Top 5 Cryptocurrency in 2022

There are dozens of different cryptocurrencies, ranging from Bitcoin and Ethereum to Dogecoin and Tether, making it difficult to get started in the world of cryptocurrencies. These are the top 10 cryptocurrencies based on market capitalization, or the total worth of all the coins that are currently in circulation, to help you gain your bearings.

What Are Cryptocurrencies?

A cryptocurrency is a digital asset that may be traded freely, independent of a bank or centralised authority. The $952 billion cryptocurrency industry is now represented by more than 20,000 projects that total more than 20,000 cryptocurrencies. 

1. Bitcoin (BTC)

• Market cap: $377 billion

The initial cryptocurrency is Bitcoin (BTC), which Satoshi Nakamoto created in 2009. BTC operates on a blockchain, which is a ledger that records transactions and is shared over a network of thousands of computers, like the majority other cryptocurrencies. Bitcoin is maintained secure and protected from fraudsters because updates to the distributed ledgers have to be validated by cracking a cryptographic puzzle, a procedure known as proof of work.

As Bitcoin has gained popularity, its price has risen. The price of a single Bitcoin in May 2016 was around $500. On September 30, 2022, the cost of one Bitcoin was approximately $19,531. That is an increase of about 3,800%.

 

2. Ethereum (ETH)

• Market cap: $165 billion

Because of its potential uses, including so-called "smart contracts" that automatically execute when certain conditions are fulfilled and non-fungible tokens, Ethereum—which is both a cryptocurrency and a blockchain platform—is a darling among programmers (NFTs).

Ethereum has also grown quite fast. Its price increased by roughly 12,518% from about $11 to nearly $1,388 from April 2016 to the end of September 2022.

3. Tether (USDT)

• Market cap: $67 billion

Tether (USDT) is a stablecoin, which means it's backed by fiat currencies like U.S. dollars and euros and theoretically maintains a value equal to one of those denominations, unlike certain other types of cryptocurrencies. As a result, investors who are cautious of the severe volatility of other coins choose Tether since its value is theoretically expected to be more stable than that of other cryptocurrencies.

4. U.S. Dollar Coin (USDC)

• Market cap: $47 billion

Similar to Tether, USD Coin (USDC) is a stablecoin that aspires for a 1 USD to 1 USDC ratio and is backed by U.S. dollars. Ethereum powers USDC, and you may use USD Coin to execute cross-border transactions.

5. Binance Coin (BNB)

• Market cap: $46 billion

One of the biggest cryptocurrency exchanges in the world, Binance, accepts payments in the form of Binance Coin (BNB), a type of cryptocurrency. Binance Coin has grown since it was introduced in 2017, and it now does more than just enable transactions on Binance's exchange platform. Now, it may be utilised for trading, processing payments, or even making trip plans. Additionally, it may be sold or converted into other cryptocurrencies like Ethereum or Bitcoin.