Updated: Apr 15
With a booming crypto market in 2021, more people have been exposed to crypto coins, in one way, or another. In fact, recent studies show that there are around 250 million crypto coin investors/users, and mainstream adoption is growing quickly.
The next five years should be exciting and transformative for the entire Defi digital space.
Crypto assets in general, and Bitcoin prices, are forecast to grow well into the future. People are starting to realize that Bitcoin is the best money we have ever had. Storing value within Bitcoin makes sense. But the days of 5x, 6x, 10x returns are in the rear-view mirror, so to speak.
So where can investors make those parabolic returns, that are synonymous with the cryptocurrency market in 2021?
The answer is Altcoins…
What Are Altcoins?
Altcoins are simple an alternative digital currency to Bitcoin. Pretty much any crypto coin, meme token, or gaming coins are altcoins. This class of digital assets covers a wide range of crypto companies, their blockchains, and how they integrate into the new digital world, like Metaverse, coming soon from the Facebook company.
But what are the best altcoins to invest in in 2022?
Altcoins are technically ERC-20 tokens which means they run on the Ethereum or another layer-one chain’s network. There are thousands of different types of altcoins available, but not all of them are worth investing in. It can be extremely difficult to choose the best altcoins to invest in in 2022.
However, with some simple tools and a better understanding of what altcoins are? And what altcoins represent the best companies, who are the most likely to succeed in the future?
The Metaverse & Popular Altcoins
You might have already heard about the Metaverse, which is being created in 2022, and according to Mark Zuckerberg, CEO of Facebook, aka, Metaverse, this new, immersive, digital world will be so advanced, anyone will be able to build, and own, their own digital houses, clothes, and way, way, more.
The Metaverse is fueled by altcoins, and the companies behind them, who are the pioneering creators, making Metaverse a reality, albeit a digital one.
Popular Altcoins in 2022
Experiencing Fast-Paced Growth
Some popular altcoins currently working within the Metaverse are:
Decentraland (MANA) – A virtual destination for digital assets. If that sounds cool to you, it gets way better. Decentraland has a jump on most other altcoin companies because they have been working within this space for years already.
The price for MANA, the currency used to pay for digital goods and services within Decentraland skyrocketed after Facebook's first announcement.
Users can create amazing digital worlds, where they can operate a fully immersive avatar, (at least that’s the hope) and live out a digital existence.
You might imagine purchasing clothes for your digital avatar, buying digital cars, trucks, mobile phones, real estate, and more. Moreover, Decentraland altcoin powers will also own a portion of Decentraland itself.
Sandbox (SAND) – With a similar digital world like Decentraland, The Sandbox, open metaverse, allows users to fully create every aspect of their digital world, and pay, or receive payments via SAND, the Sandbox altcoin cryptocurrency.
Their official description reads, “ The Sandbox is virtual metaverse where players can build, own, and monetize their virtual experiences.”
Recently, the SAND altcoin cryptocurrency exploded with a parabolic rise which measured over 14,500%. Anyone who believed in the Sandbox blockchain early and invested in SAND altcoins has made incredible returns in 2021.
The question on everybody’s mind is will SAND continue to grow and be a good investment in 2022?
Only time will tell, but the Metaverse is within its infancy and is expected to explode with growth, and massive user adoption within the next 5-years.
Ethereum (ETH) – If you would rather play it more safely and don’t expect triple, and quadruple returns, then, buying Ethereum, and altcoin itself, because it is a much safer play. Currently, the entire Defi universe resides on the Ethereum blockchain, which powers thousands of Web3 applications, and DAPPS. Not to mention most popular NFT collections reside on the Ethereum blockchain in 2022.
The price for ETH in early 2022, according to Market Cap is around $3,700, give, or take, which is considered low and a buy signal to savvy investors.
The long-awaited Ethereum 2 upgrade, which is supposed to considerably lower gas fees, the cost of transactions on Ethereum’s blockchain, and its transaction speed, that currently lags far behind competitors like Solana (SOL), and Avalanche (AVAX).
The adoption of Ethereum alone, sets it far ahead of these competing chains, and seems to make it the safer bet when considering which altcoins to invest in 2022?
Polygon (MATIC) – Just like Avalanche, and Solana are called the “Ethereum killers” so is the Polygon blockchain, which is lighting fast, and can process over 70,000 per second. The Polygon network already handles tons of traffic and transactions.
Its widespread adoption is fueled by having a solid chain that can handle lots of transactions for a fraction of what Ethereum gas fees are. Polygon MATIC is a layer-2 application that runs on Ethereum’s decentralized network.
Currently, you can find things such as free URL minting for .bitcoin, NTF, .coins, and more, on the Polygon blockchain, via Unstoppable Domains, for example.
Wrapping This All Up
With thousands of different altcoins in 2022, it can be confusing to pick winners alone. If you’re not already investing within cryptocurrency yourself, don’t gestate to contact a professional.
You do not need to pay large fees or commissions to a crypto broker if you don’t want to. There are DIY crypto coin investing videos on YouTube, that can really boost your understanding of altcoins, quickly.
Just do your research and ensure that you do NOT invest money that you can afford to lose. The crypto markets are notoriously volatile, which may calm down some with more mainstream adoption, and the corresponding influx of money that will occur.
Moreover, timing is everything. That can NOT be overstated!
If you don’t time your altcoin buys properly, then you could end up holding the bag, while others are cashing out huge profits. Consult a pro, if you don’t think you can handle this, because it is paramount to successfully invest in cryptocurrency, and altcoins in 2022.