2 cryptocurrencies to buy now and keep in your Wallet in 2022: Cardano and Avalanche





Key points

The stock market suffered its biggest correction since 2020, and the crypto-currencies were punished even more. In a recent three-day period, the aggregate value of all digital currencies decreased by $600 billion.

But for patient investors with a long time horizon, some cryptocurrencies can offer excellent returns. See also: Botpla announces a public sale of tokens for its community.

Shiba Inu-themed cryptocurrencies were very popular in 2021, but in 2022, make way for “useful” cryptos!

The most popular cryptocurrency in the world is not worth buying.

Despite being one of the most popular cryptocurrencies on the planet, thanks in particular to its historic gain of 46,000,000% last year, the meme currency Shiba Inu (CRYPTO:SHIB) is not among the digital currencies that I believe will reward investors over the long term.

Although a handful of factors work in Shiba Inu’s favor, such as the number of unique wallet holders surpassing 1.1 million and the median holding period for SHIB tokens dropping from six days to 68 days in just over three months, there are multiple red flags that should keep long-term crypto investors as far ahead as possible. This may interest you: ARK Invest predicts a market capitalization of $20 trillion for Ethereum by 2030..

For example, no matter how many new owners it did not change the fact that Shiba Inu lack a competitive edge or a true differentiation. An internal blockchain layer 2 upgrade, known as Shibarium, should help reduce Shiba Inu’s transaction fees, but it’s unlikely to be enough to make this payment coin stand out. in a space where multiple next-gen blockchain projects can deliver so much more.

Shiba Inu are also not particularly useful outside of cryptocurrency exchanges. Even after hundreds of new merchants gave the green light to SHIB as a form of payment since early October, the total number of global merchants accepting the Shiba Inu coin is just over 600. By comparison, there are has well over 500 million entrepreneurs worldwide.

Nor has history been kind to payout currencies which have made earth-shattering gains in a very short period of time. Cryptocurrencies that have seen short-term five- or six-digit gains have almost always seen more than 90% pullbacks after hitting their respective highs. A reversal of the same magnitude is likely planned for Shiba Inu.

These cryptocurrencies are much smarter buys than Shiba Inus.

Instead of putting your money in a payout coin that has been hyped incessantly on social media, the following two cryptocurrencies can be bought more confidently, to bet for the long haul. See also: Crypto Mining: Jack Dorsey Goes Solo Mining Amid Bear Market.

Avalanche

It’s no secret that I believe Avalanche (CRYPTO:AVAX) offers the most potential and appeal long-term of all cryptocurrencies. That’s because Avalanche offers multiple competitive advantages and true differentiation in a crowded space.

Avalanche is a smart-contract-driven blockchain network that offers incredible speed and rapid scaling potential, while giving users the ability to develop financial and non-financial decentralized applications (dApps).

According to the developers, Avalanche is capable of sub-two-second transaction finality, and can support over 4,500 transactions per second (TPS) on its blockchain. “Transaction finality” describes the time it takes for a transaction to be confirmed as true and to settle on the blockchain. This figure is to be compared to the “Big Two”, Bitcoin and Ethereum, which respectively take 60 minutes and six minutes to complete a transaction. Additionally, Bitcoin and Ethereum can only manage 7 TPS and 14 TPS, according to comparison site Avalanche.

Besides being faster, cheaper, and more scalable than the two most popular blockchain networks supported by smart contracts, Avalanche is also highly compatible. For example, theEthereum VirtualMachine (EVM) – the wildly popular software used to build dApps on the Ethereum blockchain – already runs on the Avalanche blockchain. The incorporation of EVM on its blockchain should serve as a bait to attract developers to its network.

With so many clear advantages over Ethereum, and a path to real-world utility unlike the Shiba Inu, Avalanche is a must-buy cryptocurrency in February.

Cardano

Cardano (CRYPTO:ADA) is another smart contract-based cryptocurrency that could be a smart long-term buy.

As I have already pointed out, the transparency of the Cardano development team is probably the biggest asset of this project. The developers have always presented a detailed plan of how they will build Cardano from the ground up to become a popular choice for dApp developers.

Although some of the planned upgrades did not take effect when originally planned, a number of key improvements have been made to Cardano networks over the past 19 months. For example, the Shelley upgrade went into effect in July 2020. Shelley enabled network participants to run more nodes. After this upgrade, we have seen a rapid scaling of the Cardano network and an increase in transactional activity. What was a network processing 2,000 transactions per day is now a network that regularly sees over 100,000 daily transactions on its blockchain in 2021.

Shelley was followed by the Goguen update in September 2021. It was Goguen who introduced smart contracts to the Cardano blockchain. Smart contracts are the secret sauce that allows dApp developers to build financial and non-financial applications on the blockchain.

But the most exciting development for Cardano might just be the Hydra upgrade. What makes Hydra so intriguing is the rapid scaling potential it offers. Once live, Hydra will route transactions from the main blockchain to staking pools, called Hydra Nodes. In theory, up to 1,000 of these nodes will each be able to process 1,000 transactions. Although there is no official timeline for Hydra, its TPS potential could shatter all existing cryptocurrencies and traditional payment processing networks, such as Visa.

💎 Open an account for free to Invest in crypto!

CoinHouse allows you to easily invest in crypto-assets. Creating an account is free and takes just a few simple steps.

📈 Trade cryptos online in just a few clicks!

BitPanda allows you to trade crypto easily online. Creating an account is fast, free and very simple.

Be vigilant and consult your financial adviser before making any investment decision. Mirror-Mag cannot be held responsible in the event of bad investments. Before using any third-party service, you should do your own research.

Almmaye
The latest articles by Almmaye (see everything)





Leave a Comment