The Cryptocurrency market has seen enormous growth in the last year and still has nearly unlimited potential. It is a threat to the current day financial system and is shaping up to revolutionize the way humans interact with currencies and securities.
Many individuals see this as a money-making opportunity, and damn well it sure is. Below I have chosen my first three picks for building a long-term cryptocurrency portfolio. That are both proven already and show massive potential for this growing market.
Ethereum (ETH)
Ethereum is a blockchain infrastructure for DAPPs, with Ether the token at the core of the system. It is the current leader in blockchain application frameworks and has thousands of tokens distributed using its platform, specifically ICOs.
This can sound complicated to the uninformed about blockchain. Basically, it’s effort is to be the mother of cryptocurrencies, streamlining the process of creating DAPPs (Decentralized Applications) and distributing its tokens.
Making Ethereum a good investment because as it creates an eco-system under its hood. The value of Ether (ETH) will go up. So, the more successful blockchain applications that launch and run on the Ethereum infrastructure, the more the value of Ether will increase.
Ripple (XRP)
Ripple is a payment infrastructure for international transfers for organizations such as banks, and investment firms. It greatly speeds up the time it takes for transactions to occur from days down to seconds.
At the heart of ripple is XRP, which is used as a liquidity tool. Which requires banks to have a high volume of coins, meaning demand for XRP will be in massive sums. In turn, making it worth more.
Many big banks are testing using Ripple products and XRP. This will cause XRP to be speculated at a higher value, but the real price increase will most likely be slow and gradual. This will happen when banks start utilizing XRP and require liquidity.
Ripple (the company) also has plans to move into P2P payments, you and me. Much like Bitcoin, Bitcoin Cash, Ether, ECT. We have yet to see where this takes XRP but we will find out soon.
EOS.IO (EOS)
EOS is a blockchain application infrastructure much like Ethereum but is focused on a more complete framework for blockchain applications that includes out of the box features such as authentication, backend management (databases), WebKit tools, and more.
In order for developers to use the EOS.IO blockchain, they need to hold EOS (the token). This allows them to claim the blockchain’s resources (proportional to what they hold). This increases demand for EOS, so again like in Ethers case. The more successful applications that utilize the EOS.IO blockchain the higher in value EOS becomes.