Altcoins are all digital currencies that are not Bitcoin. There are thousands of them, but they can be divided into categories:
🔹 1. Blue-Chip Altcoins
These coins have a large market cap and high popularity:
Ethereum (ETH) – the second largest currency after Bitcoin, supports smart contracts.
Binance Coin (BNB) – the Binance platform coin, used to reduce trading fees.
XRP (XRP) – focuses on fast financial transactions.
Cardano (ADA) – based on academic research and gradual development.
Solana (SOL) – known for its high speed and low fees.
Polkadot (DOT) – aims to connect different blockchain networks.
Avalanche (AVAX) – offers high speed and scalability.
🔹 2. Metaverse and NFTs
These coins support virtual worlds and digital applications:
Decentraland (MANA) – supports a virtual world that users can own.
The Sandbox (SAND) – a platform for creating and experiencing digital games.
Axie Infinity (AXS) – supports the blockchain gaming economy.
🔹 3. Stablecoins
These coins are pegged to the dollar or other assets:
Tether (USDT) – the most famous stablecoin backed by the dollar.
USD Coin (USDC) – backed and regulated by financial institutions.
DAI (DAI) – a decentralized stablecoin.
🔹 4. Meme Coins
These coins started as a joke but gained wide popularity:
Dogecoin (DOGE) – the first meme coin, backed by Elon Musk.
Shiba Inu (SHIB) – considered the 'Dogecoin Killer'.
Floki Inu (FLOKI) – a project inspired by SHIB that supports the metaverse.
🔹 5. DeFi Tokens
Used in decentralized financial applications:
Uniswap (UNI) – used for decentralized currency exchange.
Aave (AAVE) – a digital lending platform.
Chainlink (LINK) – connects smart contracts with real-world data.
🔹 6. Privacy Coins
Focuses on anonymity in transactions:
Monero (XMR) – provides complete transaction privacy.
Zcash (ZEC) – uses strong encryption techniques to conceal data.