Emerging cryptocurrencies: the new best coins to invest in (updated 2022)

 

Emerging cryptocurrencies: the new best coins to invest in (updated 2022)

Talking about cryptocurrencies many users believe that only by betting on Bitcoin is it possible to make profits, especially for those who have been lucky enough to be able to put aside some units of what has become the most famous cryptocurrency in the world. Next to Bitcoin there are instead many emerging cryptocurrencies that can offer even greater profits than Bitcoin, especially for those who like to invest with online trading or exchange cryptocurrencies at the right time, so as to generate a considerable profit.

In the following chapters we will show you what an emerging cryptocurrency is, what we have to pay attention to before placing any investment, what are the risks associated to an emerging cryptocurrency, which cryptocurrencies to consider and which ones to avoid, so as to minimize the risk of the investment (which is always present).

Why invest on emerging cryptocurrencies

Investing on emerging cryptocurrencies is a very effective way to diversify investments on cryptocurrencies: instead of always and only betting on the most famous cryptocurrencies, we can bet on currencies that have not yet gone through their "golden phase" or whose value is starting to soar, so as to anticipate the times and earn a lot when it will be time to sell some of the coins stored in our eWallet.

Emerging cryptocurrencies are also great for online trading: their price fluctuations can generate very interesting profits even without having to buy or mine cryptocurrency, but relying solely on predictions about the price that the cryptocurrency under consideration will reach.

What is an emerging cryptocurrency

An emerging cryptocurrency is a virtual currency (often available for a few years on the market) characterized by exponential growth, especially if linked to an innovative blockchain platform or that rewards well those who believe in the initial project.

Not all emerging cryptocurrencies are "young": some cryptocurrencies started out many years ago on the quiet, increasing in value only in the last year to the point of generating the interest of investors and "digital gold diggers".

The best emerging cryptocurrencies

To better understand where to place your next investment, let's take a look together at the best emerging cryptocurrencies to bet on. In the following chapters, we will try to favor those that offer a good compromise between project stability, growth margins in absolute terms and accessibility for trading and exchanges.

Dogecoin

Who would have thought that a cryptocurrency born as a joke and with a Shiba Inu dog as mascot (which also became a meme) would become the most interesting emerging cryptocurrency for investors!  With over 100 billion Dogecoin already in circulation now it is one of the cryptocurrencies you can bet on for a medium-term investment, also thanks to a volatility always very high and a value that grows as time goes by.

Dogecoin can be a good cryptocurrency for those who trade, as it always presents interesting fluctuations to bet on. It can also be a good currency to keep stored in your portfolio while waiting for the right value to sell.

NEO

NEO could be one of the emerging cryptocurrencies of 2021 with the highest growth rates, thanks in part to its infrastructure based on a technology very similar to Ethereum. Each NEO cryptocurrency holder actively participates in keeping the blockchain active, receiving in return another cryptocurrency tied to it, called GAS. GAS tokens allow the use of the NEO blockchain, exactly as it happens with Ether from the Ethereum network: we can consider GAS as the "fuel" that fuels transactions in the NEO system. The maximum number of circulating tokens is set at 100,000,000 NEO tokens, with today about 75% of this limit already effectively circulating, so very close to the limit towards which the coin will become so difficult to "mine" that the selling price will skyrocket.

NEO can be considered a good cryptocurrency to buy and keep safe in the eWallet, but it also lends itself very well to online trading, although the fluctuations are much less noticeable than other cryptocurrencies.

Chainlink

Chainlink is a public blockchain network, open to all and resistant to censorship designed to manage smart contracts or huge volumes of data to be certified. Within Chainlink a cryptocurrency, called LINK, is used, which provides the economic incentive to keep the blocks active and maintain the computing power necessary to encrypt the data and make it certifiable (i.e. impossible to modify or counterfeit). The LINK coin can be exchanged within Chainlink, exchanged into other cryptocurrencies in the appropriate exchangers or converted into real money.

The value of this cryptocurrency is growing, and if the certification system it runs takes more and more hold, you can expect a very high increase in the value of the coin. Chainlink is perfect for online trading but you can actively participate in the maintenance of the blockchain, so you can receive cryptocurrency for the work you do.

BAT

Among the alternative browsers to Google Chrome and Microsoft Edge we also find Brave Browser, which has a reward system based on cryptocurrency. By activating Brave Payments on the mentioned browser we will be able to get Basic Attention Token or BAT, meaning we will get paid for watching some targeted pop-up advertisements. The same ads can be automatically placed on your favorite sites, so you can pay the manager for publishing the content, offering an alternative earning system to Google Adsense.

We can disable the feature at any time, but for those who are not experts in cryptocurrencies or do not have much capital to invest this can be a good way to accumulate some cryptocurrency for free and effortlessly; BAT can be easily traded in major exchange sites or converted into real money, but it does not lend itself very well for those looking for a long-term investment or want to bet on price fluctuations to earn with online trading.

Binance Coin

Binance Coin is cryptocurrency issued by the exchange site Binance. Created as a token based on the Ethereum infrastructure, it does not involve mining and can be used both as an intermediate cryptocurrency for trading on other exchange sites and to pay the fees associated with the use of Binance services. The blockchain associated with Binance is now the best solution for decentralized finance projects that need lightweight and affordable networks, so it may soon become an industry benchmark, thus triggering a race to increase blockchain performance (with an increase in circulating cryptocurrency and its value).

This cryptocurrency can be considered for both direct buying and trading, but it can be a good way to pay for services leveraged on the Binance site without having to touch our wallet.

ZCash

Zcash is a cryptocurrency founded by Zooko Wilcox-O'Hearn, devoted to privacy and selective transaction transparency. Zcash payments are available on the associated public blockchain but the sender, receiver and value of the transaction can remain private, so as to generate a completely anonymous financial transaction that is impossible to intercept. This feature of the coin has made it very volatile over the years with very high fluctuations; today the coin has definitely stabilized and, with the growth of transactions, it has good room for growth for those who want to mine or trade.

As Bitcoin Zcash has a total fixed supply of 21 million units, of which more than 11 million have already been placed: as the limit approaches, the value will skyrocket, with excellent profits for those who decide to mine it today or buy it for a profitable future resale.

AAVE

AAVE is a cryptocurrency available on the market since 2017, so it rightfully enters among the emerging cryptocurrencies, also thanks to its innovative features. The associated blockchain allows loans to be obtained and offered in 20 different cryptocurrencies, with the ability to unlock instant loans that are impossible to obtain with traditional banks. If this technology catches on, it could revolutionize the microloan industry, accessible even to those who don't have the resources to repay their debt in cash: all they have to do is keep their computer on and participate in the blockchain to repay the loan or get AAVE cryptocurrency to use as an exchange.

This cryptocurrency could be the subject of the next upward takeoff of cryptocurrency stocks, especially if it spreads as a bank that makes loans quickly: for this reason it is worthwhile as a medium and long-term investment, if only for what this technology could bring in the financial sphere.

EARTH

TERRA is aims to offer a blockchain to create a new financial infrastructure, available with few resources and accessible to all. In the blockchain are exchanged 20 different stablecoins (i.e. stable cryptocurrencies), whose relative value is stabilized generated cryptocurrency Luna, which is the native token of the project and allows to repay those who provide resources to generate new blockchain and to keep the project active.

If we become part of the project we can receive an amount of cryptocurrency to maintain the blockchain, but we can also invest in its cryptocurrency and exchange it at the appropriate time, given the great surge in value it has undergone over the past year (also due to the increase in traffic generated by the blockchain).

NEM

NEM, an acronym for New Economy Movement is a blockchain that uses the Proof of Importance algorithm for writing transactions. Compared to Bitcoin and Ethereum this blockchain rewards those who have the largest number of transactions associated with their Wallet, quickly turning each participant into a reliable node within the network. Obviously, those who provide the resources to hold up the blockchain are paid back in NEM, an emerging cryptocurrency subject to high volatility over the years.

This cryptocurrency lends itself very well to online trading, as it can fluctuate many times throughout the day, generating some very interesting profits.

COSMOS

COSMOS offers an entire ecosystem of interconnected blockchains that can be managed with a dedicated framework, which eliminates the need to use applications to manage each block. Its flagship token is ATOM, which acts as an exchange currency for transactions and for generating new blocks.

It is currently among the most interesting emerging cryptocurrencies for those who want to trade, given the high volatility of the cryptocurrency in recent years, which allow you to make good profits with medium-term investments.

The benefits and risks of emerging cryptocurrencies

The advantages of betting on an emerging cryptocurrency are numerous:

• Still affordable prices: most emerging cryptocurrencies still have affordable prices for casual investors, so they can fill their portfolios while waiting for the famous "golden period.
• Availability: many cryptocurrencies have not yet reached even 70% of total availability, allowing you to mine even whole tokens and not fragmented parts of the cryptocurrency (as it happens now with Bitcoin).
• High ROI: all of the cryptocurrencies we've pointed out to you below offer a high return on investment over the long term, especially for those who put their trust on projects that are very interesting or will attract new investors soon (such as new blockchain technologies).
• Volatility: if we love to trade online, emerging cryptocurrencies are the best to place investments in the short term, since they can go up and by a lot even in a matter of minutes.

The risks are the same as those related to cryptocurrencies in general:

• Speculative bubble risk: if the cryptocurrency bubble "bursts", all cryptocurrencies will lose most of the value associated at that precise moment, causing the entire initial investment to be lost.
• Project degrowth: the blockchain technology used may not necessarily catch on or be as successful as hoped, causing the value of the emerging cryptocurrency to drop quickly.
• High resource requirements: as the cryptocurrency cap is reached, computers and server farms will be needed to be able to handle the blockchain calculations, making it very expensive to mine new tokens.

These risks are enough to put casual investors on alert, but like anything related to investing, a margin of risk is always there, even with the safest and most reliable projects.