The entire crypto coin market has taken off in recent years and widespread adoption is happening on a larger scale today, than ever before. Bitcoin was the first and most well-known cryptocurrency that most people have heard about by now. But there are many other decentralized block chains that offer higher transactions per second, (TPS) than Bitcoin, and offer Defi, the emerging technology that is growing exponentially.
The Defi universe runs mostly on Ethereum (ETH), the second largest crypto coin by total market cap. However, Ethereum and Bitcoin validate transactions using the Proof of Stake method, that takes longer, and uses lots of energy to do so.
New layer one block chains have been giving Ethereum a run for its money, and they are also growing at ridiculous rates.
What Are Block Chains?
Blockchains are decentralized technologies that were first introduced by Bitcoin back in 2009. Decentralized block chains use an open ledger, which is public, for the most transparent transactions possible. The entire block chain is hack proof because the public ledger simultaneously updates on thousands of different computers on the network.
What is Defi?
Decentralized Finance or Defi is the largest growing sector of crypto in 2021 and will no doubt continue to be throughout 2022. The growing ecosystem consists of decentralized exchanges where you can buy and sell crypto, NFT marketplaces, decentralized wallets for storing crypto, and immersive games like Decentraland, where you can explore the newly created, and growing digital world.
Within Decentraland and other games like it, you can own digital real estate, offer digital advertising for your services, or products, and much more.
What Are NFTs
Within Defi are NFTs, another super popular way to invest in crypto. NFTs are digital images that are minted/recorded on a decentralized blockchain forever, making ownership easy and verifiable. NFT stands for non-fungible token, meaning that it’s the only one like it around.
What are The Best Layer One, Decentralized Blockchains?
Avalanche (AVAX) – There is no doubt that Avalanche is going to be one of the most popular decentralized blockchains in 2022. They already host several decentralized exchanges like The X Chain and others. Plus, with 70,000 TPS they are one of the fastest blockchains in existence boasting settlements within a fraction of one second. Not to mention the fees are cheap and basically cost pennies for buying and selling on Avalanche.
Solana (SOL) – Another lighting fast decentralized blockchain with cheap transaction fees is Solana (SOL). This chain is already very popular because of its speed. Solana hosts an array of Defi projects including a decentralized exchange, NFT Marketplace and more. With the addition of Fantom Wallet the Solana network is secure and private. SOL, the token that powers the Solana blockchain had an amazing price rally, during the bull market in late 2021. Now, in 2022, Solana looks to be a clear front runner to take a huge amount of market share from Ethereum, and new Defi projects that go straight to Solana.
Cardano (ADA) – Again, Cardana is a popular layer one decentralized blockchain that is growing, slowly. However, the developers that created Cardano planned to grow the chain slower than competing chains to try and avoid any technical issues. So far Cardano hasn’t grown as fast as other chains, but they recently launched Sunday Swap a decentralized exchange. Unfortunately, the grand opening of Sunday Swap didn’t go well, and many orders got stuck in the que for hours, or even days until they were filled.
Even with all of that, the team behind Cardano makes the claims that the network will be one of the fastest, and cheapest chains in the future. ADA coin holders are also known as the Cardano army, and most are die hard believers, and fans.
Conclusion to This All!
The future of crypto looks bright and many people are entering the space now. With millions of users, and billions of dollars pouring in, its no wonder there are more high speed, decentralized blockchains, competing with Ethereum, for a piece of the Defi universe. Big names like META, formerly Facebook, and large gaming platforms, the future of crypto is here to stay. Anyone can participate in the digital revolution by interacting with each of the chains listed, or the hundreds more being created and launched every year.