Cryptocurrency is digital money that is not managed by a central system like a government. Instead, it’s based on blockchain technology, with Bitcoin being one of the most popular ones today. 

In fact, according to a report, the number of cryptocurrency wallet users has risen to more than 70 million by May 2021, with Bitcoin having more than 7 million active users.

With time as digital money continues to gain lots of attention on Wallstreet, more and more cryptocurrencies are becoming available. Do you know there are more than 5,000 cryptocurrencies in the market as we write? 

While you can use cryptocurrencies to purchase products, most people treat it as a form of long-term investment. However, investing in cryptocurrency can be a risky proposition especially if you do not know which ones to invest in. 

Four Of The Most Promising Cryptocurrencies In The Sector

It has been more than a decade since the elusive Satoshi Nakamoto invented Bitcoin, the world’s first and most famous cryptocurrency. 

Despite its widespread use, Bitcoin is far from the last one in cryptocurrency; imitators, inventors, and spinoffs prevail, and there are now over 7,000 cryptocurrencies available.

How can investors decide their crypto investment, given there are too many to choose from? Here are the most famous cryptocurrencies to invest in 2021, ranging from well-known to lesser-known digital currencies.

Bitcoin (BTC)

Since the first bitcoins were mined in January 2009, Bitcoin has dominated the sector. Bitcoin’s price soared to more than $60,000 in April 2021, resulting in a market capitalization of more than $1 trillion, giving it a share of the blockchain market of more than 45 percent. Of note, Bitcoin accounted for almost 70% of the cryptocurrency industry earlier this year, indicating that other cryptocurrencies might rise.

Ethereum 

This ranks second in the most expensive and most famous cryptocurrencies, following Bitcoin. It is more than just a cryptocurrency; Ether’s blockchain-based technology is the first to have smart contracts, allowing developers to create applications with it. Ether’s processing pace is still rapid as opposed to Bitcoin.

Cosmos (ATOM) 

Over the last three or four years, Cosmos has completed what could be the most optimistic path map in the crypto vacuum. Through a breakthrough known as Inter Blockchain Communication, or IBC, the Cosmos Hub enables autonomous, separate blockchains on the Cosmos Hub to share properties and connect. The Cosmos Hub reportedly controls more than $120 billion in digital properties.

Dogecoin (DOGE)

Dogecoin was created as a lighthearted cryptocurrency, named after the famous “Doge” internet meme of a Shiba Inu puppy. 2021 has indeed been the year of Dogecoin, according to Ben Weiss, CEO, and co-founder of CoinFlip, the world’s biggest crypto ATM provider. 

This year, Dogecoin has been the most famous cryptocurrency, grown by more than 13,000 percent, rendering it the fourth-largest cryptocurrency in market capitalization. Its price reached a high of more than 70 cents in early May but has since dropped. Because of its more excellent distribution, Dogecoin’s price stays under a dollar. The (Elon) Musk Effect can be credited with a significant part of Dogecoin’s popularity.

How To Avoid Cryptocurrency Scams

Scammers are always coming up with different approaches to rob cryptocurrencies. Anyone who insists on paying in cryptocurrencies is a sure indication of a con. Anyone who suggests paying by wire transfer, gift card, or cryptocurrency is a con artist. 

Of course, if you’ve paid, there’s no chance of getting the money back. That’s just what the con artists hope for. There are a few cryptocurrency scams to be aware of.

Scams involving investments and company opportunities

Many scammers guarantee you to make more crypto investments, and the more cryptocurrencies you spend, the more money you can create. However, they are all empty claims and assurances.

Some con artists begin with unsolicited offers from ostensibly legitimate “investment managers.” These con artists claim that if you send them the cryptocurrency you purchased, they will help you develop your wealth. However, after you log into the “investment account” they set up for you, you will discover that you can’t withdraw your funds until you incur fees.

Unsolicited work opportunities to help attract cryptocurrency buyers, sell cryptocurrency, mine cryptocurrency, or turn cash into bitcoin have been sent by several scammers.

Any con artists post fake work postings on job boards. They may promise you a position (in exchange for a fee), but then take your money or personal details.

Look for statements like these to help you identify the businesses and individuals to avoid:

Scammers promise that you can benefit. It’s a con if they guarantee you’ll make money. And if a star endorses it or there are testimonials. (Those are simple to forge)

Scammers pledge large sums of money with a high probability of success. Nobody can promise a specific return, such as doubling your money far less in just a brief period.

Scammers claim to be able to give you free money. They would say it may be in cash or bitcoin, but guarantees of free money often lie.

Scammers offer bold promises with little supporting evidence or explanations. Savvy business people like to know how their capital is being used and where it is heading. And strong financial advisors are eager to share their knowledge.