All major currencies of today, such as Bitcoin, Ethereum, and Binance Coin, all have one thing in common: they traded for pennies against the dollar when they were created. Now that they have become mainstream, their large market caps prevent their prices from rising too quickly in a short period of time. But the same can’t be said for altcoins, which are alternative cryptocurrencies launched after Bitcoin’s success.
Much of the over 11,000 altcoins are struggling to gain traction. But that cannot be said for a few rough diamonds which offer high risk and high reward. So let’s see how these best altcoins can deepen investors’ digital wallets. They have already achieved four-digit percentage returns in recent years.
Like Ethereum, avalanche (CRYPTO: AVAX) is a smart contract, a programmable money token. But it can settle transactions in under a second, while those on the Ethereum network could take up to four hours.
Advancement here has major implications. With the help of an oracle coin such as Chain link, Avalanche can connect the execution of smart contracts with a real world API. This would allow the parties to execute instant trades based on anything, future prices, stock market data, weather forecasts, breaking news, etc.
It should come as no surprise that crypto investors have already understood the innovation. The token has returned 2,440.38% since its inception in September 2020. Additionally, the token is not inflationary, like Ethereum. I guess future capital inflows will only drive the price of the token up. The token has a maximum supply of 720 million. In addition, the Avalanche network burns part of its costs with each transaction. More than 180,000 tokens have been burnt since the network went live.
2. Pirate chain
Pirate chain (CRYPTO: ARRR) is a privacy piece from a server on the popular social platform Discord. Since then, the part has taken off with a yield of 3,212.44% in just over two years. The coin plays a central role in solving Bitcoin’s non-fungibility issue.
At the origin of Bitcoin, many users flocked to cryptocurrency to perform illegal activities. However, advanced blockchain research companies like Chainalysis can now identify them by matching criminals’ wallet addresses with public ledger records. To take it even further, companies can then coordinate with law enforcement to report those Bitcoins as “soiled”. New investors receiving laundered Bitcoins could then be subject to regulatory scrutiny, although they are oblivious to their coin’s history.
Pirate Chain uses zero-knowledge cryptography (zk-SNARK) to protect outside observers, while simultaneously having a blockchain public ledger. As a result, parties to a transaction can send and receive money at will, but no one else can see the transaction amount, their wallet addresses, or wallet balances.
In addition, Pirate Chain protects itself from cyber attacks by using a deferred proof of work (PoW) algorithm. ARRR transactions are not only notarized on Pirate Chain’s native network but also on the Komodo and Bitcoin blockchains. (Minors, too, cannot see the nature of transactions.)
Therefore, the only way for a hacker to alter their ledger is to launch a 51% simultaneous attack on the ARRR, Komodo, and Bitcoin blockchains, which would require an astronomical amount of hash rates. Overall, due to its high privacy feature, virtual immunity to cyber attacks, and limited supply (185 million out of a total of 200 million tokens were minted), Pirate Chain is an intriguing cryptocurrency. that investors should consider.
iExec RLC (CRYPTO: RLC) is an innovative token that provides decentralized cloud computing services on demand. Users can connect their machines to the iExec network to provide compute capacity and receive RLC token rewards for doing so. In addition, application and data providers can monetize their services through the network.
It is more than an academic project. At present, the company behind iExec RLC collaborates with Alphabetis Google and IBM to improve data security in cloud computing. Similar to other tokens, iExec RLC is not inflationary and has a max supply of 87 million. The token has earned 1,048.9% since its inception in 2017.
This article represents the opinion of the author, who may disagree with the “official” recommendation position of a premium Motley Fool consulting service. We are heterogeneous! Questioning an investment thesis – even one of our own – helps us all to think critically about investing and make decisions that help us become smarter, happier, and richer.