Six Bitcoin Alternatives You Should Consider
Without any doubt, Bitcoin is valuable. However, there are other Bitcoin alternatives that are not as valuable but definitely worth considering. Here is the thing, bitcoin is now considered the default standard for cryptocurrencies. This is probably due to the fact that the bitcoin created some type of trend, which ushered in an era of cryptocurrencies that are built on a decentralized peer-to-peer network. However, there are currencies you should know of, currencies inspired by bitcoin. Don’t get it wrong. Although mining these cryptocurrencies is pretty easy compared with bitcoin, they are not as valuable.
That said, in no particular order, here are six bitcoin alternatives we think you should consider.
Popularly called the “Silver” to Bitcoin’s gold, Litecoin has been around since 2011. It was created by MIT engineer, and former Google employee, Charlie Lee. How does it work?
This cryptocurrency is based on an open source global network outside the control of any central authority. Instead, it uses scrypt as a proof of work. The major advantage Litecoin has over Bitcoin is that, it has a faster block generation rate. This subsequently leads to a faster confirmation of a transaction.
Compared with Litecoin, Ethereum is more recent. It is a decentralized software which allows Smart Contracts and Distributed Applications (ĐApps) to be built and run without any downtime, fraud, control or interference from a third party.
Ethereum was recently split into Ethereum (ETH) and Ethereum Classic (ETC). This is probably due to the attack on the DAO in 2016. With a market capitalization of $4.46 billion, Ethereum is only second to the extremely valuable Bitcoin.
This cryptocurrency prides itself on privacy and selective transparency. They achieve this by creating a platform where your transactions are published on a blockchain and other details (like sender, recipient and amount) are left out of the record.
You also get the option of using a shielded transaction. This allows you to encrypt your content using some advanced tool called zk-SNARK. It’s a zero-knowledge proof construction.
Following its launch in 2014, Dash enjoyed an influx of following from fans. However, it didn’t last very long. Developed by Evan Duffield, this cryptocurrency can be mined using a CPU or GPU. What makes Dash special?
It is a like a version of Bitcoin that offers more anonymity. Formerly known as dark coin, it uses a decentralized master code network which makes your transactions almost untraceable. It uses features such as Darksend, InstantX, etc., to get the job done.
The first thing you should know about Ripple is this; it has a market capitalization of $1.26 billion and does not need mining. That’s right, it doesn’t need mining. That is the major difference between this cryptocurrency and bitcoins. How does it work?
The developers believe in the distribution of value as an incentive for certain behaviours. Consequently, they distribute value through;
·Business development deals.
·Incentives to liquidity providers who offer tighter spreads for payments.
·Selling Ripple to buyers interested in investing in it.
Monero is an open source cryptocurrency that piqued the interest of most cryptographers when it launched in April 2014. Apart from the fact that it is a secure, private and untraceable currency, another feature that makes this cryptocurrency interesting is the fact that it is completely donation-based and community-driven.