Bitcoin remains the leading cryptocurrency by market cap, followed by Ethereum and Tether. The crypto space is expanding with numerous altcoins, each offering unique features. While opportunities abound, investors are urged to proceed cautiously given the market’s volatile nature and the potential risks involved.
When cryptocurrencies come to mind, Bitcoin admittedly takes centre stage, but there’s a vast array of options—known as altcoins or alternative coins. Originally hitting the market back in 2009, Bitcoin has paved the way for many other cryptocurrencies that, while not as predominant, still make quite the splash today. Here’s a breakdown of some of the largest cryptocurrencies by market capitalisation, based on early September 2024 data from CoinMarketCap.com.
1. Bitcoin (BTC) remains the top contender. Priced at approximately $54,793, its market cap stands at a staggering $1.08 trillion. Bitcoin, often referenced as the benchmark for digital currencies, was launched by the elusive figure, Satoshi Nakamoto. After years of volatility, a breakthrough came in 2017, shifting it into the limelight. Now, in 2024, with the SEC approving Bitcoin ETFs, investors have easier access to this digital asset.
2. Following Bitcoin is Ethereum (ETH), valued at about $2,331.15 and boasting a market cap of $280 billion. Ethereum isn’t just a cryptocurrency; it also represents a platform that allows users to engage with smart contracts, which, you know, add a layer of complexity and functionality that’s made it quite popular in the crypto world.
3. Tether (USDT) holds the third spot, stably priced at $1.00, with a market cap of $118 billion. As a stablecoin, Tether is pegged to the US Dollar, helping traders switch between cryptocurrencies without needing to revert to traditional dollars. But keep in mind, there are ongoing concerns about whether Tether is fully backed by actual dollars.
4. Then there’s Binance Coin (BNB), priced at $496.98 and valued at $73 billion. Originally designed to reduce trading fees on the Binance exchange, it’s evolved to allow users to make payments or buy goods directly with it. Binance is one of the biggest crypto exchanges, so it keeps BNB on the radar.
5. Solana (SOL), a newer player since its launch in March 2020, is catching attention with its rapid transaction capabilities and scalable platform, currently priced at $128.77 and a market cap of $60 billion. The cryptocurrency caps its issuance at 480 million coins, which adds to its intrigue.
6. Also on the list is USD Coin (USDC), which like Tether, is pegged to the dollar at a stable $1.00 and carries a market cap of $35 billion. Its founders claim it’s fully backed by reserve assets, which provides some assurance for users.
7. Since its inception in 2012, XRP has been making waves, currently valued at $0.5301 with a market cap of $30 billion. This coin is notable for facilitating financial transactions across different currencies, making it handy for cross-border payments.
8. In a lighter vein, Dogecoin (DOGE) started as a meme and has somehow carved a niche for itself. Priced at $0.09429 and a market cap of $14 billion, it has unlimited supply which sets it apart from many others.
9. TRON (TRX) is another emerging blockchain established in 2017, with its own token, priced at $0.1486 and valued at $13 billion. It aims to create decentralised applications and, in 2018, acquired BitTorrent—a well-known player in peer-to-peer file sharing.
10. Coming in at number ten is Toncoin (TON). Valued at $4.74 with a market cap of $12 billion, it started under Telegram but was later taken over by the TON Foundation after Telegram pulled out. Its recent spike in price follows news of its integration with Telegram’s platform.
11. Cardano (ADA), priced at $0.3164 and with a market cap of $11 billion, was co-founded by Ethereum’s co-founder. This platform uses smart contracts too and focuses on enhancing identity management and scalability.
12. Lastly, Avalanche (AVAX) launched in 2020, competes closely with Ethereum for smart contract dominance. Currently costing $21.36 and with a market cap of $9 billion, it’s another cryptocurrency to watch.
Overall, while dallying with cryptocurrencies might seem enticing, it’s crucial for investors to tread carefully—especially given the volatility and evolving regulations. Not to forget, new ETFs for Ethereum just rolled out recently, adding yet another layer of complexity and opportunity.
