In this day and age, it would be rare to find someone who hasn’t heard about Bitcoin and cryptocurrency exchanges. This coin has catapulted the crypto sector into the mainstream; more and more individuals nowadays want a piece of what this market offers. However, outside of Bitcoin and Ethereum, not everyone is aware of penny cryptocurrencies.
That’s why we’re going to talk about it today. We’ll look at the most promising and well-known penny cryptos out there. First, we’ll go through the terms. Even if you already have a concept of what a “penny cryptocurrency” is, we need to be sure we’re talking about the same thing.
Following that, we’ll aim to identify the greatest penny cryptocurrency available. There are precise conditions that such a crypto coin should meet to be the finest. We’ll go over all of them as we move through the article.
What are Penny Cryptocurrencies?
A penny cryptocurrency, as the name suggests, is a cryptocurrency with a market value of less than $1. As you might expect, most of the cryptocurrencies now available on the market are penny cryptos.
Even though the names and values of cryptocurrencies are often part of various debates, we pay little attention to why these coins have that price. It has become normal to regard Bitcoin as the ultimate cryptocurrency. Currencies like Ethereum and Litecoin follow as a logical progression, and then there’s everything else. But why is this the case?
Bitcoin is a one-of-a-kind situation. You may claim that its high price is due to it being the world’s first cryptocurrency. But more factors come into play.
Bitcoin has progressed to where its repute and renown speak for themselves. It has become the standard for all cryptocurrencies. Even in linguistic terms, we refer to any cryptocurrencies that are not Bitcoin as altcoins.
It was also the cryptocurrency that propelled this entire business into the mainstream; before Bitcoin’s success, people paid little to no attention to cryptos. Suddenly, there are massive corporations and organizations solely committed to providing crypto-related services to their consumers.
We should note, however, that Bitcoin is a one-of-a-kind scenario. We value most other cryptocurrencies on the market today for certain reasons. However, understanding these factors isn’t always straightforward, especially with penny cryptocurrencies. Having said that, there are techniques for categorizing these coins based on certain characteristics.
Various Types of Penny Cryptocurrencies
Although there are other methods for categorizing penny cryptocurrencies. We’ll be using one that I believe is the clearest and most understandable.
In summary, there are three types of cryptocurrencies: new cryptocurrencies, stagnant cryptocurrencies, and collapsing cryptocurrencies. These three categories should cover most of the popular penny cryptos on the market.
Before developers introduced a cryptocurrency, they create a buzz around its initial coin offering (ICO). They accomplish this in several marketing-related methods, but it ultimately boils down to one fundamental criterion: will this cryptocurrency be useful? The utility of the coin influences the price of a new crypto coin and the success of an ICO in question.
Most freshly issued cryptocurrencies begin with an extremely low market price, allowing them to be classified as penny coins. If the currency is helpful, the price will almost certainly rise quickly after its initial distribution.
If you want to snag one of these tiny cryptocurrencies early on and effectively invest in it, you need to monitor the market and conduct extensive research on new, up-and-coming crypto coins. Read the firms’ white papers, keep up with the news, and ask yourself logically if this new cryptocurrency will satisfy demand. Will it be useful? If so, it may be an excellent investment.
Keep in mind that the new cryptocurrency’s price may remain low for some time after its debut, even if it appears to be a very promising coin. This is frequently due to people failing to see it or failing to pay attention to what it accomplishes or serves.
The most usual scenario is that once a few people recognize a new and attractive currency, things snowball and the coin’s price begins to rocket.
Another sort of cryptocurrency that you may come across is stagnant cryptocurrencies. These cryptocurrencies have often been in the market for a long time, yet their price does not appear to vary at all.
This might be because of a variety of factors. It depends on how you want to examine it – some circumstances may include corporate influence, while others may make up for a simple lack of interest or a brief stop in trade.
This is a challenging form of cryptocurrency in that the lack of price volatility may be both a positive and a bad thing. On the one hand, you could be relieved that the coin’s value isn’t dropping. We might interpret it as evidence that cryptocurrency still has value and use, even if they do it correctly.
However, the stagnation of a cryptocurrency might show that the creators are gradually abandoning the project and do not intend to grow or extend the network that the coin is based on any further than they already have. This results in a slow but consistent loss of interest by the user, resulting in the cryptocurrency’s slow demise.
If you come across such penny coins on an internet penny cryptocurrency list, carefully read the news around that coin. In the long term, you may avoid a bullet by doing so.
Doesn’t it appear self-explanatory at first glance? If the price of a cryptocurrency falls, that must signal that the coin is dying, right? Not always, of course.
In December 2017, the bitcoin market fell. Until that moment, cryptocurrencies had been gradually climbing in price since the summer of the same year – Bitcoin, for example, had nearly exceeded the $20,000 barrier.
Following the initial halt of growing prices and the abrupt reversal in direction, the crypto market fell permanently in January 2018 – practically every single cryptocurrency witnessed a significant deflation of price and market value.
As a result, it’s nearly hard to assert that “if a cryptocurrency’s price falls, it implies it’s doomed.” The market has recently stabilized, and many cryptocurrency gurus predict big things to come. I suppose we’ll have to wait and see.
This gets much more difficult when investing in tiny cryptocurrencies. Before investing in such a currency, you would need to conduct an extensive study. However, simply reading a penny cryptocurrency list will not suffice – you will need to have gained enough research about the coin to forecast when it will stop collapsing in price, to determine the optimal timing for putting an investment.
Naturally, there are several more sorts of cryptocurrencies that may fall into other categories (tokens, coins that are rising at price, etc.). However, these three categories should cover most of the major penny cryptocurrencies you’ll come across.
Without further ado, let’s dive into the penny cryptocurrency list and discuss some of the most famous penny cryptocurrencies available.
Ripple is undoubtedly the most well-known and respected penny cryptocurrency in this lesson. Even though “Ripple” is the firm that generated the coin (the coin itself is “XRP”), everyone has become so accustomed to calling the coin Ripple that I’ll do the same for clarity.
Ripple distinguishes itself from the cryptocurrency crowd by being the first centralized cryptocurrency to reach the top of the market. At its height, Ripple had risen to second place in the market and was going to become “the Bitcoin killer” soon. That, however, did not occur.
Ripple is popular for a variety of reasons. Some of the most important ones include speed (when compared to Bitcoin), scarcity, lifespan, the team behind the coin’s development, fluidity, the fact that many banks and governments accept it throughout the world, and so on.
Ripple is one of the finest penny cryptocurrencies to invest in if you are new to the financial industry. Most penny cryptocurrency lists you’ll see online mention Ripple as the most popular penny cryptocurrency in the world.
Cardano is a tremendously ambitious project managed by some of the world’s most skilled cryptocurrency specialists. It seeks to increase crypto scalability, speed up transactions, and alter the way cryptocurrencies function.
Despite being one of the market’s less-discussed currencies, Cardano (ADA) is one of the most promising projects by many experts and crypto fans.
The Proof-of-Stake algorithm is part of Cardano’s platforms. This means you can’t MINE Cardano; instead, you may stake your coins and verify other Cardano holders’ transactions on the network. You will earn a portion of the money based on the number of ADA coins you staked.
Cardano appears to have a bright future ahead of it, and no penny cryptocurrency list would be complete without including it as one coin that people should pay close attention to.
Qlink is a one-of-a-kind entry on this list. It is the first decentralized mobile network service in the world. The company’s founders intend to brush old-school mobile networking under the rug by creating a new peer-to-peer approach.
One of the most common ways for consumers to earn QCL tokens is to share their Wi-Fi with other Qlink members for them to use the service. The firm has also added decentralized SMS messages to its platform; if you have numerous unused SMSs, you can simply sell them for a profit.
The Qlink corporation, being the first of its type, encountered several challenging obstacles that stymied the progress of its product. They are, however, slowly but steadily progressing – the project is always being worked on.
Simply because this service is so valuable to a wide range of individuals all over the world, the currency remains quite promising – if you’re seeking solid investments in penny cryptocurrencies, certainly give Qlink a try.
Penny Cryptocurrencies: Conclusion
People may wish to locate the finest penny cryptocurrency for a variety of reasons. Some have been following the evolution of cryptocurrencies from its birth, while others just don’t have a lot of money to invest in cryptos, and coins worth less than a dollar appear to be a good place to start.
Whatever the rationale, an increasing number of people are hunting for lesser-known, yet-to-bloom cryptocurrencies in the present market.
If you’re looking for the finest penny cryptocurrency, remember the crypto market is quite volatile. Prices can vary, sometimes for no apparent reason. You can reduce the “surprise element” by conducting further study and delving deeper, but this will not affect the conclusion.
We hope you found this “Penny Cryptocurrencies” guide informative and that you’ll use what you’ve learned while looking for the greatest penny cryptocurrency available. But keep in mind that investing may be a risky business. Before investing any money in cryptocurrencies, always talk with a specialist.