What are the best alternatives for Bitcoin? Which cryptocurrency is best to invest in in 2020? There is no denying that cryptocurrencies have come a long way since the launch of Bitcoin. With new technologies being developed every day and offering more robust security features, there is no shortage of investment options to choose from. However, with such a large array of alternatives, it can be a bit confusing to understand where to put your money. Here’s a list of the best Bitcoin replacements based on their popularity and market performance.
Best Alternatives for Bitcoin
Best Bitcoin Alternatives
Although Bicoin certainly is the most popular form of cryptocurrency, it is not the only one. There are plenty of other digital currencies that people trade in. Here are the best of them.
If there is any cryptocurrency that comes close to rivaling the popularity of Bitcoin in today’s market, it would be Ethereum. This currency has slowly and steadily gained popularity in the recent past. But while it’s the second most loved cryptocurrency after Bitcoin, both these crypto coins serve different purposes. In contrast to Bitcoin’s blockchain-based simple transactions ideology, Ethereum functions as a decentralized platform for the development of applications. Some would say this is naturally a superior alternative to Bitcoin, but a lot of people disagree.
While Ethereum does provide a host of smart contract options, it is also considerably more complicated. Also, the fact that the value of Ethereum is based on the apps being developed through it, makes investments a bit more uncertain. On top of that, ETH shares the volatility of Bitcoin. With ETH not looking to replace Bitcoin but charting its own course, it is up to you to decide whether it is a good fit for you or not.
Dash is one of those cryptocurrencies which prioritizes anonymous transactions over everything else. The currency has made a lot of headway in the market since its launch and is now considered one of the safer investment options.
It also offers a much faster transaction speed than Bitcoin. Another great thing about Dash is that it offers two levels of security to investors and their transactions. Basically, it pays volunteers to sign-off on transactions and thereby becomes a self-sustaining system.
With all that being said, Dash does not appear to have the potential to rival Bitcoin, let alone surpass it. Even with the two-level system of governance, it cannot assure complete safety of transactions. As it basically relies on the same blockchain technology as Bitcoin, it is also susceptible to the same threats as Bitcoin. Dash is a good investment option for those who are looking for a slightly better security feature than Bitcoin and also enable faster transactions. However, for long-term investment, this crypto might not be the first port-of-call.
If Bitcoin is the Gold of the crypto world, then Litecoin is the silver. This crypto coin has long been considered close to Bitcoin and offers a much-improved transaction and trading system. Litecoin was one of the three crypto coins adopted by Coinbase around mid-2017 and since then, the coin has enjoyed a fair amount of popularity amongst crypto investors.
We mention Litecoin here because it offers a superior structure and system than Bitcoin, thanks to its Segregated Witness or SegWit technology. By doing so, it has made a considerable addition to its list of benefits. Now, it can handle bulk transactions easily and at a reduced cost per transaction. These are some factors that seriously endorses Litecoin as a viable alternative to Bitcoin in the near future.
Monero is a new cryptocurrency on the block (chain) and it promises to be one of the best for anonymous online trading. Unlike Bitcoin, whose blockchain is more or less transparent and can be accessed by anyone to see relevant transaction logs, Monero does not feature this facility at all.
It basically bars people from knowing the transactions made by other people and thus provides greater security to users. Whether this is a good thing or not is still up for debate. But the fact of the matter is that investing in Monero might actually solve a lot of the privacy issues people consider when investing in other cryptocurrencies. If anonymity is the name of your game, Monero might be the perfect cryptocurrency investment option for you.
Ripple is an ideal cryptocurrency for international transactions. It offers investors the facility of swift transactions across borders at minimal transaction costs. Given the sheer potential of the international cryptocurrency market, an investment in Ripple might lead to big payout if the market remains relatively stable. And while Ripple might not be the best cryptocurrency in the market to invest in right now, it does have a host of features to its advantage that make it a prime monetary tool for international payments.
Best Alternatives for Bitcoin – Final Thoughts
There you have it. These are the best alternatives to Bitcoin in the market at present. However, as new crypto coins are introduced into the market, there is always a possibility of a new cryptocurrency emerging as the next trendsetter. If you are a serious crypto investor, keep up with the latest developments and invest according to the prevalent trends, benefits, and shortfalls of the various cryptocurrencies in the market today. With that said, it is very likely that the 5 coins we have listed here will be among the top picks to replace Bitcoin in your cryptocurrency investment portfolio. Can you be the next cryptocurrency millionaire?