Tron network. I Tron platform was launched in 2017 as a content-sharing platform for the BitTorrent ecosystem. It allows users to store and share content on the Tron blockchain. The Tron Foundation has recently announced that it is working on some projects, including its virtual machine and an O3 coin (a utility token). As far as cryptocurrency go, Tron is older than several others on this list, debuting just two years after Ether. It is the platform of choice for many projects, including Peiwo, one of China’s first-ever blockchain-based social networks. It has also been adopted by several blockchain companies and games that focus on the Tron network.
7. Solana (SOL)
Solana is a permissioned distributed ledger platform developed by JP Morgan and IBM. It aims to provide fast, low-cost, and highly scalable cross-industry blockchain solutions for the finance industry. Solana’s technology is built on a private chain architecture, meaning only authorized users can view the data on its ledger. Using this architecture, companies can remove the need for an intermediary to verify transactions, which makes it faster and cheaper than systems like Ethereum and Bitcoin. The Solana Network can also connect multiple blockchains to create a private network of ledgers, which financial institutions could use to track transactions across various networks simultaneously.
There are a lot of exciting projects in the cryptocurrency space, and the list above only scratches the surface of ways they can offer protection from volatility. It is clear that the market is still very much alive and kicking. Cryptocurrencies are being used for different purposes, and there will continue demand for this technology.