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Home»Altcoins»This ‘Altcoin’ gained 1300% in 2021. So what is this cryptocurrency segment?
Altcoins

This ‘Altcoin’ gained 1300% in 2021. So what is this cryptocurrency segment?

July 26, 2022No Comments2 Mins Read
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Binance Coin, or BNB, has overtaken its two biggest rivals, Bitcoin and Ether, among the top three digital assets by market capitalization.

With a gain of 1,344%, Binance Coin (BNB) has outperformed the three largest cryptos by market capitalization, while the Binance Smart Chain ecosystem has seen huge growth in 2021, stealing some market share from Ethereum.

In comparison, market leader Bitcoin is up 65%, while Ether, the second-largest token, is up 408%.

The old guard of cryptocurrencies has lost ground to tokens with higher yields this year.

The trend is expected to continue, according to the researchers.

World Business Watch: Britain bans Binance operations in UK in latest cryptocurrency crackdown

What is Altcoin, how is it different from Bitcoin?

Alternative digital assets, such as a coin or token that is not Bitcoin, are called altcoins.

This terminology stems from the idea that Bitcoin is the first cryptocurrency, and all others are “alternative” or “alternative” coins.

The word “altcoin” is also loosely applied to digital assets that are officially “tokens” rather than coins.

ERC-20 tokens, which operate on the Ethereum blockchain, are the best-known instances.

Over 2,000 alternative cryptocurrencies have been implemented since Bitcoin was launched in 2008.

Through a process known as Hard Forking, many of these altcoins were formed as modified copies of Bitcoin.

Despite some similarities, each altcoin has a distinct purpose.

(With agency contributions)

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