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People always look for ways that can provide them with great profit potential, and there are several methods to earn such huge profits. Traditional investment modes like stock market investors have provided people with adequate profits, however, there are various risks when it comes to those traditional methods. Nowadays, people choose to move to crypto investment and prefer cryptocurrency, as it is more secure and even more profitable than the other modes of investment.
As known by everyone, cryptocurrency is digital currency, in which transactions happen through a computer network. Since these currencies are highly encrypted, they are also a more secure mode of investment. These digital currencies are becoming the future as many people prefer this safer and more convenient way of transaction and investment. ottawalife.com provides a clear insight on the factors to be looked upon while choosing cryptocurrency, and here this post discusses the top 5 long-term cryptocurrencies to invest in in 2024.
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Reasons For The Popularity Of Cryptocurrencies
1. Decentralized
Since the cryptocurrencies are not maintained by the government and are also monopoly-free, these cryptocurrencies’ flow cannot be determined by anybody. and so the worth of the coin will keep it safe and secured. The holders of these cryptocurrencies have the freedom to look over their transaction records in their ledger technology, rather than having one single authority looking over everyone’s records.
2. Fraud-Proof
As stated earlier, these cryptocurrencies are highly encrypted. It is not only the transaction records that are safe and secure, but also the identity of the coin holder is secure to the encryption, thus making this mode of investment fraud-proof and evading the coin holder from facing identity theft.
3. Cost-Effective Transaction
Transaction of money through the traditional mode requires extra fees due to the presence of third parties like VISA or PayPal. However, through these cryptocurrencies, translation to be done across borders is cost-effective, as it does not require any third parties. Due to this elimination of the third parties, the transaction fees paid will be reduced or even become zero amount.
4. Accessible And Time-Efficient
Unlike traditional financial institutions, opening and setting up a cryptocurrency wallet is very easy and time-efficient. Anyone can use cryptocurrency, i.e., people without a traditional bank account can also get access to this cryptocurrency. This mode of using cryptocurrency makes transactions easier without involving a centralized authority.
Additionally, crypto transactions take less time compared to other modes of transactions. For an overseas transaction, financial institutions take three to five days, and wire transactions take about 24 hours. However, crypto translation takes only a few minutes for cryptocurrency to go from the sender and reach the receiver. It makes the process faster and more convenient for the users.
5. Value
Unlike fiat money which is government-assigned currency, cryptocurrency has a value store. These digital currencies are limited and are encrypted and capped using mathematical algorithms.
Furthermore, as these digital currencies are secured using algorithms, no government or political agency can dilute their value through inflation. Also, they cannot tax or confiscate the tokens without the owner’s agreement.
Top 5 Long-Term Cryptocurrencies
1. Bitcoin
Also termed digital gold in the world of investment, bitcoin is the largest cryptocurrency. It can be used for online and offline purchases or maintained as an asset for future purposes. This bitcoin is now purchased by many for its value and is considered more valuable than currency. The value of one bitcoin coin is about 23,935 8USD.
Like precious metals such as gold, bitcoin is also valuable due to its value and its limited supply of it. Many people prefer bitcoin because of the very first reason that it is the first electronic currency ever, and next because it has the most liquidity.
2. Ethereum
This digital currency is ranked the second largest virtual currency by market cap. The live value of one Ethereum is about 1782 USD. The name Ethereum is a digital ledger platform as well. This digital currency can be used as a value store and has a quality, i.e., Ethereum is a good platform for decentralized apps (Dapps). These currencies also take less time for transactions when compared to bitcoins. Ethereum takes only about five minutes for the transaction to be complete, while bitcoin takes about forty minutes. Ethereum prioritizes time efficiency while bitcoin focuses on security.
3. Cardano
It is the cryptocurrency platform that uses ADA as its currency. The live price of one Cardano is 0.5354USD. This currency stands out and is creating its name in the world of cryptocurrency for its unique technology.
This digital currency is a good option as it is eco-friendly and has several applications like DeFi and NFTs.It also has a proof-stake technology which is called OUroboros. The main feature of this algorithm is that miners get granted more mining power by the number of coins they own.
4. Polkadot
Like Cardano, Polkadot is also a blockchain network and a cryptocurrency. The price of one Polkadot is about 9.28USD. This one is popular and most used as it is interactive. Here, the developers can link the blockchains to the Polkadot system and can create a new blockchain itself.
Due to its constant growth and current price showing about 240% increase in value in two years, the investors find Polkadot as an inevitable growth in digital money and are investing in it.
5. Litecoin
While bitcoin is known as digital gold, bitcoin is known as digital silver. This coin was developed in the early stages of cryptocurrency and is similar to bitcoin. It is entirely decentralized and enables ultra-low cost payments. They are also highly encrypted and provides fast transaction time, thus making the process faster and secure.
Litecoins also have high liquidity and strong network effects. Additionally, it has cheaper translation fees, and unlike bitcoin, it can handle more transactions per second.
Conclusion
The demand for digital currency is increasing due to its security and currency-value. Society is slowly turning to cryptocurrency as a mode of investment. Earlier, people prefer the stock market, gold, land, and so on as their investment options. However, with adequate exposure to the idea of digital currency and its advantages, people are shifting to this investment.
There are several types of currencies in crypto, and each has its advantages over the others. With the growth in its value, the number of investors is also changing. However, new investors should stay cautious and keep track of the fluctuation of the currency to receive a good return on investments.
