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12 most popular types of cryptocurrency
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Bitcoin gets all the headlines when it comes to cryptocurrencies, but there are literally thousands of other options when it comes to these digital currencies. In fact, cryptocurrencies that are not Bitcoin are generally considered to be “also ran” – what are called “altcoins”, or alternatives to Bitcoin.
While Bitcoin may have been the first major cryptocurrency to hit the market – it debuted in 2009 – several others have become very popular, although not as big as the original.
Here are the largest cryptocurrencies in terms of total dollar value of existing coins, i.e. market capitalization or market capitalization. (Data is from CoinMarketCap.com, as of May 3, 2024.)
The largest cryptocurrencies by market capitalization
1. Bitcoin (BTC)
- Price: $61,524
- Market capitalization: $1.21 trillion
As a harbinger of the cryptocurrency era, Bitcoin it is still the coin that people generally refer to when talking about digital currency. Its mysterious creator, supposedly Satoshi Nakamoto, launched the currency in 2009 and it has been on a roller coaster ride ever since. However, it wasn’t until 2017 that cryptocurrency broke into popular consciousness. In 2024, the SEC approved the trading of ETFs that invest directly in Bitcoin, giving investors an easy way to bet on Bitcoin.
2. Ethereum (ETH)
- Price: $3,069
- Market capitalization: 369 billion dollars
Ethereum – the name of the cryptocurrency platform – is the second name you will most likely recognize in the crypto space. The system allows you to use ether (the currency) to perform a number of functions, but the aspect of the Ethereum smart contract helps make it a popular currency.
3. Tether (USDT)
- Price: $1.00
- Market capitalization: $110 billion
Tether price is pegged at $1 per coin. That’s because that’s what it’s called a stable currency. Stablecoins are tied to the value of a specific asset, in Tether’s case, the US dollar. Tether often serves as a medium when traders move from one cryptocurrency to another. Instead of going back to dollars, they use Tether. However, some people fear that Tether is not securely backed by dollars held in reserve, but instead uses a form of short-term unsecured debt.
4.BNB (BNB)
- Price: $576.31
- Market capitalization: 85 billion dollars
BNB is the cryptocurrency issued by Binance, among the largest cryptocurrency exchanges in the world. Although originally created as a token to pay for discounted trades, Binance Coin can now be used for payments and the purchase of various goods and services.
5. Solana (G)
- Price: $141.48
- Market capitalization: 63 billion dollars
Launched in March 2020, Solana is a newer cryptocurrency and touts its speed in completing transactions and the overall robustness of its “web-scale” platform. The issuance of the currency, called SOL, is limited to 480 million coins.
6. USD Coin (USDC)
- Price: $1.00
- Market capitalization: 33 billion dollars
Like Tether, USD Coin is a stablecoin pegged to the dollar, meaning its value is not expected to fluctuate. The currency’s founders say it is backed by assets that are fully reserved or have an “equivalent fair value,” and that those assets are held in accounts at regulated U.S. institutions.
7. XRP (XRP)
- Price: $0.5256
- Market capitalization: $29 billion
Formerly known as Ripple and created in 2012, XRP offers a way to pay in many different real currencies. Ripple can be useful in cross-border transactions and uses a trust-less mechanism to facilitate payments.
8. Dogecoin (DOGE)
- Price: $0.1385
- Market capitalization: $20 billion
Originally created as a joke following the Bitcoin run-up, Dogemoneta is named after an Internet meme featuring a Shiba Inu dog. Unlike many digital currencies that limit the number of coins in existence, Dogecoin has unlimited issuance. It can be used for payments or sending money.
9. Toncoin (TON)
- Price: $5.49
- Market capitalization: $19 billion
Launched in 2018, Toncoin was developed by Telegram, the encrypted messaging platform. Telegram abandoned the project, which was taken over by the TON Foundation. Toncoin price increased in 2023 after Telegram announced that it would integrate a TON-based wallet into its platform.
10. Cardan (ADA)
- Price: $0.4651
- Market capitalization: $17 billion
Cardan is the cryptocurrency platform behind ada, the name of the currency. Created by the co-founder of Ethereum, Cardano also uses smart contracts, allowing for identity management.
11. Shiba Inu (SHIB)
- Price: $0.00002391
- Market capitalization: $14 billion
Shiba Inu is an Ethereum-based altcoin created anonymously in August 2020 with a Shiba Inu dog as its mascot. Shiba Inu is widely considered an alternative to Dogecoin. Its price peaked in the fall of 2021 after a meteoric rise, but fell by more than 90% before rising again in early 2024.
12. Avalanche (AVAX)
- Price: $35.02
- Market capitalization: $13 billion
Avalanche is a blockchain launched in 2020 and competes with Ethereum as one of the most popular blockchains for smart contracts. AVAX is the native currency of the Avalanche blockchain.
Bottom line
The cryptocurrency market is a Wild West (even if the US government is taking a more active role in overseeing the crypto space), so those speculating on these digital assets should not invest more money than they can afford to lose. Crypto assets have been under downward pressure for much of 2022, and trading has remained volatile in 2023. It is also important to note that individual investors often trade against highly sophisticated traders, making it a difficult experience for beginners. In 2024, the SEC approved several spot Bitcoin ETFs for tradingoffering investors an easy way to bet on Bitcoin’s growth.
Editorial Disclaimer: All investors are advised to conduct their own independent research on investment strategies before making an investment decision. Furthermore, investors are advised that past performance of investment products is no guarantee of future price appreciation.