Top 10 Cryptocurrencies In February 2022 – Forbes Advisor UK

From Bitcoin and Ethereum to Dogecoin and Tether, there are thousands of different cryptocurrencies, which can make it overwhelming when you first start out in the world of cryptocurrencies. To help you get your bearings, here are the top 10 cryptocurrencies based on their market cap, or the total value of all coins currently in circulation.

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1. Bitcoin (BTC)

  • Market capitalisation: over £537bn

Created in 2009 by someone using the pseudonym Satoshi Nakamoto, Bitcoin (BTC) is the original cryptocurrency. As with most cryptocurrencies, BTC runs on a block chain, or a ledger that records transactions distributed over a network of thousands of computers. Because additions to distributed ledgers must be verified by solving a cryptographic puzzle, a process called proof-of-work, Bitcoin is kept safe and secure from fraudsters.

The price of Bitcoin has skyrocketed and it has become a household name. In May 2016, you could buy a Bitcoin for around £370. As of February 1, 2022, the price of a single Bitcoin was over £28,000. That’s a growth of about 7,600%.

2. Ethereum (ETH)

  • Market capitalisation: over £240bn

Both a cryptocurrency and a blockchain platform, Ethereal is a favorite of program developers due to its potential applications, such as so-called smart contracts that automatically execute when conditions are met and non-fungible tokens (NFT).

Ethereum has also seen tremendous growth. From April 2016 to February 2022, its price went from around £8 to over £1,980, increasing by nearly 25,000%.

3. Tether (USDT)

  • Market capitalisation: over £57bn

Unlike other forms of cryptocurrency, Tether is a stablecoin, meaning that it is backed by fiat currencies such as the British Pound, US Dollar, and Euro, and hypothetically holds a value equal to one of those denominations. In theory, this means that Tether’s value is supposed to be more consistent than other cryptocurrencies, and is favored by investors who are wary of the extreme volatility of other coins.

4.Binance Coin (BNB)

  • Market capitalisation: over £46bn

Binance Coin is a form of cryptocurrency that you can use to trade and pay fees on Binance, one of the largest. crypto exchanges in the world.

Since its launch in 2017, Binance Coin has expanded beyond simply facilitating transactions on the Binance exchange platform. Now, it can be used for commerce, payment processing, or even travel booking. It can also be traded or exchanged for other forms of cryptocurrency, such as Ethereum or Bitcoin.

In 2017 it was priced at less than 10 pence, but by 1 February this year it had risen to around £277, a gain of roughly 377,000%.

5. US Dollar Currency (USDC)

  • Market capitalisation: over £32bn

Like Tether, USD Coin (USDC) is a stablecoin, meaning it is backed by US dollars and targets a 1 USD to 1 USDC ratio. USDC is powered by Ethereum, and you can use USD Coin to complete global transactions.

6. Cardano (ADA)

  • Market capitalisation: over £26bn

A little later on the crypto scene, Cardano is notable for its early adoption of proof-of-stake validation. This method speeds up transaction time and lowers energy use and environmental impact by removing the competitive and troubleshooting aspect of transaction verification present on platforms like Bitcoin. Cardano also works like Ethereum to enable smart contracts and decentralized applications, which are powered by ADA, its native currency.

Cardano’s ADA token has seen relatively modest growth compared to other major cryptocurrencies. In 2017, the price of ADA was approximately 1.5 pence. As of February 1, 2022, its price was around 77 pence, an increase of 5,150%.

7. Sunshine (SUN)

  • Market capitalisation: over £25bn

Developed to help drive the uses of decentralized finance (DeFi), decentralized applications (DApps), and smart contracts, Solana runs on a unique hybrid proof-of-stake and proof-of-history mechanism that helps you process transactions securely. fast and safe. SOL, Solana’s native token, powers the platform.

When it launched in 2020, the SOL price started at £0.57. At the beginning of February 2022, it was priced at around £74, a gain of almost 13,000%.

8. XRP (XRP)

  • Market capitalisation: over £21bn

Created by some of the same founders of Ripple, a digital technology and payment processing company, XRP can be used on that network to facilitate exchanges of different types of currency, including fiat currencies and other major cryptocurrencies.

At the beginning of 2017, the price of XRP was £0.004. As of February 1, 2022, its price reached 46 pence, which is equivalent to an increase of more than 10,000%.

9. Earth (MOON)

  • Market capitalisation: over £15bn

Terra is a stablecoin blockchain payment platform based on maintaining a balance between two types of cryptocurrencies. Terra-backed stablecoins like TerraUSD are pegged to the value of physical coins. Its counterweight, Luna, powers the Terra platform and is used to mint more Terra stablecoins.

The Terra and Luna stablecoins work together according to supply and demand: when the price of a stablecoin rises above the value of its pegged coin, users are incentivized to burn their Luna to create more of that stablecoin. Terra stablecoin. Also, when its value drops compared to its base currency, this encourages users to burn their Terra stablecoins to mint more Luna. As the adoption of Terra platforms grows, so does the value of Luna.

Since January 3, 2021, when it was priced at £0.47, Luna has risen nearly 8,000% to £37.79 just over a year later.

10. Polka Dots (DOT)

  • Market capitalisation: over £14bn

Cryptocurrencies can use any number of blockchains. Polkadot (and its namesake crypto) aims to integrate them by creating a cryptocurrency network that connects the various blockchains so they can work together. This integration may change the way cryptocurrencies are managed and has fueled impressive growth since Polkadot launched in 2020.

Between September 2020 and February 1, 2022, its price grew by around 565%, from £2.15 to £14.33.

*Market caps and prices in force as of February 1, 2022.

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