Cryptocurrency is digital money not controlled by a centralized system such as a government. Instead, it is built on blockchain technology, the most popular of which is bitcoin. As digital currency gains popularity on Wall Street, more possibilities become available. Currently, there are over 21,000 cryptocurrencies on the market.
While bitcoin can be used to make purchases, most people view it as a long-term investment. Volatility, on the other hand, makes investing in cryptocurrency riskier, as evidenced by this year’s freefall among cryptocurrencies, even stablecoins linked to the US dollar. Before you invest, you should understand what you’re getting into.
The 5 Best Cryptocurrency Investments for 2022
Here are the 5 top crypto to buy that may be worth investing in 2022.
1. Ripple (XRP)
The core use case for XRP, a Ripple Labs Inc. project, is a blockchain that promotes cheaper and more convenient cross-border transactions.
Neither Proof-of-Work nor Proof-of-Stake is used as a consensus mechanism in XRP. Instead, it employs validating servers to validate the requested modifications to the previous ledger. XRP is a decentralized system that does not rely on a central authority to decide who can set up a node or confirm transactions. This enables it to instantaneously handle transactions between several currencies and attract more investors abandoning the antiquated SWIFT network, which can cause delays.
2. Polygon (MATIC)
Polygon is a crypto asset built on the Ethereum blockchain to improve Ethereum scalability and infrastructure. It supports the “layer two” idea, which involves extending the Ethereum blockchain into a multi-chain network to enhance transaction and confirmation speeds.
Polygon is also highly safe, scalable, and interoperable. It provides an excellent user and developer experience with versatile and adaptable frameworks. Each dApp on Polygon has its resources and a fully customizable tech stack with its governance.
Polygon’s token (MATIC) is used on platforms as a settlement currency, fees, and payment services, thanks to cooperation from the Binance and Coinbase crypto exchanges. Because of its presence on prominent crypto exchanges, the coin gets exposed to many consumers, which may raise its value.
3. Decentralization (MANA)
Decentraland is a virtual reality platform that uses the Ethereum blockchain to allow users to create, enjoy, and monetize their content and applications. Decentraland, the largest metaverse platform with a market worth more than $1 billion, continues to attract new users and investors in the video gaming industry.
One of Decentraland’s key features is the Decentralized Autonomous Organization (DAO) technology. The DAO system ensures actual, decentralized governance, with users having complete control over the material and experiences generated on a parcel of virtual land.
Decentraland has made millions of dollars in the last year from virtual land sales, which must be paid for in MANA, the platform’s native currency. Decentraland has gained more than 20,000% since its official launch in February 2020, making it one of the finest cryptos to buy right now.
4. Solana (SOL)
Solana is a very effective blockchain, with one of the platform’s advantages being decreased transaction fees, which attracts more investors.
Solana can handle up to 50,000 transactions per second due to its Proof-of-Stake mechanism, which boosts validation speed, and Solana-based transactions will reach the 100 billion mark in September 2022. Furthermore, it employs Proof of History, an improved, time-tracking version of its consensus mechanism.
While it faces fierce competition from Ethereum, Solana’s fast network and inexpensive fees have propelled it into the top ten cryptocurrencies by market capitalization. More importantly, Solana differs significantly from Ethereum in data storage and modification. It, for example, isolates and stores state data and executable code in different places.
5. Polkadot (DOT)
Polkadot (DOT) is another relatively new crypto asset. It is one of the finest cryptos to buy right now because of its interoperability and long-term possibilities, which could offer it a promising future.
What news may impact the Shiba Inu token price in the future?
The long-term Shiba inu price prediction indicates that the SHIB digital assets are projected to be profitable with a favorable trend despite the price swings of SHIB tokens and the considerable risk involved.
On the other hand, SHIB lacks solid foundations because it is not technology-driven crypto. Most of its value is based on guesswork and headlines in the cryptocurrency market. Memecoin excitement, the launch of “ShibaSwap,” inclusion on major broker platforms, businesses accepting SHIB as payment, and investor token burning are all seen as potential game-changers for the token price.