Cryptocurrency has various types and functions attached to it and we will classify them in 6 categories.
The 6 categories are as follows.
- Store of Value crypto currency
- Smart contracts crypto
- Stable Coins
- Community and meme coins
- Gaming Tokens
- Utility Tokens
Store Of Value Crypto Currencies
This crypto is generally used to store the wealth and grow the wealth over time. by considering the volatile nature of crypto the price of these crypto currencies can significantly rise and down in the matter of time.
Few important store of value cryptos are as follows,
- Bitcoin ($BTC)
- Litecoin ($LTC)
- Bitcoin Cash ($BCH)
- Monero ($XMR)
1. Bitcoin ($BTC)
Bitcoin is the oldest and first crypto currency created in 2009 and is known by these days as a ‘digital gold’. Its is created by an anonymous named as ‘Satoshi Nakamoto’. Bitcoin has limited in supply and in the life time only available to 21 million.
Due to its limited supply, it will be attractive investment that will be expected to rise in value in the future.
Bitcoin is based on decentralized concept and no single authority or governments controls it reduces the risk of manipulation.
2. Litecoin ($LTC)
Litecoin is created by former google engineer named as ‘Charlie Lee’ in 2011. It’s faster than bitcoin in terms of transaction speed and transaction fee.
The total supply of Litecoin is 84 million. The key feature of Litecoin is it takes only 2.5minutes to complete a transaction on the blockchain.
3. Bitcoin Cash ($BCH)
Bitcoin cash is created in 2017 to address the issues exists in bitcoin in terms of faster transaction and cheaper transactions fees. Furthermore, bitcoin cash block size on the blockchain is larger than bitcoin by 31 MB.
The drawback of bitcoin cash is volatility of crypto currency which caused significant movement in upside or down side of price.
4. Monero ($XMR)
This crypto currency is recognised as privacy focused crypto currency that means transaction details are hidden including sender and buyer. It used advance crypto graphy so making it impossible to track the transactions details.
This is mining friendly coin which can mined through Standard CPU and users can easily access to it.
