Today thousands of cryptocurrencies are emerging in the market. Though Bitcoin remains to be the king of the crypto industry, these altcoins have seen a great impact in recent years. In the past years, one could easily count the number of cryptocurrencies. But today, the market has seen a great uprise resulting in the emergence of new Altcoins.
So what are these Altcoins? Can they overtake Bitcoins? What to expect for the future? This article answers all your questions to provide you with the relevant answers!
What is Altcoin?
Before knowing about Altcoins, let me explain to you about Cryptocurrencies. A Cryptocurrency is a Digital Asset which makes use of Cryptography Technology to facilitate the transactions by integrating security and privacy in it.
In general, there are three types of Cryptocurrencies:
A Bitcoin is a type of Cryptocurrency which is in existence right from 2008. This is considered the first cryptocurrency which has seen massive growth in recent years. By owning a Bitcoin, you can send someone as a gift, or buy a service or product easily. One can also purchase an Altcoin/ Token easily with a Bitcoin.
While a Tokens are the crypto assets that are used on Decentralized Applications. These are built on Blockchain like Ethereum, NEO, etc. These tokens too have a certain price range which traders usually buy and sell at a higher price.
Coming to Altcoins, there are around thousands of Altcoins in the cryptocurrency industry. These coins are invented by providing minor changes of Bitcoins and hence are rightly termed to be an “Altcoin”. This means that Alternative + Coins and called as Alt Coins.
However, not all Altcoins have the traits of Bitcoin since some of these coins are developed entirely for different purposes and goals.
Most of the altcoins are peer to peer which involves a mining process in which users should solve a complex problem to unlock the blocks and offer efficient and cheap transactions on the website.
The initial Altcoin which came into existence is Namecoin in 2011. This was developed based on the Bitcoin Code and made use of the Proof of Work Algorithm by Bitcoin. Once its launch, a huge number of Altcoins are in the industry right away.
Altcoin vs Bitcoin the major difference
When looking for Altcoin Vs Bitcoin dominance, here are some of the factors which can differentiate them:
- Proof of Work (PoW) Algorithms used.
- Means by which users sacrifice energy to mine Blocks
- Application Enhancements
- Transaction Speed
There aren’t major differences between both when it comes to trading an Altcoin or a Bitcoin. Whole trading Altcoins, the volatility factor is low compared to Bitcoin.
What are some popular Altcoins in the industry?
Why Altcoin creation can benefit you?
Since the above-mentioned Altcoins are performing well for this year, most of the traders would start investing in them without any doubts. By developing your own Altcoin with your own customizations.
To speak technically, Bitcoin comes with inherent problems with its design, and most of the people are interested to come up with their own design and enhance them. Moreover, Bitcoins transactions have high fees and would take a great amount of time to perform transactions.
Hence, with an Altcoin development, one can sort out all these issues and bring in the best coin for the traders. This can also act as a promising investment for the people, unlike Bitcoin which is influenced by the Volatility factor.
So, How to Create your own Altcoin with fewer investments?
If you are planning for an Altcoin launch, here are the major steps you need to follow:
1. Choose the type of Platform you are going to build
As discussed, these Altcoins are usually built on the Blockchain Platform. Thus, you need to choose the type of platform you are planning to leverage.
Here are some options:
- Using Existing Blockchain
- Building your own Blockchain
- Choosing a third-party platform if you are not aware of the technical part
- Creating an Altcoin Token
2. Pick the desired ERC Standard for implementation
As most of the Altcoins are built on ERC 20 Standard, you need to choose the type of standard which you can make use of. For this, you can make use of services like Metamask. A Metamask is a place where you can run Ethereum dApps in your own browser instead of running in a Full Ethereum node. There are a lot of service providers like CoinLaunch which can help you to connect to Metamask.
3. Start developing an Altcoin with MVP
Now you can get started with developing your own Altcoins. Make sure you have the relevant set of features integrated into them which can attract a huge set of investors across the globe.
MVP can be an essential solution for your Altcoin website which demonstrates the complete functionality of the developed product and collecting the feedback on the same. In this way, you can test your target audience and make the desired changes.
4. Check for Investors
To launch an Altcoin, you need to spend a huge amount. If the budget isn’t a feasible solution, you need to check for the best investors for your project. Moreover, if you are an Altcoin developer, these 4 processes can be an easier one. Else you need to hire a solution provider in this case for a top-notch solution.
Icoclone: The best Altcoin development company
We at Icoclone have a huge set of experience in developing Altcoins for global clients in launching their ICO. We have so far assisted 40+ clients to successfully raise funds by creating their own Altcoin.
We are an experienced set of individuals looking to make your ICO dreams into reality!
If you have any urgent requirements for your project, you can get in touch with us for the best solution.