Cryptocurrencies have emerged as a desirable investment option over the past few years. With its ever-increasing popularity, the hype shows no signs of stopping any time soon. 2021 is undoubtedly a prolific year for several cryptocurrencies. Therefore it is best to look at the 3 cryptocurrencies that have a killer advantage this year and are worth buying.
Today there are thousands of cryptocurrencies to choose from. The list keeps growing each passing day. Even though the crypto market is volatile, these three digital assets have the potential to generate massive returns.
3 Cryptocurrencies That Have A Killer Advantage
Thanks to the increasing popularity of DeFi and NFT sectors, Ethereum has seen record heights this year.
The Ethereum network is powered by Ether. It is a utility token that is a necessary form of payment for running apps or even processing your transaction on the blockchain. Ethereum is an open-source operating system and computing platform that aims to implement a globally decentralized, un-ownable, digital computer for executing peer-to-peer contracts. This way, Ethereum has positioned itself in the top 3 cryptocurrencies with a killer advantage this year.
Experts and crypto enthusiasts say that it is best to buy Ethereum now to double your money in the future. Daniel Polotsky, the CEO and founder of CoinFlip, says, “Proof of stake removes the costs associated with mining such as electricity and hardware costs, meaning that fewer ETH will be sold by miners. Instead, these ETH will be staked, driving up the value even further.”
Why Ethereum Will Make You Rich?
The increasing popularity and growth of DeFi is yet another bullish catalyst for Ethereum. The asset shows a renewed strength and has a price below $2000, as of writing, which is an ideal time to buy Ethereum. In addition, the token is attracting more and more institutional investors, currently driving ETH to new heights.
According to the latest business update by Coinbase, Ethereum’s trading volume has substantially increased in Q1 2021, with the asset’s growth driven by institutions. Therefore, Ethereum is not merely the second-largest cryptocurrency in the market but also the second-most popular digital asset for trading.
Ethereum 2.0 - A Game-changer For The Network
With the launch of ETH 2.0, Ethereum will see a renewed buyer’s interest from all verticals of society. The new Proof-of-Stake blockchain validation will address the growing environmental and security concerns, which have been the hot discussion lately in the crypto space. Furthermore, as the technology behind the asset becomes more energy-efficient, ETH will be one of the top cryptocurrencies that will rise in value in the near future.
ETH 2.0 claims to use 99.5% less energy than the current technology. It will also make the blockchain faster, scalable, secure, and will have the potential to host more applications.
Cardano stands out from its competitors, because of its unique Ouroboros Proof-of-Stake protocol that makes it an eco-friendly asset.
Cardano is known as the third-generation blockchain that aims to solve the scalability issues faced by Ethereum and Bitcoin. Instead of layer solutions on top of the existing technology, Cardano started from scratch and created an entirely new and advanced blockchain.
A Green Coin
Cardano is one of the 3 cryptocurrencies that have a killer advantage over others. A significant part of the credit goes to its unique Ouroborus Proof-of-Stake mechanism. Both Bitcoin and Ethereum engage a highly energy-intensive Proof-of-Work mechanism. It requires miners to utilize powerful computers to solve complex math equations. This massive energy consumption has raised heavy criticism lately in the crypto space.
Meanwhile, Hoskinson had a more sustainable approach right from the beginning. He said the network is "1.6 million times more energy efficient" than Bitcoin. This sustainable nature of the token has moved numerous investors to buy Cardano recently, boosting its value and price.
Why Buying Cardano Now Will Make You Rich?
Buying Cardano now could help you generate huge returns in the future. This is because the team behind Cardano is planning to launch smart contracts, which will give it an added advantage. Moving forward, experts predict that Cardano has the potential to overtake Ethereum. Hoskinson has high expectations for the token. In a statement, he stated that it has the potential to beat out ETH 2.0, and if it does so, Cardano would see a high increase in its value in the coming decades.
The ADA asset is focused on implementing ways that blockchains can solve real-world problems, especially in developing countries. For example, it had announced a significant partnership with the Ethiopian Ministry of Education earlier this year.
Cardano was developed with a strong focus on economic accessibility. There are billions of people who do not have access to affordable credit or even open a bank account. The digital asset aims to solve this, which makes Cardano a cryptocurrency with tremendous growth potential.
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Uniswap is one of the most popular DEX and a fully decentralized crypto exchange that runs on the Ethereum blockchain.
Uniswap is a distinctive cryptocurrency that has a killer advantage over other tokens in the market. It aims to remove the barrier of entry into the financial market by connecting it with the decentralized finance (DeFi) ecosystem. Uniswap is a decentralized exchange where users can swap any token with the ERC-20 protocol employed by Ethereum. Furthermore, it makes the process seamless by connecting MetaMask or other compatible wallets to the exchange.
UNI: Significant Features
It is best to buy Uniswap now as it is the most popular DEX that runs on the Ethereum blockchain. It offers numerous benefits for traders compared to its competitors, and this is why buying Uniswap could help you double your money in the future. It does not have any listing fees and also does not require any native token. Moreover, Uniswap features an affordable gas cost to process the transactions. Since the project is open-source, anyone with an equal amount of ETH can create any ERC market within a few clicks.
Moreover, it uses a relatively new type of trading paradigm referred to as an automated liquidity protocol.
The Automated Liquidity Pool
A significant reason why Uniswap will rise in value in the coming years is its innovative feature, the automated liquidity pool. The protocol helps UNI to tackle the enormous demand of the DeFi market. Liquidity pools power DEXs. The Total Volume Locked (TVL) is measured by the worth of assets deposited into the exchange’s smart contracts.
According to data from DeFi Pulse, Uniswap is one of the top leaders in the decentralized exchange category and holds over $3.7 billion in locked assets. However, the unique feature of Uniswap liquidity pools is that anyone can create new exchange pairs in a pool for any token. Moreover, these liquidity tokens are themselves tradable assets. Henceforth, liquidity providers can sell, transfer, or even use these tokens.
Further, Uniswap eliminates the traditional order book model by introducing an automated market maker protocol (AMM). This mechanism will help anyone swap tokens, add them to a pool or even list a token on Uniswap.
Why Uniswap Will Rise In Value?
Thanks to its unique technology, Uniswap is finding utility for multiple purposes. For example, Vitalik Buterin, the Ethereum founder, recently proposed that Uniswap has the potential to become an oracle token for a DeFi ecosystem.
Because of its high liquidity, Uniswap appears to be suited for the purpose. If so, it would benefit the entire crypto space as Uniswap will decentralize the oracle space that Chainlink currently dominates.
If you are searching for the top cryptocurrencies that have a killer advantage over other tokens right now, here it is. Cryptocurrencies have successfully become a viable investment class for several investors. But the crypto market is certainly volatile and is unpredictable. So it is always best to do detailed research before stepping in.
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Virtual currencies are highly volatile. Your capital is at risk.