Difficult economic circumstances force people to choose a safe asset for investing capital. The first step is to check the reliability of the tool. Investors look with disbelief at investing in an economic asset class that risks disappearing due to public or private sanctions.
Cryptocurrency is characterized by reliable operation, actual independence from government regulation. Digital capital is known as both a means of payment and a technological asset. It is impossible to ignore the powerful technological platform of cryptocurrencies, including Bitcoin, Ethereum, Cardano. The listed digital products have multiplied their value in dollars.
Some of the cryptocurrency solutions offer decentralized finance, others show distributed scientific research, and still others provide an easy purchase of mining power.
There are more than 10,000 digital coins on the market, few profitable cryptocurrencies. Below are the assets to look out for in 2022.
First place. Bitcoin
The first cryptocurrency, the leader in capitalization Bitcoin continues to attract holders, active users. As of April 2022, one Bitcoin is worth $42,000. At its peak, the cost of Bitcoin reached 63 thousand dollars. Experts agree: the cost of BTC is increasing, so you need to invest
Good prospects are based on observations, practical results. A number of supporting reasons are offered:
- Halving. Bitcoin halving occurs once every four years. The miner’s reward is halved. The dynamics of new BTC entering the market is decreasing, demand is growing. Experts are divided only in assessing at what point BTC will stop its growth. They call figures of 100, 500 thousand dollars, and some talk about a million dollars. The outlook for BTC is visible to traders based on technical analysis of the charts.
- The title of the world’s first cryptocurrency stimulates growth. If the industry grows, then Bitcoin will also gain additional value.
- Interest from large institutional investors is already leading to gradual growth. Capital continues to flow into Bitcoin.
It is recommended to keep part of the capital in Bitcoin, but at the same time allocate funds for other investments. The main reason is the existing price of BTC in dollars. It is too high for a rapid upward movement that would be comparable to the early years of Bitcoin. Assets with almost zero price can show an increase in capitalization by tens of hundreds of percent even with little impact.
Second place. Ethereum
Ethereum is the first smart contract platform. Experts talk about numerous problems with the design of the currency. Ethereum users themselves notice:
- High gas fees in both USD and ETH;
- Not always fast system operation;
- Difficulties with processing a large number of transactions and applications.
Despite this, Ethereum continues to develop, some of the problems are being solved and eliminated. For example, work optimization can be due to the transition of mining from Proof-of-Work to Proof-of-Stake.
Ethereum continues to be the first and main platform for smart contracts, and therefore a promising capital. Experts are not unanimous about the longevity of this position. Ethereum’s status is being contested by competitors. As of 2022, the closest pursuer is $2,500 away in terms of the coin’s market value. ETH is worth $3,000, BNB is $400.
Even if Ethereum one day ceases to be the main platform for smart contracts, it will still have a significant market share, and the price will increase.
Third place. REDSmb
The REDSmb token offers a new approach to cloud mining. The user buys a coin, the denomination of which is tied to the cost of 1 mining terahesh. As of April 2022, the price is $142, but the value of the token is constantly increasing.
By purchasing a token, the user receives:
- Documentary confirmation of the fact of ownership of mining equipment;
- Percentage of bitcoin mined;
- Increase in invested capital due to the growth in the price of the REDSmb token and BTC;
- The ability to pick up the token at any time, withdraw money.
The token was launched recently, early investors get the prospect of several x, interest on the deposit. The minimum amount to invest is $1. The expected return can reach 50% with a minimum of 20%. The falling market does not affect the price of mining terahash. The user and owner of the REDSmb token continues to receive income from cryptocurrency capital.
Experts note: attachment to terahash is an advantage of the token. The cost of mining increases, the value of REDSmb increases. Profits are paid out in cryptocurrencies.
Fourth place. Cardano
One of the “killers of Ethereum”, designed to solve the problems of the first site for the conclusion of smart contracts. The speed of millions of transactions per second is guaranteed, the convenience of creating decentralized applications.
Features of ADA as capital:
- Recognition of scientific research. Changes are made after serious scientific work. The Cardano community believes that it is better to avoid possible problems in advance than to try to solve them as they arise.
- Convenient staking algorithm. The funds are available with the simultaneous mining of new ADA using the Proof-of-Stake algorithm. Once every five days, a snapshot of the system is taken, based on the information received, the network finds out the amount that each user staked to receive interest.
- The ability to trade additional assets on decentralized platforms.
Cardano was founded by one of the original authors of Ethereum, so experts expect growth. As of April 2022, its price is approximately $1, experts believe that the fair value is much higher. This is indirectly confirmed by the presence of many decentralized applications that are actively used.
Further development of ADA is expected. In particular, Cardano is supposed to be given over time to the collective management of users who will determine the future state of the ecosystem by democratic voting.
Fifth place. Fun Token
Fun token appeared at the dawn of the Ethereum blockchain. It was supposed: digital money will become the standard of decentralized gambling. The user receives:
- A guarantee of fair play, the main problem of online casinos is solved;
- Easy way to replenish the deposit;
- Winning guarantee.
The original authors did not develop the FUN token, the price dropped. The result is the sale of the finished product to one of the largest cryptocurrency online casinos in the world.
The new owners have made efforts to develop the project. Among the latest innovations: the launch of a convenient wallet for the token, the opening of separate casinos, with FUN as the only currency for games, promotion on third-party sites.
Experts in the field of online gambling suggest that the token is able to solve the main problem – the uncertainty of players in the honesty of the casino. Additionally, it is planned to launch a lot of social games where users can play with each other directly. Decentralization of online gambling is a trend of the third decade of the 21st century.
Disadvantages of the token as an asset for investment: poor-quality development by the previous owners of the project, price drop until 2021. The FUN token could have changed the online gambling market a few years ago, but it didn’t.
Some experts report that in 2017, the cryptocurrency community and gamblers did not overlap much with each other. The stated goal was not realized for objective reasons. In 2022, the adoption of cryptocurrencies has grown. Many online gambling enthusiasts are also digital money users.
Sixth place. BNB
The second “Ethereum killer”, which, unlike ETH, is actively developing. The organizers offer users a developed ecosystem in which suitable opportunities are easily found:
- launchpad. This mechanism helps to keep the exchange rate at a good level, to encourage buyers to purchase an asset.
- Burning coins. To maintain the exchange rate, the crypto is regularly destroyed, thus ensuring the high price of the coin.
Among the possible risks of investing in BNB, experts highlight the possible onset of crypto winter. This event is theoretically possible, but in this case, the entire crypto market will collapse.
Other downsides include sanctions. Experts note: although BNB is classified as a crypto asset, the coin cannot be called a fully decentralized solution. Measures taken by regulators may limit the normal use of the coin. In 2022, this risk is especially relevant.
Despite the problems, serious restrictions on the movement of the BNB cryptocurrency will not be able to make it impossible to buy or sell. But the BNB rate can seriously sink.
As of April 2022, you can use both the exchange and the rest of the Binance ecosystem products. This opportunity is expected to continue for a long time. Attempts to limit users of cryptocurrency transfers may adversely affect the reputation of Binance on the part of ordinary users. Therefore, experts are generally benevolent towards Binance.
Seventh place. Polkadot
DOT is the third Ethereum killer. Experts expect the coin to occupy a separate niche. Polkadot is focused on creating a parachain network that integrates promising developments in alternative approaches.
Among the prospects for DOT are:
- Extension. You can vote for your favorite projects. If the power of the network goes to the selected project, the coin holder receives tokens as a token of gratitude. The opportunity to participate democratically in governance and receive remuneration for this attracts participants.
- The emergence of new proposals. DOT offers start-up projects the opportunity to get their capacity, so holders can capitalize on this opportunity as well.
There are investment risks. First and foremost, the advent of ETH 2.0 makes DOT an obsolete project. As a result, Ethereum will gradually pull over some of the Polkadot holders, and the rest will move to alternative projects.
There may also be risks and occasional errors on the part of DOT representatives. There is strong competition in this segment of the cryptocurrency industry. Therefore, even an accidental mistake can lead to a gradual exit from the DOT market.
It is noted that Ethereum is largely protected from such a development of events, since the status of the world’s first platform for the conclusion of smart contracts attracts new users.
Eighth place. XRP
This product is considered a cryptocurrency, but in reality it is not because of the centralization of management. The strong side is the focus on the use of banks. Practice confirms that many financial organizations use the proposed product, so XRP is consistently among the top ten most capitalized coins.
Noticed: the company has repeatedly won in disputes with regulators. It is noted that the disputes were repeatedly brought to court. The victories became the reason for further expansion of cooperation with banks.
Experts note the riskiness of investing in XRP. Despite the fact that the authors foresaw the deflationary nature of the coins, there is a main disadvantage – dependence on the decisions of regulators. If the relevant authorities decide that the issuance of XRP is illegal, the product will no longer be usable. The centralized nature of the asset confirms this.
Among the advantages of XRP:
- Orientation to all recognized official financial institutions, so the product is already used by banks;
- Willingness to go to court and other proceedings, proving the legitimacy and legality of their product;
- The presence of a large number of technical specialists who develop the proposed product;
- A well-thought-out deflationary economy, which over time should lead to an increase in the value of the coin.
Despite the controversial nature of the coin, most investors prefer to invest some amount in XRP in order to receive a legitimate profit in case of growth.
Ninth place. ICP
The Internet Computer is a blockchain project focused on building a decentralized supercomputer. Although the asset is listed on the exchange relatively recently, the project itself has years of development. The roadmap is available to everyone, the project is technically thought out. This is confirmed by many reviewers, including technical specialists.
The main advantages of the project:
- An innovative character that sets itself many goals: from the democratization of the Internet to the creation of a supercomputer;
- Low price, which is suitable for investment;
- A lot of plans that are being implemented in full accordance with the roadmap.
There are also disadvantages. The main one is the presence of a global downtrend. Due to the slow pace of implementation of the plan, as well as due to the lack of thoughtful marketing, ICP has a gradual price reduction.
The second disadvantage is the presence of competitors from other platforms. Experts stipulate that a significant part of competitors is unknown to a wide range of users, while others only partially offer a product that can be called similar to ICP. Despite this, it is the Internet computer that is considered one of the main contenders for the creation of a powerful distributed blockchain computer.
No one can guarantee that the cost will increase even though there is a serious and thoughtful roadmap.
Tenth place. Gridcoin
Gridcoin is one of the oldest cryptocurrencies that pays for scientific calculations. Until 2021, the project remained unknown to most Internet users. Distributed computing, paying with cryptocurrencies belonged to the hobby of a narrow group of science lovers.
In 2022, the developers decided to improve the project. The possibility of allowing third-party participants to purchase computing power is being discussed. Payment – Gridcoins. As a result, GRC becomes a buyable digital asset.
In April 2022, the price of Gridcoin is a cent. The developers suggest: the development of the GRC project will increase the price to three dollars. The product will be bought by private, public research institutes.
The reason is economic profitability. Gridcoins buy more computing power, the decentralized nature of computing makes the approach more reliable compared to using supercomputers.
- The ability to buy coins at the lowest price, which in the future will make a lot of X;
- Support from the global scientific community;
- Continuous development of the project;
- Possibility of profitable investments even with small capital.
The main disadvantage of Gridcoin is the lack of confidence in the future of the project. The idea to use cryptocurrency to sell computing power came to the minds of developers relatively recently. Discussions are currently taking place on social networks, as well as voting on the blockchain. Some experts admit that Gridcoin will not show growth.
It also stipulates that there is a very small chance of further price declines. A purchase can be viewed as a risk-free transaction.
Successful investment of capital requires a competent approach to the choice of an asset. It is recommended to direct the main capital to coins with a guaranteed return, and invest the rest in risky assets. The first type of digital products include Bitcoin and Ethereum. Thus, just one successful risky investment will cover the losses from unprofitable investments.
Cryptocurrencies are among promising financial instruments. It is known that in difficult times for the economy, capital runs into protective assets. Among those used to be gold, silver, palladium, and other valuable materials. In 2022, cryptocurrency was added to such assets.
The main reason for the reliability of investment is independence from government regulators and ease of storage. It is enough to remember the keys to enter the wallet, you can open it on any computer.
Experts recommend considering the security of storing classified information. It is recommended to remember: the key gives access to digital capital. Do not store data on a computer that is connected to the Internet. The best option is to write the keys on two flash drives, as well as on paper. If there is a large amount of cryptocurrency, you can think about purchasing a hardware wallet. The device will help save capital.
Some cryptocurrencies offer the possibility of staking. It is recommended not to neglect the possibility of additional earnings. In most cases, it is enough to press a few buttons in the wallet. Thus, new coins will be created, some of which will be in the possession of the user.