The launch of thousands of cryptocurrencies has made investing in them seem like a maze.
GST
There are thousands of different cryptocurrencies, which can be confusing when you first start in the crypto world. Forbes magazine has compiled a list of the top 10 cryptocurrencies to invest in based on their market value or the total value of all coins currently traded.
1. Bitcoin
Market value: $1.4 trillion
Annual yield: 165%
The cryptocurrency Bitcoin was created in 2009 by Satoshi Nakamoto, and it is the original cryptocurrency. As with 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 rose dramatically as it became a household name. In May 2016, you could buy one Bitcoin for approximately $500. As of May 2024, the price of one Bitcoin was around $69,901. This is a growth of 13,880.2%.
2. Ethereum
Market value: $454.4 billion
Annual yield: 109%
Ethereum, as both a cryptocurrency and a blockchain platform, is favored by developers due to its potential applications, such as the so-called smart contracts that are automatically executed 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 around $11 to about $3,783, an increase of 34,009%.
3. Tether
Market value: $111.3 billion
Annual yield: 0%
Unlike some other forms of cryptocurrency, Tether (USDT) is a stablecoin, meaning it is backed by fiat currencies such as the US dollar and the euro, and it is designed to maintain a value equal to one of these currencies.
Theoretically, this means that the value of Tether 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 value: $90.3 billion
Annual yield: 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 merely facilitating trading 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 only $0.10. By late May 2024, its price had risen to around $612, an increase of 612,136%.
5. Solana
Market value: $80.8 billion
Annual yield: 809%
Solana was developed to help run decentralized finance (DeFi) applications, decentralized applications (DApps), and smart contracts, and Solana operates on 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 around $181.83, with a profit of 23,250%.
6. USD Coin (USDC)
Market value: $33.2 billion
Annual yield: 0%
Like Tether, (USDC) is a stablecoin, meaning it is backed by the US dollar and aims to trade at a rate of $1 for each USDC. USDC is powered by the Ethereum network, and you can use USD Coin to complete global transactions.
7. Ripple (XRP)
Market value: $30.0 billion
Annual yield: 18%
XRP was created by some of the founders of Ripple, a digital technology and payment processing company, and can be used on that network to facilitate the exchange of various 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, a rise of 8,949%.
8. Dogecoin (DOGE)
Market value: $24.1 billion
Annual yield: 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 value: $22.2 billion
Annual yield
: 250%
Toncoin was originally developed as a first-layer blockchain network for the encrypted messaging platform Telegram, but was soon abandoned before being taken over by the TON Foundation. The project's name was changed to "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 eco-friendly TON network.
10. Cardano (ADA)
Market value: $17.8 billion
Annual yield: 36%
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 use and environmental impact by removing the competitive side and solving problems to validate transactions on platforms like Bitcoin. Cardano also works like Ethereum to enable smart contracts and decentralized applications, supported by its native currency, ADA.
Cardano's ADA token 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%.