Which cryptocurrency to invest in in 2022: TOP assets for an investor’s portfolio

Investing in cryptocurrencies 2021
Imagine that right this minute you have made the final decision to start investing in cryptocurrencies with an eye to significant profits and you have a conditional $1,000.

What cryptocurrency will you buy? Or maybe you’ll create a portfolio of coins right away? And most importantly, how are you going to take into account the risks, because the option came to the market and lost all the money - no one canceled it?

Today in the article we will tell you how to buy $1,000 on the crypto market right now, taking into account the current situation and your experience.

Please note that this is not financial advice and what we share is a personal point of view that is subjective and therefore subject to error.

But we will try to explain in detail why we chose these particular cryptocurrencies and allocated certain shares to Bitcoin and altcoins. We hope this logic will help you make your own decision.

• BTC
• ETH
• Exchange tokens
• SOL, DOT, ADA
• XRP, XLM, LTC, BCH

Why is this relevant?

Investing money in cryptocurrency has long been a classic tool for preserving and increasing capital. This is due to the following advantages:

1. Deeper penetration into the financial systems of many countries.
2. Increased attention from large companies.
3. Possibility of mining or passive income from staking.
4. Diversity of earnings in the short, medium and long term.
5. Application for smart contracts.
6. Increased attention from the media, which creates additional interest in cryptocurrencies.
7. Protection against inflation due to low interest rates.
8. High volatility, which attracts investors and allows you to make quick money.

The benefits of cryptocurrencies themselves, such as privacy, fast transactions and low fees, cannot be ruled out.

Where to begin

Before investing in cryptocurrency, you need to register on one of the exchange platforms. The most popular sites include Binance, KuCoin, Huobi, Bitfinex and others. The choice is huge, so focus on the availability of the virtual coin you are interested in, reliability, reputation and working conditions.

The registration process in all cases is almost identical and takes up to 5-10 minutes. Subsequently, you must undergo verification and confirm your identity. This is necessary to withdraw money to a bank card or e-wallet. If operations are carried out only with the participation of virtual coins and using cryptocurrency storage, identification is not required.

The second point is a wallet for storing cryptocurrency. Money can be kept on the balance sheet of the exchange and immediately operate with money. But this is risky, so it is better to use special programs/services. For example, Coinbase, Blockchain and others are suitable for Bitcoin. You can use multi-currency wallets that are suitable for many virtual coins. Among the most popular are Exodus, Jaxx and others.

Buying crypto on Binance: step-by-step conversion instructions

Top cryptocurrency is purchased on Binance (official website) in two ways: through the exchange and P2P. For beginners, I recommend a method of exchanging fiat money (rubles, dollars, euros and others) for crypto through a broker:

1. Open the “ Buy cryptocurrency ” menu, go to “ Top up balance ” (but first you need to).

2. If you didn’t add the card immediately after registration, then enter its data and top it up.

3. Go to the “Markets” > “Spot Markets” > “FIAT” tab and select the deposit currency. For me it's euro.

4. In the own line of the selected cryptocurrency, click “Trade”. On the page that opens, find the “Spot” section and enter the number of tokens to be purchased.

Done: real cryptocurrency, amenable to analytics, has been purchased.

Security: Binance has been operating in the cryptocurrency market for a long time and ensures maximum security for traders-investors and their financial assets. You need to know about long and short on binance.

TOP best cryptocurrencies to invest in 2022

Wallets, exchanges and methods of buying/selling are separate topics that we will not dwell on in more detail. Let's pay attention to cryptocurrencies that are the most interesting from an investment perspective. The TOP for 2022 includes the following assets.

Bitcoin

Bitcoin cryptocurrency appeared more than 12 years ago and is still considered the best solution for investors. This is the most secure tool among all existing options. Bitcoin occupies a leading position in capitalization with an indicator of $934 billion and has a price of about $50,000 per 1 BTC. According to analysts, the price of Bitcoin will continue to rise and should reach $100,000 by the end of 2022.

Advantages of Bitcoin for investing:

1. High growth prospects.
2. No risk of inflation due to limited emissions.
3. Popularity and high demand among large investors.
4. Transparency and honesty of transactions.
5. No intermediaries or restrictions on transactions.
6. Dynamic development and volatility in the market.
7. Profitability of cryptocurrency.

Flaws:

1. Banned in some countries.
2. Risk of rapid price decline in the short term.
3. Conditional confidentiality.
4. High rate, which limits the capabilities of beginners.
5. Regular emergence of new competitors with better characteristics.
6. Scalability problems and rising fees.

Investing in Bitcoin in 2022 is the best option for conservative investors looking to make a profit in the long term. When buying such a cryptocurrency, you need to act with a “cool” head and not sell coins at the slightest market fluctuations.

Ethereum

Ethereum coin is a younger, but no less popular cryptocurrency. Its advantages are constant development, improved characteristics, expanded capabilities and popularity. At the time of writing this review, ETH’s capitalization is at $498 billion, and for one 1 ETH you will have to pay at least $4,200.

The prospect of investing in Ethereum in 2022 is due to a complete transition to PoS, which could become an impetus for increased interest from the cryptocurrency community and price growth. Ethereum has been in second place after Bitcoin for many years and is considered one of its main successors.

Transition to version 2.0. opens up new advantages for investing in Ethereum:

1. Refusal of classic mining in favor of staking (passive income).
2. Accelerated transaction confirmation - up to 16 seconds.
3. Simple and accessible code.
4. Reliable registry for storing data.
5. Secure transactions using smart contracts.
6. Small commissions.
7. Increasing demand for Ethereum in the market.
8. Constant modernization of technology, increased attention from developers.

Minuses:

1. The risk of Ethereum being recognized as a security after the transition to version 2.0.
2. Lack of a clear understanding of how the cryptocurrency community will react to changes.
3. For passive storage, a minimum of 32 ETH is required.
4. The process of withdrawing cryptocurrency after the transition will take 18 hours, which will not allow you to quickly get rid of investments in the event of a sharp drop in price.

Investing in Ethereum is one of the trends for 2022. The excitement is due to the future transition to PoS, but it is difficult to predict the market reaction. Updating the protocol can lead to both a sharp increase in price and a decrease in price. But, in general, it is unlikely that it will be possible to shake the stability of Ethereum.

Binance Coin

The Binance Coin cryptocurrency appeared in 2022 and was created to support the operation of the exchange of the same name. The developers immediately announced a limited issue, which became an additional incentive for the promotion of the cryptocurrency. During the ICO stage, more than 200 million BNB coins were created, 50% of which were sent to public sale, and 10% fell into the hands of investors. At the time of writing this review, Binance Coin ranks third in terms of capitalization with an indicator of $95 billion and a rate of $572 per 1 BNB.

The advantages of investing in Binance Coin are due to the following advantages:

1. Opportunity to save 25% on all Binance platform fees.
2. Receiving 4% commission in the form of bonuses.
3. Additional passive income through staking.
4. High probability of price increase in the future.
5. Access to cryptocurrency loans.
6. High liquidity and security.
7. Development of the project and improvement of functionality.
8. Convenient conversion to other cryptocurrencies.

Flaws:

1. High volatility, which often scares away large investors.
2. Problems in the USA related to the Ministry of Justice and the Tax Service of the country.
3. Application of BNB on the Darknet.
4. Dependence on the exchange.

Investing in Binance Coin in 2022 is a good decision given the recent successes of the cryptocurrency. Despite a number of risks, many investors add BNB to their portfolio in anticipation of future price growth.

Litecoin

If you ignore the loss of a few positions, Litecoin is still one of the best investments. Unlike Bitcoin, LTC is more convenient to use and allows transactions four times faster. The speed of operations can be compared to receiving/sending messages in modern instant messengers. Today, Litecoin is in 18th place in terms of capitalization with an indicator of $11 billion and a price of $161 per LTC.

With the exception of the last months of 2022, Litecoin has shown good stability, and the current price decline can be used to invest in cryptocurrency. The advantages of coins include:

1. Open source code and the ability to make changes to the protocol.
2. The speed of transactions mentioned above.
3. Scalability and the ability to conduct up to 56 transactions per second.
4. Coin optimization.
5. Simple mining.
6. Availability on almost all cryptocurrency exchanges.
7. Reliable development team.

Before investing in Litecoin, you need to take into account a number of weaknesses:

1. Decreased user trust.
2. Application activity on the Dark Web, which is often an obstacle for large investors.
3. Serious competition from other cryptocurrencies.

An investment in Litecoin in 2022 should be considered as one of the components of a cryptocurrency portfolio. The LTC coin has been a little forgotten, but it can explode in popularity and price at any moment.

Solana

It is rightfully considered the main competitor of Ethereum. From the moment of its appearance until the capitalization reached 42 billion, only 1.5 years passed. Against this background, many began to call Solana the “Ethereum killer”, due to its better characteristics and development prospects.

Unlike ETH, which is only aiming for PoS, SOL is already running on this protocol. In addition, the new cryptocurrency has simpler rules for receiving rewards, low energy consumption for transactions, improved security and scalability. At the end of 2021, Solana is in fifth place in terms of capitalization with $61 billion, and the cost of one SOL coin is $200.

Experts highlight several reasons why it is worth investing in SOL:

1. The likelihood of an increase in the exchange rate price in the near future.
2. Support from major investors.
3. Powerful ecosystem with over 400 DApps.
4. Possibility of receiving additional rewards through betting.
5. Constantly improving performance in terms of scalability, speed and availability of transactions.
6. Stability and attraction of large investors.
7. Possibility of automatic trading using bots.

But there are also weaknesses:

1. “Tarnished” reputation due to a 6-hour downtime of transactions at the end of 2022.
2. Relevant mainly in a narrow circle.
3. Limited availability on smaller exchanges.

Investments in Solano are a promising direction aimed at generating income as early as 2022. According to analysts, the cost of SOL in the near future may increase by 20-30%, which attracts the interest of investors.

Ripple

The XRP cryptocurrency is a dynamically developing project that focuses on cooperation with large companies and shows exchange rate stability over a long period of time. Ripple has rightfully been in the TOP 10 by capitalization for several years now, which indicates its reliability and is a good signal for investors.

The development team is actively involved in the product and makes efforts to develop it. Today, the platform’s capabilities are used by banks in South Korea and Japan, and its reliability during the crisis in the spring was evidence of its reliability. At the time of writing this review, Ripple is in eighth place in terms of capitalization with $39 billion, and its price is $0.83 per coin.

The advantages of investing in Ripple include:

1. Availability on all cryptocurrency platforms.
2. Safety of use.
3. Positive dynamics of price growth in 2021, which indicates future prospects.
4. Expanding the operational capabilities of XRP.
5. The uniqueness of the technology, which is more than just a cryptocurrency.

But there are also disadvantages:

1. New coins will no longer be issued.
2. There is no decentralization in the Ripple cryptocurrency network.
3. Great competition with SWIFT.
4. Having more than 30% of XRP in the hands of the owner.

Buying Ripple in 2022 is a decision for the average investor's investment portfolio. Investing in this coin is unlikely to bring immediate profit, but it does keep you hopeful that the price will rise in the long term.

Terra

The Terra (Luna) cryptocurrency literally burst onto the cryptocurrency market in 2018, and today is in the TOP 10 best virtual coins for investment. This is a universal system, the developers of which managed to “kill” many of the shortcomings of competitors in matters of scalability, centralization and exchange rate instability.

The main innovations of the coin include automatic balance of the number of stablecoins taking into account demand, the presence of the LUNA token to balance the rate and stability. At the end of 2021, the coin is in ninth place with an indicator of $28 billion and a rate of $73 per coin.

The advantages of Terra from an investment perspective include:

1. Originality of the project.
2. Good forecasts for further price growth.
3. Cooperation with large companies.
4. Listing of the token on the largest exchange platforms.
5. Increasing popularity of cryptocurrencies.
6. Support for mining and cryptocurrency pools.

But Terra also has a number of disadvantages:

1. Youth, which does not allow one to draw conclusions about the further movement of cryptocurrency.
2. Targeting residents of Asian countries.
3. High competition in the market.
4. Risk of price reduction due to pressure from competitors.

Terra is a promising project that is focused on stability and opens up great opportunities for growth. The ecosystem is characterized by good scalability and increasing popularity. Already in 2022, the value of cryptocurrency may increase significantly, which will play into the hands of large investors.

NEM (XEM)

The New Economy Movement is Asia's answer to Ripple, with a few differences. Unlike XRP, which does not require mining, XEM uses a proof-of-importance (POI) algorithm. Any user who has at least 10,000 XEM in their account can participate in mining the NEM cryptocurrency. At the same time, not only the wallet balance is taken into account, but also the number of completed transactions. Such a system is considered more fair and innovative.

NEM blockchain software is used on the open blockchain network Mainet and the commercial blockchain network Mijin, which is being tested by financial institutions and private companies in Japan. NEM's first client was the largest Japanese trust bank SBI Sumishin Net Bank. NEM has strong connections with Dragonfly Fintech and Tech Bureau. Both companies have integrated NEM code into their projects. The same people participated and are participating in the development of NEM and Mijin.

Mijin was tested for 3 months by the NRI research group and showed its best performance, meeting all the hopes of its creators. 2.5 million accounts were involved in the verification, and almost the same number of transactions were carried out per day. With such a busy schedule, the network withstood the load, proved its security, did not succumb to any external influences and did not make mistakes. Mijin guarantees privacy, KYC procedure, and transactions are carried out at very high speed. Such a high result forced a number of financial organizations to take a closer look at the network.

Fundamental analysis shows that this cryptocurrency has good prospects, it is developing, and many new and interesting things are expected.

What other cryptocurrency can you invest in in 2022?

In addition to the coins discussed above, the following should be included in the promising category:

1. Chainlink is a virtual coin ranked 21st in terms of capitalization with $9.4 billion. It is considered one of the best in terms of payback. Despite the temporary price reduction in December 2021, experts unanimously speak about the potential for next year.
2. Cardano is one of the fastest blockchain assets in the cryptocurrency market. The platform focuses on smart contracts, decentralized applications and secure payments. At the end of 2021, cryptocurrency is in sixth place in terms of capitalization with $46 billion. ADA is fully compatible with other cryptocurrencies, has a low commission and high transaction speed. Has excellent chances of price growth.
3. Teher is a cryptocurrency created on the basis of Ethereum, which is pegged to the dollar exchange rate. Essentially, it is a stablecoin that is invested in to preserve an investment portfolio during periods of high market volatility. In terms of capitalization, the coin is in fourth position with $75 billion.
4. Polkadot is a relatively new project that has quickly gained popularity. It runs on open source code and allows you to transfer data via the blockchain. The DOT coin stands out for its good scalability, fast transactions, and ample opportunities for price growth. It ranks 10th in terms of capitalization ($28.4 billion).
5. Dogecoin , a cryptocurrency that was created as a joke, has been in the TOP 20 best virtual coins for many years. It stands out for its simple transaction mechanism and low price.

For investing in 2022, you can choose other cryptocurrencies - EOS, TRON, Dash, Monero, etc. Each coin is individual in its own way, which requires a special approach.

Exchange tokens

Binance Coin We
consider exchange tokens, namely Binance Coin, FTX Token, Huobi Token, KuCoin Token and OKB from Okex to be an undervalued niche at the moment and therefore since we have five coins, we would give $40 to each of these projects, or 4% of the portfolio.

We are aware that regulators are putting pressure on crypto exchanges; they are forced to restrict users and force them to undergo verification, as well as leak client data to the tax office. This is why the transition to decentralized trading platforms is now one of the trends in the market.

But the fact is that regulators will also get to DeFi services, if not tomorrow, then the day after tomorrow. But cryptocurrency exchanges, in our personal understanding, will eventually be able to come to an agreement with the authorities and become legalized, which will provide them with an even greater influx of clients. At the same time, we have examples with the same Binance Smart Chain, when you get access to DeFi through a virtually centralized platform. And something tells us that this is exactly the kind of DeFi that regulators will like.

Let’s add that if for BNB with a position in the TOP-3 cryptocurrencies by capitalization you can count on a profit from 100% to 300%, then the rest of the exchange tokens from this list are capable of making 500%, 1000%, and maybe even more percent , this will depend on the market and the efforts of the trading platforms themselves.

How to choose a cryptocurrency for investment

When looking for a virtual coin for your investment portfolio, pay attention to the following nuances:

1. Development team.
2. Functions and relevance of the project.
3. Reliability of program code.
4. Support by exchanges and wallets.
5. Possibility of mining (if necessary).
6. High capitalization.

When choosing a cryptocurrency to invest in, you should not buy just one coin. It is important to diversify your portfolio and fill it with assets of different quality. For example, 30% can be invested in Bitcoin or Ethereum, 30% in Terra and Ripple, 30% in stablecoins and 10% in promising tokens.

Listing on Binance

In order for a cryptocurrency to be purchased or sold, it must be added to the exchange lists - such an addition is called listing.

During the process, the quality of the coin is also checked: its reliability, degree of development and usefulness. This helps filter out unreliable tokens and allow quality projects to proceed.

These indicators are not controlled everywhere: small platforms try to take quantity, not quality.

Current calendar

The exact opening date for coin trading is announced 24 hours in advance on the “Announcements” page in the Binance support center. However, the approximate time, down to the second of publication, is announced on other sites. The largest are CoinMarketCal (a side project of CoinMarketCap) and Coindar (including crypto-related news).

New listings

The last coins were added to Binance on October 15, but there are no messages about new releases. I advise you to regularly check the announcements section - the information there is updated every day at a certain time.

Pros and cons of investing in cryptocurrency

Today, there are more and more investors who are ready to invest in virtual coins. This is due to the following advantages:

1. Small threshold for entry. To invest in cryptocurrencies, a few dollars are enough.
2. Potentially high profitability. Due to high volatility, the price of cryptocurrency can increase by 30-60% within a year.
3. Good liquidity. Cryptocurrency is easy to buy and sell due to high demand.
4. Pandemic situation. The current problems with coronavirus have played into the hands of cryptocurrencies, which look more reliable than fiat money.

Investing in virtual tokens also has its risks:

1. The likelihood of hacker attacks on exchanges with subsequent loss of funds.
2. The risk of cryptocurrency being banned by one country or another.
3. High volatility of cryptocurrency exchanges.
4. Unpredictability of the exchange rate, which depends only on supply and demand.

Carillonium Finance (KAROM)

Carillonium Finance (CAROM) is a community-governed token on the Binance smart chain that aims to be more deflationary. Carillonium charges a 7% transaction tax, 5% goes to liquidity, and the remaining 2% goes to CAROM holders. Carom stakers can also receive BUSD as a reward from Carillonium.

Additionally, its wallet is known as the Carillonium Finance wallet. This is a digital application where you can store/store your Carillonium finances without any hesitation because it is very secure. Technically it's like a bank. Once the currency is deposited into the bank, the app displays the amount you have deposited into the account.

CAROM/USDT price chart

According to CoinGecko, CAROM's current trading price is less than $0.000000000004 with a 24-hour trading volume of $821.53. Additionally, Carillonium's funding fell by 15.18% in the last 24 hours. If investors consider this token to be a good investment, then there is a chance that the trend could reverse and lead to profit. The token has a high probability of reaching a new ATH this year. So, if investors are confident that this token will generate profits, they could have a chance to become a billionaire by 2022.

Results

Investing in cryptocurrency does not guarantee 100% profit and requires a responsible approach. When choosing an investment object, it is important to determine your needs, understand the prospects of the instrument, study its pros and cons, and read expert comments. It is necessary to understand that the purchase of cryptocurrency is usually focused on the long term. Real income can only come in 1-2 years or more. If you need quick money, then you need to focus on trading. But that's a completely different story.

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