While many cryptos are overpriced, a number of tip growth cryptocurrencies with great potential have fallen. This creates an opportunity for shrewd long-term investors to snag great buys on the cheap.
If you're going to buy bargain cryptos, here are two stellar cryptocurrencies for your consideration.
Back in 2009, when Bitcoin was created in response to the economic calamities inflicted by the financial crisis, the world had access to a novel asset class, not just a new digital currency. Currently, a little over a decade later, there are thousands of cryptocurrencies with varying specialties and differing degrees of utility, adoption, and promise. In such a broad market, accounting for over $1.3 trillion, how can investors know the best crypto to buy.
Based on crucial factors, experts predict certain digital assets to grow immensely in the future. So if you have $2000, here are two unbelievable growth cryptocurrencies you can buy on sale.
1. Solana (SOL)
Solana is a fourth-generation blockchain and cryptocurrency that leverages an open infrastructure to provide greater scalability. In addition, the network introduces various new and unique technologies to provide users with unmatched transaction speeds and enterprise-level security. Consequently, the network has seen considerable growth since its introduction in 2017.
There are multiple pain points in the market that Solana attempts to rectify. First, the network’s architecture was structured to be expandable and resilient to censorship. This trustless and distributed blockchain tackles both transaction settlement speed concerns and bandwidth via this design.
The crypto market faces various scalability issues, and early blockchains' reliance on the Proof-of-Work consensus mechanism has led to congestion issues. Top coins such as Bitcoin and Ethereum increase transaction fees as the network’s congestion rise.
Solana avoids these issues by introducing systems that allow the network’s transaction throughput to scale proportionally to its bandwidth. For example, Bitcoin can handle seven transactions per second (TPS), Ethereum can handle around twelve. According to developers, Solana is capable of 50,000 TPS. In this way, Solana improves upon many drawbacks of early blockchain networks.
Solana: Solid Fundamentals
Solana is a Delegated-Proof-of-Stake (DPoS) network. DPoS networks differ from PoS networks in many ways. Both mechanisms utilize Validators to process transactions. Validators are chosen based on their overall holdings in the network. Therefore, the more SOL you hold, the higher are the chances of you getting selected as a validator. This strategy ensures that only those vested in the network gain this position.
Validators earn rewards when they approve transactions and add them to the blockchain. Those who are not validators can still secure some easy profits by delegating their holdings to one of the Validators. This system allows everyone to participate, secure the network, and allows the users to decide what nodes deserve to validate transactions.
There are currently over 400 projects built on the Solana network, including various decentralized finance applications. Notably, FTX and Alameda Research developed their decentralized cryptocurrency exchange called Serum on Solana. The platform hosts the popular USDC stablecoin. Additionally, Audius (AUDIO) uses the Solana network, which may also be a factor behind SOL's recent price rise.
Solana is also a well-known player in the non-fungible token (NFT) market. Degenerate Apes was Solana's first big foray into NFTs. This collection of costumed apes features various traits (from glasses to sandwiches) with several degrees of rarity. The collection of 10,000 apes sold out in less than 10 minutes. The trading volume had reached over 600,000 SOL (over $66 million). Notably, all those sales needed SOL, which is also a factor in the price increase.
Solana: Unique Features
The Tower BFT is a notable feature of Solana Blockchain as the system enhances network responsiveness by providing validators to vote on the state of the ledger. This mechanism also records the previous votes and uses them to speed up validation by approving to reference their earlier votes rather than running the entire transaction chain. The feature is solely responsible for each transaction chain.
Another notable feature is the Gulf Stream mempool concept. Mempools refer to the waiting area for transactions before they are selected to go in the next block. Gulf Stream has introduced a new strategy that allows the network to forward transactions to validators before the current block of transactions is finished with its approval.
The unique offerings and technical advancements of Solana make it one of the hottest crypto platforms out there. Buying SOL now could help you amplify your returns in the future.
Check Out: Could Solana Be a Millionaire Maker Coin?
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
2. Tezos (XTZ)
Tezos is a fourth-generation blockchain network that incorporates advanced protocols to enable a host of functionalities. Primarily, the platform supports the development of decentralized applications (DApps) and the coding of smart contracts. Today, the Tezos community consists of researchers, developers, validators, and various support groups.
Tezos has said that its self-amending chain is one thing that makes it unique as it is "designed to evolve." The idea is that people who own XTZ can propose and vote on-chain to approve any changes without in-person discussions. Approved updates will then be implemented automatically. It is an unusual governance model that, in theory, reduces the likelihood of divisions within the community. In contrast, off-chain governance involves more discussion at conferences or via forums and mailing lists.
Tezos uses the Liquid PoS mechanism, which offers users more control compared to DPoS systems. For one, every user gets a vote. This strategy helps to ensure a more cohesive community. Keenly, users can vote directly or delegate their voting responsibilities to another party.
Additionally, these delegates can then transfer their votes to other delegates via a process known as transitivity. Notably, users can choose to regain their voting rights at any time. They can even change their representative’s vote whenever there is a topic they disagree with their decision.
Tezos: Easy Accessibility
Notably, Tezos is listed on many of the top cryptocurrency exchanges. So, it is easy for investors to buy and sell the token safely. In addition, investors can stake their tokens (either through their exchange or wallet or directly with the Tezos network) to earn interest.
Unlike Bitcoin, Tezos uses the more environmentally friendly proof-of-stake model to validate transactions and secure the network. In addition, if you stake your XTZ, you tie up your coins so they can power the network. For this and various other reasons, Tezos is a fast-growing crypto platform with endless potential. Investing in XTZ now could help you reap profits in the long run.
Don't Miss: Will Tezos Make Me Rich in 10 Years?
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Bottom Line
The interesting thing about cryptocurrencies is that blockchain technology is evolving, and there are many problems still to solve. Right now, several programmable blockchains are competing to take market share from the giant that is Ethereum. So if you have $2000, these are the two unbelievable growth cryptocurrencies you can buy on sale.
That said, investors should perform due research before investing in any digital asset.
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Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
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