What is Altcoin?

What is Altcoin?

The world's first cryptocurrency

It is no secret that the world's first cryptocurrency was Bitcoin, which was created in 2009. This cryptocurrency was developed in order to create an independent digital currency, which could be paid for online. Later, other enthusiasts took up the idea and started to come up with other coins, which would have similar functionality, and the first among them was Namecoin created in 2011.

What is altcoin?

Following the cryptocurrency Namecoin, a number of other projects with similar ideas and functionality began to appear. Before 2011, bitcoin was called digital cash, i.e., it was the function that the developers thought it was supposed to perform. And only after the appearance of other projects, this type of assets began to be called cryptocurrencies, and if bitcoin became the world's first digital coin, all the others were named alternative to bitcoin, which is abbreviated as altcoin.

Altcoins in 2018

The number of digital currencies is constantly growing, and at the beginning of 2018 their number is approaching 1,000 pieces. But, not all of them are really worthwhile projects, in most cases, behind the names of altcoins ahead of everything are the goals of enrichment of their creators. In 2018, tokens, which are "securities" for blockchain projects, began to gain more popularity.

Promising altcoins 2018

In one of our articles, we made a cool selection of promising cryptocurrency investing instruments for 2018, and you can read it in more detail here. But, that list, will not be significantly different from what we will write now. The most promising altcoins of 2018 are cryptocurrencies: Ethereum, Cardano, NEO, Lisk, Waves and others. The exchange rate of the altcoins we listed will increase several times in 2018, which automatically makes them one of the most attractive financial instruments for investment.

Buy alternative currencies

Buying bitcoin is no different from buying other alternative cryptocurrencies. Therefore, in order to understand the nuances of buying cryptocurrencies NEO, LightCoin and others, you will first need to master the process of buying digital gold. You can read the instructions on how to convert fiat money into crypto here, or by going to the "How to Buy" section.

How altcoins appear

Alternative digital money can appear in many different ways. But, the most popular option is a bitcoin fork. What does it mean? As we mentioned above, behind most altcoin names, there are interests in enrichment, not in providing new opportunities and solutions. So, the developers take advantage of the fact that bitcoin code is open and they just copy it, make some minimal corrections, start advertising campaign and capitalize their project with pretty good sums.

Other well-known ways for altcoins to emerge are through hardforces. At the moment, there are two most popular bitcoin hardforces, Bitcoin Cash and Bitcoin Gold.

Conclusion

The first five words that every newcomer to cryptocurrency encounters are bitcoin, blockchain, etherium, altcoin, and litecoin. So without detailed answers to these definitions, it's hard to move forward. On our website you will find answers to all of these, and more. Well now we will summarize what altcoin is.

Altcoin is the definition of any cryptocurrency created after bitcoin. The acronym stands for "alternative coin. That is, in fact, Etherium, Lightcoin, Dash, and other coins are altcoins.

At the time of writing, Ethereum is considered the most popular, and thus capitalized asset, followed by Bitcoin Cash, which is a hardforward of bitcoin, and EOS is behind it. The cryptocurrency XRP from Ripple we skipped on purpose because it is not entitled to be called an altcoin for certain reasons.

We hope that after reading this article you were able to understand what altcoin is, because we tried to present the information in simple language.

Related Articles

EOS cryptocurrency
EOS cryptocurrency
Article posted8/30/2022Article categoryCryptocurrency
Learn more