The cryptocurrency market is getting warmer, and numerous crypto enthusiasts believe 2020 is Bitcoin’s next bull run year. However, in terms of altcoins, out of the thousands of crypto assets available, it isn’t easy to know which have a future without having to spend your time and energy researching.
We have done this research, and in this post, we’ve listed five altcoins that we think are among the ones that have the greatest potential for growth in 2020.
The cryptocurrency is extremely popular for two reasons: first, its smart contract technology makes it incredibly flexible, and secondly, the tools it provides make it easy for developers to create decentralized apps on its network.
The use cases for Ethereum are multiple and include banking and financial contracts, records and data management, prediction markets, escrow, identity management, and privacy. The transaction time on the blockchain is fast, compared to Bitcoin, and for the last few years, numerous new coins have tried to kill ETH but have never managed to do so.
Back in 2017, Ethereum hype was at its apex, and people started to wonder if it was prone to overhaul Bitcoin – pattern that was called ‘the flippening.’ It did not happen, but recent improvements such as tokenized Bitcoin makes it possible for Ethereum to gather a massive portion of Bitcoin transactions.
Chainlink is an oracle network that enables blockchain smart contracts to connect to off-blockchain data in a decentralized manner. Oracles are feeds that link blockchains to off-blockchain data, which can include anything from commodity prices to weather.
Connecting smart contracts to this kind of real-world data is vital for the extensive adoption of blockchain technology. Without access to real-world information, smart contracts can only employ on-chain data, which is data stored on the blockchain.
Although there are oracles that enable blockchains to access information from the external world, they are generally centralized, like Synthetix. Chainlink is different as it offers a decentralized oracle service.
Whether Chainlink will certainly find a way to connect blockchains to off-chain data in a decentralized way remains to be seen, but the significance of oracles to mainstream adoption of blockchains is massive. Connecting blockchains with outside information is necessary, and doing so in a decentralized manner is the most secure, which is why so many people consider Chainlink.
Cardano is a smart contract platform similar to Ethereum. What makes it different is the fact that it is aware of the demands of government regulators, and this simple but achievable goal is what made Cardano so popular.
Cardano doesn’t claim to be attempting to defeat banks and governments, but wants to work with them, and expects enhanced regulatory activity by governments in the cryptocurrency territory. Instead of creating another Ethereum copy, Cardano has built its cryptocurrency network for its use case.
IoTeX is a privacy-focused blockchain platform based on the concept of integrating the Internet of Things (IoT), which refers to digital engagement beyond computers and personal devices to consider all the things around us with digital abilities.
By 2022, the amount of IoT devices is said to surpass 50 billion, and this huge amount of digital devices will require secure ways of communicating and automation in real-time. This is the sector IoTex is trying to fill.
IoTeX’s architecture is built on a root blockchain that offers security and governance for the network while controlling different sidechains to perform specific functions. The sidechains link IoT devices based on certain parameters, such as working in similar conditions, having similar trust levels, or having a similar function.
IoTeX also launched UCam, a private and secure security camera, and it is the most direct rival to IOTA. The main difference between the two is that IOTA employs the Directed Acyclic Graph (DAG) technology to manage scalability, but this needs a global consensus.
In the meantime, IoTeX chose another solution, called Roll-DPoS, which uses a randomized and scalable version of the delegated Proof-of-Stake (PoF) framework.
EOS attempts to address some of the flaws of the Ethereum Network. To build a dApp on Ethereum, you need to use a certain programming language for smart contracts – Solidity. EOS solves the barrier by offering some services to developers, such as database and account management services, which do not ask for programming knowledge.
It is fast and more scalable than Ethereum and doesn’t require users to pay fees on transactions, which take on average 1.5, while on Ethereum Network, users are asked to pay fees.
EOS has massive and enthusiastic community support, and we see why. The coin is not mined, but block creators are voted by the community.
There you have it. The top five altcoins we are most excited to watch grow in 2020.