Cryptocurrency first became part of the investing world a few years ago and has turned heads in that time with its potential profits. Investors looking for 2021 investments may find that cryptocurrency fits their needs better than traditional investment vehicles like penny stocks, bonds, and CDs. The following list includes the most promising cryptocurrency options for investors over the coming year.
Bitcoin is the cryptocurrency most well-known to investors. It was the first bitcoin on the market and continues to wow investors with its versatility and value. The list of benefits that point to bitcoin still being the best cryptocurrency to invest in 2021 include:
- User autonomy
- Secure transactions
- No banking fees
- low transfer fees
According to Money Morning, “All you need to do is add a 1% to 3% position in Bitcoin to not only increase your portfolio’s returns, but also reduce your risk as well.”
The XRP offered by Ripple is a cryptocurrency known for its low transfer rates. The digital coin from Ripple provides users with instant transaction validation. Ripple adds support and reliability to the mix for users through its cooperation with banking institutions. All forecasts point to a rise in value for Ripple over the 2021 investment year.
Investors appreciate Litecoin for its well-developed platform. Many of these same investors commonly refer to the digital coin as the “silver or cryptocurrency.” Litecoin is younger than many other cryptocurrencies on the market but is already one of the largest digital currencies available. One attraction investors have to Litecoin is the speed at which transactions take place. It takes on average two minutes for the mining of a block. Users of the coin also enjoy a higher block reward than with many other digital currencies.
Ethereum is the second most popular cryptocurrency in the world behind Bitcoin. Investors who trusted in Ethereum in 2020 enjoyed impressive capital gains. All predictors have investors preparing for similar success in 2021.
One reason many people point to Ethereum as the best cryptocurrency to invest in 2021 is the success of the Ethereum 2.0 platform. Ethereum enthusiasts also appreciate the decentralized finance system users of the digital coin enjoy. Other Ethereum advantages include its status as the second most liquid cryptocurrency on the planet and its ability to support smart contracts. Another plus is the compatibility users enjoy with decentralized mobile apps.
Basic Alternative Token
The Basic Alternative Token reached its popularity peak in the middle part of 2018 and still represents a promising investment opportunity three years later. BAT is most popular among creative types like content writers and web developers.
The BAT developer is a co-founder of Mozilla Firefox. The currency enjoys a great deal of respect from insiders. BAT is often used with the Brave Browser and allows users to accumulate rewards by watching ads. This BAT benefit is made possible through the advertisers that pay to introduce product offerings to the Brave community.
Cryptocurrency has come a long way before storming onto the investing scene more than a decade ago. And the good news for investors is the cryptocurrency investing options are only growing more profitable and diverse with time.