$WCT
What are Altcoins?
Altcoins (alternative coins) are all cryptocurrencies other than Bitcoin. While Bitcoin was the first and remains the most well-known, altcoins were developed to improve upon or offer alternatives to its limitations.
There are thousands of altcoins, and they serve different purposes:
Ethereum (ETH) enables smart contracts and decentralized apps (dApps).
Ripple (XRP) is used for fast, low-cost cross-border payments.
Litecoin (LTC) offers faster transaction times than Bitcoin.
Chainlink (LINK) connects smart contracts with real-world data via oracles.
Stablecoins like USDT and USDC are pegged to fiat currencies for stability.
Altcoins can be classified into categories like utility tokens, governance tokens, DeFi tokens, meme coins, and platform coins. Some aim to innovate, while others are speculative or short-lived.
Investing in altcoins can offer higher rewards—but also higher risks—than Bitcoin, due to lower liquidity, volatility, and the potential for scams. Always research thoroughly before investing.