Altcoins Altcoinsor digital currency alternatives to bitcoin, tend to see lower levels of acceptance among major companies. It’s important to keep in mind, though, that a list of 54 companies is far from exhaustive. For this reason, it’s helpful to look to other resources to get a glimpse of where things stand.
UseBitcoin is a directory with entries for more than 5, businesses and retailers; nearly all of them accept bitcoin, but the large majority don’t accept other digital currencies.
What Is Altcoin?
Coinmap suggests that businesses in New York City currently accept bitcoin payments. Some of these work exclusively with bitcoin, even going so far as to house their own bitcoin ATMs. In the Czech Republic, Nguyen says, “we have been witnessing wider acceptance of cryptocurrencies. Places that have accepted bitcoin [in the past] started accepting litecoin or ethereum. As its place among the top ten cryptocurrency market caps suggests, Namecoin has remained one of the most successful altcoins throughout its short lifespan.
Should I Invest in Altcoins? Due to how recent cryptocurrency was invented and how rapidly the landscape changes, all cryptocurrency investments carry a great deal of risk. Even Bitcoin—by far the most stable cryptocurrency—exhibits price volatility on a regular basis. By comparison, however, altcoins are exponentially more volatile. Because they have such low market caps the total value of all coins combinedaltcoin markets are highly prone to price manipulation.
Once the price has risen considerably, the whales sell their coins on exchanges at a massive profit, hurting many gullible investors in the process. To avoid losing all your money in a pump and dump, focus on long-term investments in coins you believe have immense potential and exhibit overall health. Avoid the hype that coin communities propagate. Investors have an agenda, so you should not take their word at face value. Only invest in coins you have researched.
Making an ill-informed investment is the first step to losing your hard-earned money. Take the time to research the coins you are considering for long-term investments, and research day-trading before you attempt to become a high-volume, short-term trader.