8 Best Cryptocurrencies To Invest In for 2022

Cryptocurrency is a type of digital currency that’s not controlled by a centralized system as a government. Instead, it’s built in Blockchain technology which has Bitcoin becoming the most well-known one. As the digital currency continues to gain popularity across Wall Street, more and different options become accessible. There are more than 20,000 cryptocurrencies available on the market.

Although you can use cryptocurrency to purchase goods however, the majority of people view it as an investment that will last for a long time. But, the volatility of the market makes the investment in cryptocurrency risky as evidenced by the recent fall in the value of the various cryptocurrencies, such as stablecoins tied against the U.S. dollar. It’s crucial to know what you’re buying into prior to investing.

However, they are the eight best cryptocurrency that may be worth an investing in 2022.

Top 8 Cryptocurrency Investments for 2022

CRYPTOCURRENCY PRICE MARKET CAP
Bitcoin $22,953.73 $437.63 billion
Ethereum $1,627.56 $197.41 billion
Coin from Binance $279.68 $44.94 billion
Cardano $0.5035 $16.99 billion
Polygon $0.8891 $7.14 billion
Terra 2.0 $2.13 $272.55 million
Avalanche $23.09 $6.57 billion
Chainlink $7.45 $3.49 billion
Data is correct up to August. 1st, 2022.
1. Bitcoin (BTC)
Bitcoin was in circulation for the longest time period of time among all cryptocurrency. It’s clear why it’s the top choice with its market cap and price that’s more than the rest of the cryptocurrency investment option.

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A large number of businesses are already accepting bitcoin as a method of payment and this makes the cryptocurrency an investment worth it. Visa for instance, transactions with bitcoin. Following a four-year cryptocurrency absence, Stripe will also let customers pay with bitcoin. The bigger banks have started to integrate bitcoin transactions into their services too.

Although Tesla did accept bitcoin for a short time and then stopped, it may do so again when mining it becomes green. To the goal, Blockstream and Block, which was previously called Square is launching an Bitcoin mine located in Texas which will be driven through Tesla’s solar array as well as the Megapack battery. CNBC published on April 8.

Bitcoin has also seen an upswing in May in which the Luna Foundation Guard announced it will grant $1.5 billion of loans backed by terra USD and bitcoin in order to help stabilize the former, Fortune reported. The investment company VanEck wants to launch an exchange-traded bitcoin fund however, they have been denied the request by Securities and Exchange Commission denied VanEck’s initial application.

The Risks of Investing in Bitcoin
The price of bitcoin can fluctuate significantly. It’s possible to watch the price change by hundreds of dollars in any month. It’s been the case in the first quarter of this year since bitcoin prices have been correlated with the Nasdaq in a way, as CNBC revealed, challenging earlier notions that bitcoin could serve to hedge the effects of inflation.

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If the wild fluctuations of those make you anxious then you might want to steer clear of bitcoin. If you remember that bitcoin could be a good longer-term option These fluctuations should not be too worrying.

Another reason to think twice about considering investing in bitcoin is the cost. A single bitcoin costs more than $22,000, the majority of people aren’t able to afford entire bitcoins. For those who wish to keep from buying a tiny fraction of bitcoin, this could be an issue.

2. Ethereum (ETH)
Ethereum can be described as an open source network that lets developers to develop their own cryptocurrency and then deploy smart contracts using the network. While ethereum is not as valuable as bitcoin in terms of value however, it is also ahead of other rivals.

Although it was released several years before other cryptocurrencies however, it has surpassed its market share due to its unique technology. It’s currently the most viewed blockchain, and is the second most popular cryptocurrency, second only to bitcoin.

It could gain more points once the upgrade known as “The Merge” is fully implemented. The upgrade, due to be completed in August change Ethereum to an proof-of-stake consensus, which will decrease the amount of coins available and make mining obsolete. It is expected that the Merge will also dramatically decrease the energy usage of Ethereum. Prices for Ethereum increased by more than 50% in the final two weeks of July , in anticipation of the Merge upgrade, Fortune reported.

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Although ether hasn’t gained the same widespread acceptance as bitcoin has, traditional companies are embracing it. For instance, Fidelity is expanding its tech team to develop the necessary infrastructure to provide the services of trading and custody using ether to its clients, The Wall Street Journal revealed.

The Risks of Investing in Ethereum
Although the Ethereum platform is based on Blockchain technology, the platform only has one “lane” for conducting transactions. This may result in the processing of transactions taking longer because the system is loaded. The transaction fees can be very high. Its “gas” price — the amount of ether required to make a transaction using Ethereum’s Ethereum blockchain increased by 15% in March thanks to the high demands for blocks CoinDesk stated. While The Merge will resolve those issues, some people are exhausted of waiting. Dydx, for instance Dydx trading platform for cryptocurrency derivatives for example, is transferring onto its own platform.

Security is also an issue. For instance an attack that exploited an security vulnerability resulted in the loss of over $50 million worth of Ethereum. In May, the blockchain was struck by security issues after the launch of a brand new blockchain that operates alongside Ethereum’s mainnet. But, the blockchain is an experimental network, which means users were not affected. Merge’s final Merge upgrade is anticipated to enhance the security of the blockchain.

3. Binance Coin (BNB)
After years of fairly low rates, at a minimum, by standard for cryptocurrency, binance coin was able to take off in the first quarter of 2021. It jumped from $38 around January. 1 to the all-time record peak of $683 in the month of May.

Due to its steady performance over time the binance coin has proved to be one of the most reliable investment options relative to. It’s the primary cryptocurrency of Binance which is the largest trading platform for cryptocurrency in accordance with CoinMarketCap — as well as on Binance.US, the version that U.S. users must utilize. However, despite its vast features and its popularity within the Binance sub-projects coin is a volatile investment.

Investors who trade regularly must be aware that Binance temporarily stopped withdrawals and deposits for a few networks in recent times, including Polygon and Solana as it made improvements. The most recent that occurred on April 8 didn’t impact airdrops — the rewards are depend on the proportion of the deposit amounts.

The risks of investing in Binance Coin
The fact that binance coin is the sole currency on world’s biggest trading platform “legitimizes” it in certain ways, it makes it more vulnerable to regulatory concerns. BNB has lost 7.3 percent from its worth in the month of June, when the news surfaced of an Securities and Exchange Commission investigation to determine if Binance had followed the proper procedure in its initial coin offering of 2017, Fortune reported.

4. Cardano (ADA)
It is worth noting that the Cardano platform has a smaller footprint which attracts investors for a variety of reasons. It requires less energy to finish a transaction with Cardano than on a bigger network, such as Bitcoin. The result is that transactions are more efficient and cost-effective.

The year before, Cardano launched a “hard fork,” an upgrade that enhanced functionality -for example allowing the use of smart contracts. The second fork in the hard fork series, this time called Vasil was delayed until launch date delayed until June 29 however, once it is launched it will increase the Cardano blockchain’s scalability. The Daily Hodl reported.

Cardano recently announced a trial version of its platform called AdaSwap which allows developers to create applications for finance that are decentralized. AdaSwap could help Cardano gain recognition as an Web3-based network and boost the value of its currency.

The Risks of Investing in Cardano
Although it has a more robust network and the more features that smart contracts can provide, cardano may not be capable of competing with the larger cryptocurrency. Fewer adopters mean fewer developers. This doesn’t appeal to the majority of investors who would like to see an increased rate of adoption.

The platform has ambitious plans, including the launch of an incubator that will aid in helping Africa achieve it’s potential to become a significant market However, it is still to be seen whether it will meet its potential.

Tips
Be aware of the fluctuation of the stock market. The investment you make could lose money on one day, but turn profits the next. Instead of being immersed in day-to day shifts, take a look at the bigger view.

5. Polygon (MATIC)
Polygon was designed by a team of developers who contributed significantly towards this Ethereum Blockchain platform. Polygon is designed to support Ethereum expansion and development of infrastructure in accordance with CoinMarketCap. It is an “layer two” solution, it extends Ethereum into a multi-chain platform which improves the speed of transactions and the speed of verification.

Polygon is supported by Binance as well as Coinbase cryptocurrency exchanges. The currency, MATIC, is used to pay for transactions fees, as well as for settlement currencies.

On the 20th of July, Polygon announced in a press announcement that it was launching Polygon ZkEVM “the first Ethereum-equivalent scaling solution that works seamlessly with all existing smart contracts, developer tools and wallets.” It accomplishes this using the cryptography known as zero-knowledge proofs. They reduce transaction costs and improves the speed of transactions.

Polygon is currently hosting 19,000 applications that are decentralized which include some from major companies such as Meta and Stripe — which represents 600% more than the beginning of October, as per a blog post posted by Polygon. Furthermore, Polygon fully supports the stablecoin tether, which is expected to help its future expansion. Another benefit is the fact that it invests in carbon neutrality. This has led to price increases.

The Risks of Investing in Polygon
In the last quarter of 2018, Polygon revealed the patching of an issue that put around $20 million worth of currency at risk CoinDesk reported. An attacker discovered the vulnerability and immediately notified Polygon that it was able to fix the issue in just two days. But, hackers who were black-hat have already snatched over 800,000 tokens. This left Polygon with a bill of around $1.4 million.

6. Terra 2.0 (LUNA)
Terra Classic blockchain Terra Classic blockchain used stablecoins which are coins that are tied to fiat currencies like those of the U.S. dollar, South Korean won and International Monetary Fund’s Special Drawing Rights currencies -which serve as a power source for the world’s payment systems, as per CoinMarketCap. Its native currency, currently with the symbol LUNC has stabilized the price of the stablecoins on the blockchain.

But, terra crashed and burnt in the early months of May. This was caused by the volatility of stablecoins and general volatility in the markets for cryptocurrency and halting the cryptocurrency’s booming year.

After the crash Terra revamped the network with the name Terra Classic (LUNC) as well as introduced Terra 2.0 (LUNA), the first blockchain that does not have an algorithmic stablecoin in an attempt to improve the stability of the Terra ecosystem and to help investors who have lost money to recover the investments. LUNC coins are traded separately in a different way from LUNA coins that are part of Terra 2.0.

The Risks of Investing in Terra 2.0
The announcement of Terra 2.0 was a controversial decision and some industry experts aren’t sure about its future viability. However, a number of new projects have started on the new network and its native coin might be worth looking into for those with a high tolerance to risks.

It’s Good To Know
LUNC was not Terraform Labs CEO Do Kwon’s first stablecoin that failed. Basis cash, a cryptocurrency that he created using Ethereum around 2020 didn’t reach an equivalent value to the U.S. dollar, CoinDesk said. The price was $0.004605 at the time of writing. 1.

7. Avalanche (AVAX)
Avalanche is an incredibly recent “layer one” blockchain -one that enhances the protocol’s foundation to make it more adaptable according to the way Binance explained it. It was developed as an Ethereum rival through Ava Labs and computer scientists at Cornell University, one of who, former instructor Emin Gun Sirer is a veteran in the field of cryptographic research according to CoinMarketCap.

Although Ethereum’s nodes need to all verify every transaction, Avalanche’s three distinct blockchains are able to validate transactions on their own. This means that Avalanche more flexible and at handling large volumes of transactions, up to 6,500 transactions per second. It’s becoming increasingly popular with Ethereum project developers, U.S. News reported.

In terms of the coin’s own, Bloomberg reported on April 7 that avalanche surpassed the ether for Terra’s currency of choice it’s UST stablecoin. Luna Foundation Guard, the non-profit organization that helps Terra is planning to acquire 100 million dollars worth of avalanche as part initiative.

AVAX started trading in 2020 with an initial coin offering lasting 24 hours. The price fluctuated from an initial price in the range of $9.34 to a maximum of $146.22 during the past year. At the time of August. 1st The coin’s price was $23.09.

Risks of Investing in Avalanche
Sirer announced the cryptocurrency through an article in the year 2018. The launch of the cryptocurrency took place in the year 2020. With such a short time and a lack of history of comparison and is therefore a more risky purchase for prospective buyers.

8. Chainlink (LINK)
Chainlink utilizes an open oracle system that is decentralized in order to allow secure interaction between blockchains as well as external data feeds such as events, payment methods, and even events. they hope to allow smart contracts to be the most popular form of payment using digital technology in accordance with CoinMarketCap.

One of the things that works for Chainlink’s benefit is its strategic partnership with Google with whom Google utilizes Chainlink’s protocol to connect users with its cloud-based solutions, Benzinga reported. The project’s advisory board includes ex- Alphabet chairman Eric Schmidt, DocuSign co-founder Tom Gonser and former LinkedIn CEO Jeff Weiner, according to Securities.io.

Chainlink will also serve as the option for the inflation index, which is being created by the decentralized finance company Truflation to be used as an alternative to Consumer Price Index. While the CPI is a measure of inflation based on information from surveys, Truflation’s inflation index will utilize price data using the CPI’s calculation method, CoinDesk revealed. The Truflation index was made to be more accurate as well as more transparent and resistant to restrictions as compared to the CPI.

There are risks associated with investing in Chainlink.
Despite its proven value and backing from big companies, Chainlink has faced the same type of volatility as other cryptocurrency. Its price dropped from 20 dollars on January. 1. It was $5.59 at mid-June. It also has new competitors, like NEST that is which is based on Ethereum’s ERC-20 token that Coinbase introduced onto its marketplace under an experimental brand name, The Daily Hodl reported.

Tips
Don’t make a decision on any of the dozens of investments in cryptocurrency without studying the market. A new cryptocurrency company is likely to rise up the ranks and establish itself as a leader over other platforms. For investors, the most effective option is stay on top of the latest developments in the market.

Reviewing the Best Cryptocurrency Options
Do a quick search online and you’ll come across a multitude of suggestions on ways you can invest your money in crypto. In deciding the top eight selections, the following elements were taken into consideration.

Longevity
How many years have the cryptocurrency existed? The emergence of new cryptocurrencies isn’t a quick way to rule them out however having the historical information to look at helps determine how a particular company has fared up to now.

Record of Track
How has the business performed over the years of its existence? If you can see a steady increase in the prices, that’s an indication of good things to come. If you observe that cryptocurrency is gaining momentum and growing in value over time, it’s more encouraging.

Important Information
Past performance isn’t a reliable indicator of the future performance. Any time, things could alter, and an investment could perform better or less than it did in the past.

Technology
What is the performance of the platform with other platforms in terms of security and usability? One of the first things you need to check is how fast transactions are completed. The network must be capable of handling transaction traffic effortlessly.

It is also important to ensure that your investment is safe. The majority of cryptocurrency use Blockchain technology which makes all transactions clear and easy to follow. Blockchain technology does not necessarily hinder hackers from trying to get your money. It can make it easier to monitor your investment to ensure it can be reclaimed instead of disappearing due to fraud.

Adoption Ratio
What percentage of people are taking a stake in the cryptocurrency you’re thinking about? If you can see high levels of adoption which means the cryptocurrency is more liquid. The process of trading, selling or spending will be much easier in the near future.

Final Take
There’s no doubt about it: Cryptocurrencies are here to remain. So, the question is: what is the best location to invest your money on the market?

When you are deciding which one is the right choice for you Here are some additional important things to think about:

The speed at which transactions can be completed
The costs are incurred when transactions
You can utilize your cryptocurrency for routine transactions and transfer of funds to banks
If you’re interested in investing but aren’t trading on the blockchain be aware that cryptocurrency isn’t an opportunity to quick-money scheme. Instead, you should think about it as a long-term investment.