Common Cryptocurrencies to Invest In If You Can Handle the Risk

Like any new investment, there will be survivors and ones that fail. Dot-com era investors probably remember all the search engine startups and many that no longer exist.

So, which cryptocurrencies should you invest in, and which should you avoid? First, we will discuss what a cryptocurrency is and its risks.

What is Cryptocurrency?

Cryptocurrencies are digital money or virtual currency. It is a digital asset stored on a network of distributed computers.

Risk of Investing in Cryptocurrencies

Like any investable asset, there exist risks to an investor. Early on, cryptocurrencies had a reputation for being used in criminal activities.

3 Cryptocurrencies to Invest In

The value of Bitcoin is perceived like gold. It is viewed as a store of value because investors think it has value, much like a fiat currency.

1. Bitcoin

2. Ethereum

There are roughly 119 million Ethereum in circulation, and thus the total market capitalization is more than $370 billion. Unlike Bitcoin, the number of Ethereum is potentially unlimited.

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