The wave of trading coins and investing in Crypto is spreading at breakneck speed. Platform coins are attracting great attention from investors thanks to their outstanding profit potential. Join Learn Crypto Trading to the top coin with strong growth potential through the article below!
Learn about platform coin trading.
The trade coin platform is the buying and selling of cryptocurrencies built on major blockchains. This serves as infrastructure for many other projects and applications. Trading these top coins requires not only knowledge of the Crypto market. But it also requires a deep understanding of blockchain technologies, related projects, and applications. With high-profit potential, platform coin trading has become an attractive trend for many investors in the cryptocurrency market.
What is platform coin trading?
A platform coin is a cryptocurrency issued on a specific blockchain or blockchain protocol. This type of coin is often designed to act as a means of payment and unit of account in the ecosystem of decentralized applications (dApps) on that platform.
Outstanding features of the platform coin:
- Plays an essential role in transaction processing and corresponding blockchain operations.
- Used to pay transaction fees, participate in governance, create smart contracts, and many other features on the platform.
- The value of platform coins may fluctuate depending on usage and demand within the blockchain ecosystem.
See more: Knowledge you need to know about Coin trading
Overview of the coin trading boom
The past few years have seen the explosive growth of global blockchain platforms. Such as Solana, Binance Smart Chain, and Polkadot. During this period of strong market growth, platform coins have recorded impressive price increases. Let’s take a look at the remarkable growth of platform coins in 2021:
During the growth phase in 2021, top platform-based coins have shown significant growth. This lays the basis for confidence in their ability to continue growing in the upcoming uptrend periods. Refer to the concept What is breakout to clarify the phenomenon of a sudden increase or sharp decrease below the support threshold. Thereby increasing the likelihood of success when trading coins in the Cryptocurrency market.
The most prominent potential coins today
The cryptocurrency market has witnessed diverse developments with many outstanding potential coins. From groundbreaking blockchain platforms to practical applications in finance, DeFi, NFTs, and IoT. This creates new investment and discovery opportunities, exciting the cryptocurrency community.
Bitcoin (BTC) – top potential coin
Bitcoin (abbreviated as BTC) was born in 2009, founded by Satoshi Nakamoto. This was not only the first cryptocurrency but also the spark that led to the opening of today’s cryptocurrency market.
For more than 15 years, BTC has continuously affirmed its position as a top coin in the list of most potential cryptocurrencies. The rise of Bitcoin is evidenced by the sudden increase in its value from 0.5 USD in May 2016 to about 63,000 USD after 8 years, an increase of nearly 130,000 times.
Ethereum (ETH)
Ethereum (ETH) is the main cryptocurrency of the open-source blockchain platform Ethereum. Ethereum’s goal is to expand the application range of cryptocurrencies. By providing developers with the ability to build diverse applications in many different fields.
ETH ranks second on the list of top coins today, with extraordinary growth year after year. From 11 USD in April 2016, the price of ETH has climbed to 3,600 USD after 8 years, an increase of 327 times. This is a testament to Ethereum’s great potential and strong influence in the cryptocurrency market.
Binance Trade Coin (BNB)
Binance Coin (BNB) is not just a cryptocurrency used to trade and pay fees on the world’s largest exchange, Binance. It is also used for many other purposes from 2017 onwards. Includes payment of trading fees and platform administration.
The price of BNB has made a huge jump, from just 0.1 USD in 2017 to 560 USD after 7 years, an increase of nearly 5600 times. This demonstrates the great attraction and potential of BNB in the cryptocurrency market.
Solana (SUN)
Solana (SOL) is the symbol of the advanced blockchain platform Solana, known as the “Ethereum killer”. With the ability to process transactions quickly, low costs, and outstanding scalability. This demonstrates the advancement and importance of Solana in both the list of top coins and blockchain technology.
In 2020, SOL was simply a cryptocurrency priced at $0.77. But after just over 3 years, SOL has had a spectacular breakthrough. The price climbed to $170 after 4 years. Equivalent to a 220-fold increase. This proves the appeal and potential of SOL in the cryptocurrency community.
Trade coin Cardano (ADA)
Cardano (ADA) is the flagship of the Cardano blockchain platform. A project initiated by Charles Hoskinson, one of the founders of Ethereum. Cardano was built to solve the challenges of scalability and security. And the energy consumption that current blockchain platforms are facing.
In 2017, ADA was trading for just 0.02 USD. But after 7 years, the price of ADA has increased to 0.7 USD, equivalent to a 35-fold increase. This demonstrates ADA’s progress and potential to become a top coin in the cryptocurrency market.
See more: Opening a MEXC global account in detail, quickly
Evaluate the pros and cons of top platform coins
In the world of cryptocurrency, platform coins. Such as Bitcoin, Ethereum, Binance Coin, and Cardano play important roles. However, each coin brings its advantages and limitations. Influence their future development and use. Let’s take a look at these characteristics to better understand the top platform coins.
Advantages of the top coin
- High security: Top platform coins are often built on blockchain technology, with strong security systems. This helps ensure the safety and reliability of transactions.
- Scalability: Projects like Ethereum and Cardano both focus on improving the scalability of the system. Allows processing a large number of transactions without speed or cost issues.
- Support for decentralized applications (dApps). Ethereum is one of the most popular platforms for dApp development. Provides many opportunities for developers to build innovative decentralized applications.
- Strong community: The top platform coins all have strong user and investor communities. Thereby creating favorable conditions for the development and expansion of their ecosystem.
- Listing on major exchanges: Helps top platform coins easily reach users.
Limitations of the top coin
- Slow transaction speed: Bitcoin, despite being the first and most popular cryptocurrency, its a transaction processing speed that is still slow compared to some other platforms. This makes it difficult to apply in everyday applications.
- High transaction costs: Ethereum sometimes suffers from high transaction costs, especially when the network’s transaction traffic increases. This may reduce the platform’s appeal to dApps and users.
- Competition from new projects: The birth of new projects can reduce the superiority of the current top coin. Especially when these new projects bring improvements in technology and performance.
- Regulatory and legal risks: Changes in regulation and legality may affect the performance and value of top platform coins. Especially when they face scrutiny from regulators.
Conclude
Above is the information on the top coin that has the most potential and is worth investing in currently. Investing in these projects can bring great opportunities for investors. This is an exciting time, let’s Learn Crypto Trading to take advantage of the strong growth potential of top coins to gain outstanding profits.
Frequently asked questions about what are top coin is.
What is Bitcoin, and its importance?
Bitcoin is the first and most popular cryptocurrency. Considered a form of digital currency capable of ensuring security. Anonymity in online transactions.
What does Ethereum mean for the cryptocurrency market?
Ethereum is more than just a cryptocurrency. It is a diverse ecosystem for developing decentralized applications (dApps), smart contracts, and other blockchain projects.
Why is Solana considered one of the most advanced blockchain platforms?
Solana is highly appreciated for its ability to process transactions quickly. Low cost and outstanding scalability. Thus, it becomes an attractive option for blockchain projects and applications.
