What are the most promising cryptocurrencies for the future of finance?

Posted by Fed Finance Canada in Fed Finance news
Posted at 21/04/2021
What are the most promising cryptocurrencies for the future of finance?
In 2021, everyone has heard of Bitcoin. This cryptocurrency has become tremendously important in the last decade, revolutionizing the world of finance.

But Bitcoin is not the only virtual currency on the market. More and more of these currencies are created every year, each with their own distinct objectives.

What are the most promising cryptocurrencies for the future of finance? What are their advantages for investors?

We present 4 in this article.

1. Ripple (XRP)

The cryptocurrency called Ripple was established in 2012. Co-founders Jed McCaleb and Chris Larsen took a somewhat different approach to virtual currency. Rather than trying to revolutionize the banking system and the ways of working in finance, they aimed to create a decentralized platform that facilitates fast and cheap payments.

The price of Ripple has not increased or decreased significantly in the last few years, but its value has been going up since March 2021.

2. Tezos (XTZ)

Tezos is a blockchain network created by a research and development company called Nomadic Labs. The network is linked to a digital token called a Tezzie or Tez, which cannot be mined. Tezos is a decentralized, open-source platform with a unique infrastructure that allows stakeholders to approve upgrades according to specific rules.

One of the main advantages of Tezos is its ability to self-amend. It also allows for the creation of smart contracts that cannot be affected by third parties. Tezos is a promising cryptocurrency that has been increasing in value since 2019 and has experienced an even sharper upswing since the beginning of 2021.

3. Stellar (XLM)

Created in 2014 by Joyce Kim and Jared McCaleb (the co-founder of Ripple), the Stellar network and cryptocurrency is similar to Ripple in many ways. Like Ripple, Stellar provides an international platform for cheap, decentralized payments. However, while Ripple is geared towards financial institutions, Stellar is meant for individuals.

One major advantage of this promising cryptocurrency is that transactions can be approved by the blockchain in just 3 seconds.

Stellar’s value has been going up since 2020, suggesting that this virtual currency will be used more and more in the future.

4. Dash (DASH)

Dash (Digital Cash) is a cryptocurrency that was created by Evan Duffield and Kyle Hagan in 2014. Its purpose is to give consumers the freedom to enjoy the security benefits of cryptocurrency when making their regular purchases. Dash has achieved over $2 billion in capitalization to date.

Dash can be transferred to anyone at any time, and is easy to access from anywhere in the world thanks to a mobile app that is available for most operating systems.

The value of Dash has been fairly stable since 2019, but has started to climb since the beginning of 2021.

Cryptocurrencies: the future of finance

There you have it! Those are a few of the promising crypto-currencies to watch out for in the coming years. Cryptocurrencies have revolutionized the financial sector, so those considering a career in the field should familiarize themselves with the way they work and how they have evolved.

Want to keep up with the latest news on the financial sector and the economy? Check out the Fed Finance blog to stay informed.