Mass Adoption

What Is The Best Cryptocurrency To Invest In Right Now? (2020)

What is the best cryptocurrency to invest in right now? Yes, this may seem like a loaded question, but it ultimately comes down to preference. I have long been a believer that there will at some point come a cryptocurrency that provides more value that the current king itself (Bitcoin), but I still feel as though that day is still far off in the distance. Bitcoin has been the staple and foundation that started this revolution over a decade ago with the one crazy idea that the world could have a peer-to-peer electronic cash system that was governed by the people, and not an “authority”.

So far, the network effect is the strongest factor that keeps bitcoin in the minds of most people that are aware of it, because it’s not just a coin, its also a technology; a protocol. Decentralization and a VERY large distributed network gives bitcoin a superior power than all other altcoins listed on CoinMarketCap.com. However, that is not to say that other altcoins offer no value, in fact, a good few of them are innovating a way to new technologies and governance standards that let it stand apart from the rest. I will name a two of them that I have invested in below that are not Bitcoin, because they offer a unique selling proposition (USP).

 

ZCASH what is the best cryptocurrency to invest in right now?

 

Zcash has a proprietary privacy protocol attached to it. This is extremely attractive, as one of the key selling points of cryptocurrency to begin with was anonymous, uncensorable transactions. This is money as it was intended to be. I should be able to transact with anyone in the world, and not only NOT have it tracked, but keep it between me and the other consenting party. They use a method called zk-SNARKs.

This is an acronym for “Zero-Knowledge Succinct Non-Interactive Argument Of Knowledge”. What does this actually mean? It essentially means that “Zero-Knowledge” proofs allow one party (prover) to prove to another (verifier) that a statement is true. It allows you to verify a transaction is relevant and true without knowing its origin.

Some people view this as potentially scary, because it allows money launderers or criminals to transact in a more private way. Well, my theory is this, criminals will always find a way to do what they want and transact privately. Valuable tools should not be banned or discredited because there is a potentially negative outcome.

There is an equally positive outcome. Privacy is an unalienable right to all humans and we should all expect it and understand our rights to it. To me, that makes this coin very very powerful and very much worth exploring, especially as it is considered an “Original”. Some similar example coins that came after are Monero and Zcoin.

 

TEZOS

 

In my opinion, Tezos is the new and improved evolution of Ethereum. It is a new platform for decentralized applications (dApps) and smart contracts. Here are a few key points that make it different:

1.) On-Chain Governance – The Tezos protocol offers a formal process through which stakeholders can efficiently govern the protocol and implement future innovations. This is democracy at it’s finest. It also helps avoid controversial “Hard Forks” as we’ve seen in the past with Bitcoin (BTC) to Bitcoin Cash (BCH) and then Bitcoin Cash (BCH) into Bitcoin SV (BSV). This has a detrimental effect on the network and causes a lot of confusion, contention, and tribalism.

2.) Security – This blockchain was designed to facilitate formal verification, which helps secure smart contracts and avoid buggy code. This has been a HUGE problem with Ethereum over the years as noted in the infamous “DAO Hack“, which again proved that their protocol was not immutable and caused yet another hard fork that brought forth Ethereum Classic into existence.

3.) Liquid Proof of Stake – This is a unique consensus proof-of-stake algorithm which gives every stakeholder the opportunity to participate in the validation of transactions on the network and be rewarded for doing so. Whether you are big or small, you have a vote. This is unlike the current mining pools that we have in place where the person with the most hashing power and hardware wins the block reward, and essentially dictate the rules of the network.

I tend to think that the tech behind each blockchain is what brings it’s value. Whether or not the price is currently up or down on these coins, I believe as the masses start to see the value these innovators bring to the table, the money will follow.

If you don’t recall, it took over a year of price discovery before Ethereum finally found it’s place in the market. All this to summarize that I am very interested to see where these both end up in terms of price and user adoption over the course of this year.

 

CONCLUSION

 

So what is the best cryptocurrency to invest in right now? My final thought comes down to diversification. No matter what cryptocurrency you own or believe in, it is always a good idea to NOT put all of your eggs in one basket. Diversification allows you to spread out your wealth and provide you a bit more piece of mind and stability as we all partake in our own personal crypto journey.

If you are new to this space and are unsure what to invest in, there is an up-and-coming site that allows you to follow a strong community of cryptocurrency investors and see what allocations are in their portfolio to give you a baseline. This is a desktop and mobile app known as “eToro“. It also provides you some guides and information on each coin so you can learn what the differences of each coin are and what the full scope of their previous price, current price, and the expected future price over time. I will leave the link here for anyone that’s interested.

 

Please sound off below! What do you think the best cryptocurrency to invest in at this point in the game? Do you think my top two altcoin picks are unfounded? Let me know in the comments.

 

NOTE: This post may contain affiliate links. This adds no cost to you but it helps me focus on giving as much value as possible in every single post by being compensated for recommending products that help people succeed.

How Do We Gain Mass Adoption For Cryptocurrency? Let’s Start With Merchants, First.

How Do We Gain Mass Adoption For Cryptocurrency? Let’s Start With Merchants, First.

Cryptocurrencies have a high barrier to entry.

The underlying technology is complicated, and some claim Bitcoin was initially designed to be inefficient for the sake of providing a trust anchor – creating challenges for smart contracts platforms looking to expand the capacity of blockchains to the world of applications.

how do we gain cryptocurrency mass adoption

As a result, Dapp user numbers continue to remain endemically low. Despite trending narratives like decentralized finance garnering more attention than blockchain-based games and other apps, the road to mainstream adoption remains an arduous task.

Cryptocurrencies, specifically Bitcoin, remain an invention of money more than anything else.

Mainstream app users are not familiar with the advantages that ‘unstoppable applications’ that run on Ethereum offer, nor do they care.

Bitcoin and other cryptocurrencies are not explicitly payment technologies, but fostering more widespread adoption of them by merchants and e-commerce stores might serve to supplement their growth well.

E-commerce is enormous and only snowballing. Retail e-commerce sales are projected to reach nearly $5 trillion globally by 2021, and the advent of better technology, more mobile phone commerce, and dominance of international providers like Amazon will only accelerate that trend.

Fiat payment rails are more than sufficient for the current iteration of e-commerce as payment processors like Visa, Mastercard, and PayPal are integrated with virtually every major e-commerce platform.

If the opportunity for a turning point in the adoption of cryptocurrencies presents itself, it will be because of some monetary advantages they have over conventional payment methods.

For example, according to Shopify, PayPal-enabled merchants accept 79.1 percent of their payments via PayPal.

For domestic payments, PayPal charges a 2.9 percent fee based on the transaction amount plus a fixed fee based on the currency used. For international business, the fee raises to 4.4 percent of the transaction. Fees are not surprising, and consumers and merchants have become accustomed to them with nearly every purchase.

Kroger – the popular supermarket chain – recently announced that they would no longer be using Visa in select stores due to transaction fees. Moreover, Bloomberg reported that retailers pay approximately $90 billion in payment processing fees per year.

Some crypto fans say that cryptocurrencies can provide potential advantages in both fees and censorship, even though they also come with limitations.

First, they have minimal fees as no third-party payment processor is taking a percentage – fees only consist of on-chain transaction fees which are usually a few cents.

Second, since Bitcoin is decentralized and there is no third-party controlling the legacy cryptocurrency, there is no censorship. As the saying goes ‘not your keys, not your Bitcoin.’ If you own your private keys, you don’t have to worry about your transaction not going through, being delayed, or reversed.

So, what’s holding back Bitcoin and other cryptocurrencies from being widely accepted among merchants?

Well, we can basically break that down into three primary categories: not enough awareness/users, high barrier to entry, and inconvenience in converting between fiat and crypto.

Reducing the barrier to entry by building better payment solutions with crypto will eventually lead to more awareness and users. Web extensions for using Bitcoin’s LN like Lightning Joule and Casa are already available for easy and instant payments over the web, and BTCPay Server is compatible with leading e-commerce platforms as a plugin – such as WooCommerce, Magneto, and Drupal.

“Accepting cryptocurrency payments leaves more money in the pockets of artists and fans, who’ve been unjustly extorted for too long”, says EventChain CEO, Ashton Addison. “When other retailers realize they don’t need to pay outrageous processing fees. by tapping into a global decentralized payment network, they will adopt crypto payments as well.”

That leaves the biggest problem: the inconvenience of converting between fiat and crypto.

Most merchants do not wish to ‘hodl’ long-term digital assets, and would instead prefer quickly turning received crypto payments back to fiat. Merchants typically have to go through cryptocurrency exchanges, which charge fees themselves, do not have good security track records, and are another third-party in an ecosystem predicated on reducing the roles of third-parties.

Self-hosted payment processor BTCPay Server has a fiat-conversion functionality on their roadmap, but for now, the problem is a marked impediment to further merchant adoption of cryptocurrencies. However, Bitpay has been pioneering an easy way for merchants to easily gain access to accept cryptocurrency payments and instantly convert to fiat for only a 1% fee.

Cryptocurrencies cover a lucrative opportunity of potential technical solutions in everything from advanced privacy to decentralized finance. However, at the industry’s core, Bitcoin remains the flagship cryptocurrency that is empirically an invention of money.

Payments may not be its most attractive property, but more merchant adoption in an increasingly connected globe of e-commerce is sure to be a critical gauge of furthering its mainstream adoption.

One of the most notable realities is that regulation is needed before any sides of the marketplace can switch their payment system completely.

Please sound off below! What do you think the best way to gain merchant adoption’? Do you think we need to focus on something else first? Let me know in the comments.

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