As we break into a new year, the following altcoins have the potential to triple your money in 2023, according to analysts at consulting giant The Motley Fool. Here are the details…
Analysts are hopeful for these altcoins
Avalanche (AVAX)
When it comes to innovation and tangible results, Ethereum tends to be the leader. The Ethereum network is home to a large part of decentralized application (dApp) development. In the following year, Ethereum brought in $3.8 billion in dApp protocol revenue, according to data from TokenTerminal.com. But what if there was a potentially better dApp development solution for Ethereum? According to analysts, this solution is in Avalanche.
One of the most important distinguishing factors with Avalanche is the speed of its network. The two major coins in crypto, Bitcoin and Ethereum, are capable of processing at peaks of 7 and 14 transactions per second (TPS), respectively. Meanwhile, Avalanche’s developers stated that the network can operate at over 4,500 TPS. While Ethereum’s popularity can cause network latency, Avalanche can succeed. The other big key to Avalanche’s success is that its network is compatible with the Ethereum Virtual Machine (EVM). EVM is software that developers use to build dApps.
Algorand (ALGO)
According to analysts, if things go well, the second cryptocurrency with the potential to provide 200 percent returns to investors in 2023 is Algorand. Similar to Avalanche, Algorand is a smart game on dApp development that focuses heavily on decentralized finance (DeFi). Algorand does not compromise on speed, as competitive advantages are the key to standing out in the crypto arena. If you think Avalanche is impressive with over 4,500 TPS, you’ll love Algorand, which has a throughput of around 6,000 TPS and a block accuracy of a few seconds.
Perhaps the biggest difference for Algorand is the project’s focus on interoperability. The developers of Algorand know that there are many different Blockchain networks and many of these Blockchains will not work with each other. Algorand uses layer 1 Blockchain to act as a bridge between these projects in the financial field. Additionally, Algorand uses pure proof-of-stake (PPoS). With PPoS, people with ALGO tokens are randomly selected to vote on various proposals and create new blocks. PPoS is designed with security in mind while maintaining scalability and distribution.
IOTA (MIOTA)
A third cryptocurrency that has the potential to triple your money in 2023 and which is definitely overlooked when compared to Avalanche and Algorand is IOTA (MIOTA). This lesser-known coin has the tools to be a major player in facilitating payments from Internet of Things (IoT) devices. Prospective investors don’t need to search long to find a clear differentiation with IOTA. This is because, unlike thousands of other cryptocurrency projects, IOTA does not use Blockchain technology. Instead, transactions are verified using the consensus algorithm that the IOTA developers refer to as “Tangle”.
Traditional blockchain technology has its limitations. For example, the approvals required to create new blocks, verify transactions and/or vote on proposals have been known to slow down many of the most popular networks. The IOTA network does not have the same constraints, so transaction finality occurs within minutes. What’s more, Tangle is designed to be more efficient over time. As new transactions help validate previous transactions, the network theoretically becomes more scalable and efficient with each payment. Also, IOTA performs free transactions.
Stellar (XLM)
The fourth and final cryptocurrency that could triple your money in 2023 is Stellar. Normally, something as simple as a blockchain-based payment network will not suffice. But given its comparative advantages over other payment networks, 2023 could be the year XLM launches to the moon. While this list is primarily focused on dApp development, one of the main goals of blockchain technology is to eliminate or circumvent the slow and costly path traditional payments take today.
If you want to send money abroad, you may have to pay a non-negligible fee to do so. Worst of all, your payment may not be valid and paid for up to a week. However, payments sent using Stellar complete this international trip in five seconds or less. Even better, the average transaction fee is 0.00001 XLM. In addition, the network is capable of exceeding 1,000 TPS. Also, the 2022 research report by ForexSuggest.com revealed that it is the leading network in terms of day-to-day transactions.
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