Bitcoin: hunt for cryptocurrencies: Experts choose six tokens for strong returns

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New Delhi: The cryptocurrency market started the year on a weak note, with the top tokens dropping up to 10%, but witnessing a strong rebound on the fourth day of the year. Major currencies are back in action with gains of up to 2%.

Despite the recent correction, investors are looking for tokens that can reward them with substantial returns. To help in choosing cherries, crypto experts have a few names on their cards for them:

Bitcoin (BTC)
Traditional institutions like Fidelity and T Rowe Price are creating funds in crypto-friendly jurisdictions. Suman Banerjee, CIO, Hedonova, a cryptocurrency hedge fund is observing a massive inflow of institutional capital into bitcoin to varying degrees. “A reduction in transfer activity and more stablecoin to Bitcoin conversions indicate that people are holding it and not spending,” he added.

Avalanche (AVAX)
“Avalanche is an intelligent contract-based blockchain network that offers speed and compatibility, making it a strong choice with which to develop decentralized applications (dApps). Smart contracts are the protocol that helps verify, facilitate and enforce the negotiation of a contract between two parties, capable of processing over 4,500 transactions per second, ” said Raj A Kapoor, founder, India Blockchain Alliance.

“The key factor is compatibility. DApp developers generally leverage the Ethereum Virtual Machine (EVM) to create dApps on Ethereum, Avalanche on the other hand has the EVM operating on its blockchain, “he added.

Ethereum (ETH)
The art has helped put NFTs (non-fungible tokens) on the map, paving the way for many other things. Hedonova’s Banerjee is more bullish on Ethereum, compared to Bitcoin. “We think NFTs are here to stay and will become the ‘ownership governance protocol’ on the blockchain. The ownership aspects for securities and physical properties will be built on the Ethereum chain,” he said.

Chain link (LINK)
It is an Ethereum-based Oracle network designed with the goal of enhancing smart contracts by automatically injecting real-world data into online systems. As the use of smart contracts has increased exponentially, Chainllink’s value has also increased. Chainlink is an Oracle data provider that connects and collaborates with projects across all blockchains.

Kapoor of India Blockchain Alliance said that in April 2021 Chainlink released a 2.0 version of its white paper that outlined new capabilities for the Chainlink network, including off-chain computing, crypto-economic staking, and privacy preservation features, all features that appeal to users and developers make it a good bet for this year.

World Currency (WDC)
This token is backed by large venture capitalists like A16Z and crypto giants like FTH and Sam Bankman. The USP of this currency in its applications in authentications and therefore in the cases of use in the banking, insurance, IT security fields. Banerjee said that to acquire this coin, users must complete a one-time retinal scan verification. “This opens applications where authentication is required, opening up numerous use cases,” he said.

Solana (SOL)
Solana has become the fifth largest cryptocurrency in the world in terms of market capitalization, thanks to its increase of 13,800% in 2021. It is a platform with lower cost and faster processing speeds, considered a major competitor to Bitcoin and Ethereum.

“As Solana becomes a mainstream name, I believe it will soon begin to be accepted as a form of payment on the same level as bitcoin and ether,” said Kapoor. There will be multiple opportunities and crypto projects that will explode in value, but they must offer a unique solution that no one in this space is currently working on, he added.


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