Before starting to list the best cryptocurrencies to invest thinking about the future we have to consider what kind of investor we will be … If you are thinking of investing in the long term, this note is for you.
Undoubtedly there are two types of people who buy cryptocurrencies, first there are speculators and secondly there are investors.
Being a speculator despite the fact that his word is used pejoratively is not bad, it is actually positive. The speculator buys and sells looking to gain profitability in a short space of time. The speculator in the market provides something that the long-term investor can not do, giving liquidity to the market. The short-term investor is ultimately the most helpful in the market of digital currencies on a day-to-day basis.
On the other hand is the long-term investor, this is usually an investor who buys some financial asset thinking about an investment of several years, there are many famous investors who built empires being investors of financial assets, the best known is possibly Warrent Buffett, but there are thousands of other investors who really amassed a fortune and in a short time.
¿What is the problem of the investor in cryptocurrencies? In a current asset such as a Bond or stock market action it is easier to be a long-term investor, just by reading annual balance sheets and knowing what the company does and how much it makes is more than enough to be an investor in stocks. In Bonds it is much easier, the government dictates how much it pays and in it will announce the terms, the investor will decide if he accepts the conditions or does not accept them.
The difference between a common investor and a cryptocurrency investor is that the common investor will become a millionaire over time, as long as he knows he is buying. On the other hand, the cryptocurrency investor can become a millionaire tomorrow, or in a month, or a year. You can also lose everything, tomorrow, or in a month, or a year. The risk that the investor that is dedicated to buying cryptocurrencies has is very great, but at big risks, also big profits.
Breaking down the cryptocurrency market
In the market there are more than 2000 digital currencies, some of them have died shamelessly, many of them made their owners rich and lost thousands of dollars to investors, while others go unnoticed in the market with more than solid foundations to climb Price.
Before making an assessment about the cryptocurrencies that are in the market we have to clarify something, behind all digital currency is a technology called Blockchain, which provides a support or system. Therefore, when we buy a cryptocurrency we are actually buying technology at the service of humanity “In most cases”.
These are the cryptocurrencies that may have more future … Thanks to the development of the platform and technology.
Quantum Resistant Ledger: Your cryptocurrency is (QRL). The QRL platform provides a Blockchain that is resistant to computer attacks. It is more than clear that the future of the Internet will be based on decentralized protocols, this platform seeks to provide a security dedicated to quantum and conventional attacks. It uses an Extended Merkle signature scheme, ensuring that the network is resistant to computer attacks.
Quantum Resistant Leadger ensures that there are ways to reach the private keys of people, also that there are technical flaws in the blockchain and that in the near future the algorithms will be able to decipher the keys creating difficulties in the advance of the blockchain technology.
QRL implements one of a series of peer-reviewed post-quantum security algorithms: XMSS (Merkle eXtended Signature Scheme) XMSS uses a One Time Signature Scheme (OTS) that can only sign a message with a key. The OTS signature keys are generated as needed, which makes XMSS unforgeable in selected message attacks.
Iota: Your cryptocurrency is (IOT). This platform seeks to solve a problem to the blockchain. Let’s separate the technologies … In the majority of the cryptocurrencies that are on the market they use the Blockchain, this is a database, which technically is a distributed network with all the historical record of the transactions.
The problem with the Blockchain is that it is slow, and in addition, it requires that historical transactions be saved in each node. What IOTA proposes to us is totally different, since it recovers information from the platform without having to resort to large costs of computing, accommodation, etc.
The technology that uses this digital currency is TANGLE, it is better than the traditional blockchain and the platform is more agile, also this technology is designed for millions of users in the network.
Cardano: The cryptocurrency of this platform is (ADA) Possibly the first reason to have Cardano in our portfolio and investment is that the person behind this project is Charles Hoskinson, possibly the most relevant person in the world of cryptocurrencies. Charles Hoskinson (Today CEO of Cardano) was the CEO of Ethereum, he was also Lisk’s adviser. And he is a renowned mathematician. Cardano has a very good reputation for who is behind this platform, but also because the technology is advanced. Cardano validates transactions through a novel and technological algorithm. What also produces that the energy wear is smaller. Cardano seeks to replace Ethereum and Bitcoin (Sinedo platform and currency). Unlike Bitcoin and Ethereum consumption in Cardan is totally low and validation of the transaction much faster.
EOSIO: The cryptocurrency of this platform is EOS, it is true that this platform is already well known, has a market capitalization that the positions among the ten most exchanged. His exit to the market in initial supply of currencies was record in the world of the cryptocurrencies, collecting more than 4 thousand million dollars, this collected, without his platform was finished. Many of these investors were investment funds.
¿What is the EOS platform looking to do? Today developers use Ethereum, this platform was one of the first to go to market almost at the same time Bitcoin came out, the truth is that your system is slow and transactions take a long time. EOS wants its platform to be the “Ethereum Killer” that kills the Ethereum system.
EOS seeks to streamline the process in smart contracts and also, run several applications, not as in Ethereum, where you can only use a single application. EOSIO technically seeks to be the operating system of cryptocurrencies, allowing your platform to be fast, that is can use several applications and languages at the same time etc.
NEO: Your cryptocurrency has the same name as your platform (NEO). This platform seeks to learn from Ethereum’s mistakes in order to make intelligent contracts. NEO wants developers to be able to program applications on their platform. If we see everything that Ethereum has achieved so far, we can think that NEO has great potential ahead of it. NEW is a platform from China, we could say that NEO is a Chinese cryptocurrency. Its success is simply based on that it gives a great ecosystem for applications and developers, in addition, this platform is driven by large Chinese companies, one of them is Alibaba.