FX.co ★ Top 7 cryptocurrencies to watch in 2020

Bitcoin

Well ahead of others, Bitcoin (ВТС) remains the most popular cryptocurrency in the world. It is sometimes called the digital gold of the crypto market. Bitcoin was the first currency to be based on blockchain technology which served as a foundation for creating a global distributed database. The technology is used to verify, store, and conduct transactions worldwide. Unlike government-issued currencies, Bitcoin is a completely decentralized digital asset. Some key factors that have contributed to Bitcoin’s popularity include instant low-cost transactions available 24/7, a high degree of security, and user’s full anonymity.

Ethereum

Ethereum is the world’s second most significant cryptocurrency which is sometimes referred to as the digital silver. It is a global distributed network based on blockchain technology. Ethereum is often described by its developers as a global, open-source, distributed platform used for transactions and computing. The Ethereum platform enables the implementation of other applications and platforms such as smart contracts, financial transactions, e-voting system, and others. Fast verification and secured transactions are the core benefits of the Ethereum network.

Bitcoin Cash

Bitcoin Cash ranks third among the most well-known virtual currencies. BCH was created as a hard fork of Bitcoin on August 1, 2017. This cryptocurrency is designed to help improve transaction speed of financial and crypto settlements. According to experts, Bitcoin Cash is able to process transactions more quickly than the Bitcoin network what makes it more convenient and user-friendly. Most of BCH functions are similar to those of Bitcoin: they both use the SHA-256 algorithm and have a fixed supply of 21 million coins.

Ripple

Ripple is in the fourth place among the most widely used digital assets. Ripple network is designed for internal payments and financial settlements based on blockchain technology. This platform enables global financial institutions to carry out instant and low-cost international payments. What is more, Ripple’s digital tokens can be quickly exchanged for fiat currencies. Ripple was not designed to be a means of payment. Its main function is to conduct transactions online. One of the key features of Ripple is its high scalability: the network can handle up to 1,000 transactions per second.

Litecoin

Litecoin ranks fifth on the list of most popular virtual currencies. Litecoin enables instant and almost zero-cost transactions all around the globe. Besides, Litecoin network offers faster transaction confirmation time thanks to more frequent block generation. In fact, Litecoin processes transactions in about 2.5 minutes which is four times faster than Bitcoin. Litecoin global payment system is a fully decentralized and opens-source network. Investors worldwide choose Litecoin for its excellent security level.

Tether

In top 7 cryptocurrencies rating, Tether is in the sixth place. It is considered to be a digital equivalent of the US dollar. This crypto asset’s value is pegged to the value of the greenback and maintains the rate of 1USDT to 1USD. Tether’s developers aimed at creating a new type of cryptocurrency – the so-called stablecoin. Being backed by the US dollar, Tether is less volatile than most of the virtual currencies.

EOS

EOS is the last most popular cryptocurrency on our list. This digital currency network has a unique structural design which enables vertical and horizontal scaling of decentralized application. EOS developers attempted to solve the problem of transaction speed and scalability and were successful at this. The holders of the EOS tokens can take full advantage of the EOS network resources only if they have a certain amount of coins. This way, the system encourages its users to accumulate and hold EOS tokens instead of spending them. EOS effective performance is achieved through the implementation of specialized modules.