The cryptocurrency market has witnessed growth over the past few years. Finding the best low-cap crypto gems and investing in them before they explode has become a profitable business model for many investors.
Low-cap assets present a profitable opportunity for investors. They often start out undervalued, but their prices rise as their underlying projects see more adoption. Below, we take a quick look at the 5 best low-cap cryptocurrencies to buy in 2022 to see which of them could be a good investment.
Synthetix (SNX)
Synthetix is an emerging decentralized finance protocol built on Ethereum. The platform issues synthetic assets, and its native tokens are the Synthetix Network Token (SNX). The assets represent real-world assets on the Synthetix network and are known as synths. To issue synthetic assets, SNX must be locked in a contract.
One of the main benefits of the collateral model followed by Synthetix for issuing synthetic assets is that it eliminates the need for any counterparties for conversion between synths. Instead, all conversions between synths take place via smart contracts. Another notable advantage of this model is that it solves pressing slippage and liquidity issues commonly seen on decentralized exchanges.
Synthetix is gaining the benefits of being the first mover in the synthetic assets space. Given that the global derivatives market is currently worth billions of dollars, the crypto has a lot to gain in 2022 and beyond. There is no doubt that it is one of the most promising protocols in the DeFi space and one of the 5 best low-cap cryptocurrencies to buy in 2022.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Chiliz (CHZ)
Despite having a low market cap crypto of $1.3B, Chiliz (CHZ) is one coin that has investors highly excited. It has found a unique value proposition and is pushing that to the fullest. Launched in 2018, Chiliz focuses on helping sports brands to improve their fan engagement through collectibles, non-fungible tokens (NFTs), and more. CHZ acts as a medium of exchange for fans to purchase the tokens of their favourite teams and organizations.
Over the past few months, the Chiliz ecosystem has been buzzing following the launch of its layer-one blockchain platform. Earlier, it launched ‘Scoville’ - the public testnet for its layer-one blockchain platform for the sports and entertainment industries.
Using the platform, brands will be able to build DeFi products, mint NFTs and engagement tokens, build games, and create programs aimed at harnessing the power of Web3.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Neo (NEO)
NEO is often known as the China-based Ethereum, as it is a smart contract platform founded in China that enables developers to launch dApps on the blockchain. However, Neo is slightly more centralized than Ethereum. Instead of relying on hundreds of nodes like on Ethereum, there are only a few (less than 10) that make up its decision-making.
Smart contract platforms are targeting a vast market. Although Ethereum is currently the worldwide leader, China is a huge market, and NEO has a significant chance of leading out there. As a result, NEO is one of the 5 best low-cap cryptocurrencies to buy in 2022 and beyond.
Notably, Neo recently announced an EcoBoost program worth $200 million. It will distribute funding to projects building on the platform, helping the latter grow further. Being relatively undervalued, NEO is one of the few crypto tokens to explode in value.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
ApeCoin (APE)
ApeCoin is an Ethereum-based currency and one of the best new cryptos to buy whether you own a Bored Ape Yacht Club NFT or not. At the time of writing, the market capitalization of APE is around $1.6 billion.
Anyone who owns APE tokens can participate in the governance of the ApeCoin DAO. This is in charge of making choices on topics like ecosystem fund allocations, governance guidelines, projects, partnerships, and more.
In early August 2022, fashion brand Gucci revealed that it had increased its selection of payment alternatives to include APE tokens. 70% of Gucci's retail outlets already accept payment in cryptocurrencies across the US.
ApeCoin announces all new proposals on its Twitter feed and on the main platform. This allows investors to stay up to date on the project. The Bored Ape Club's Web3 metaverse game, Otherside, is one of the most anticipated in the industry.
Furthermore, well-known music artists Snoop Dogg and Eminem performed with their own apes inside the Otherside metaverse in collaboration with the MTV VMAs. They also released a music video with their Bored Ape avatars. This video has attracted almost 50 million views at the time of writing, which is great publicity for ApeCoin, Otherside, and the ecosystem as a whole.
These features make APE one of the 5 best low-cap cryptocurrencies to buy in 2022.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
IOTA (MIOTA)
IOTA is a cutting-edge network created to support the cost-free, frictionless flow of value and data between humans and machines. The token that supports this interconnectivity is MIOTA. Its market cap is a little over $814.5 million at the time of writing, securing a place in our list of the 5 best low-cap cryptocurrencies to buy in 2022.
This utility token is designed for the Internet of Things (IoT), which opens up new possibilities like smart cities, digital identities, supply chain management, and built-in automobile wallets. Validators and transactions are compensated for handling new transactions.
Although IOTA is a distributed ledger, there are no blocks or miners because it does not employ blockchain technology. As a result, the network is quicker than conventional blockchains.
IOTA users validate two earlier transactions each time they conduct a new one. To participate in the distribution of fresh tokens, MIOTA may be staked. Moreover, its programmable network allows for the tokenization of any asset, enabling the development of dApps.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
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