There is a lot of buzz on social media about the potential for good altcoin investments in 2022. So which altcoins are worth researching? There are thousands of cryptocurrencies available for trading, and new ones are being created every day. This is the best time to invest in altcoins considering their growth and how much they have evolved over the years. If you're looking for the next big altcoin to invest in, then look no further. Here is a list of some great options for your consideration.
Polkadot is a blockchain protocol that seeks to address the limitations of current blockchain systems. The project allows for interoperability between different blockchains while facilitating an ecosystem where users can build their customized blockchains.
While other projects like Ethereum 2.0 promise interoperability, the Polkadot team is one of the few that has delivered on this idea in terms of actual implementation and potential for scalability. The ecosystem consists of three major parts: relay chain, parachains, and parathreads. This system creates a multi-chain environment where any connected blockchain can scale to meet demand without compromising security or decentralization.
Second on this list is Polygon, a scaling solution for Ethereum that utilizes layer-two solutions like Plasma and proof-of-stake side chains. It enables faster and cheaper transactions by moving them off the main chain onto side chains for processing before being settled back on the main chain. Polygon announced that it had completed audit procedures for its new token, MATIC, soon listed on Binance.
Polygon is arguably one of the most exciting altcoins at the moment as it enables developers to create and operate decentralized applications at scale on the Ethereum network. The project features various use cases ranging from gaming to financial applications and has been growing steadily since its launch in 2017.
Cosmos is the most popular proof-of-stake project based on market capitalization and has a dedicated community.
To understand Cosmos, you will need to understand more about Tendermint, an open-source technology that can build blockchain applications. Tendermint enforces consensus between validators. These validators are chosen from a set of elected nodes. If the validators do not agree, they are punished by losing their deposit.
Cosmos allows different blockchains to communicate with each other and exchange information. These networks have sovereign control over their data and each selects the validators for the network.
Fantom is a Directed Acyclic Graph (DAG)-based platform that aims to provide real-time payment capabilities with extremely low fees and high scalability.
The Fantom platform uses a protocol called Lachesis, which helps in fast verification of transactions and parallel processing of them through a consensus algorithm called voting power mechanism (VPM). The consensus protocol used by Fantom is scalable up to 10,000 transactions per second on a single node with 50% fault tolerance.
Cardano (ADA)Cardano is a smart contract platform founded by Ethereum co-founder Charles Hoskinson. The Cardano blockchain utilizes Ouroboros, a Proof of Stake algorithm that chooses who gets to add the following block via random selection and wealth or age (i.e., the percentage of all coins one holds).