Five promising blockchains alongside Ethereum and Solana
Ethereum (ETH) has established itself as a platform for smart contracts over the years. The digital currency published by Vitalik Buterin is almost unchallenged as the second largest crypto currency. The market capitalization is over $ 500 billion. With Solana (SOL), another smart contract platform has recently been able to establish itself in the top five of the most valuable cryptocurrencies. The market capitalization is at a comparatively low 70 billion US dollars, but now significantly more people have Solana on their screen than last year.
In this article, we would like to go into five other blockchains that also have immense potential and are among the potential Ethereum killers.
Cardano is certainly one of the most popular projects in the entire cryptocurrency sector. This is due, among other things, to co-founder Charles Hoskinson (also co-founder of Ethereum), who regularly makes headlines with his statements on Twitter and YouTube. But Cardano also has great potential regardless of the marketing environment. In contrast to Ethereum, Cardano has been using the proof-of-stake process from the start and is therefore not associated with such high energy consumption. The associated algorithm is called Ouroboros by Cardano. What is special about Cardano, however, is that the team behind the project is particularly scientific.
With the so-called peer reviews, the team works out each concept extensively – sometimes over the years – before it is implemented. Cardano would like to create the perfect blockchain right from the start so as not to be dependent on costly upgrades like Ethereum later. Therefore, at first glance, Cardano is technically making much slower progress than the competition, but this can still result in a perfectly coordinated concept that can stand for very good scalability.
But the pressure on the development team behind Cardano is also increasing. Here it will depend on whether the team manages to make technical progress in time. This was most recently achieved with the Alonzo update on September 12, 2021. Since then, however, the ADA rate has fallen sharply, but the number of users is increasing.
Polkadot (DOT) – Blockchain Interoperability
Even Polkadot is close to Ethereum. This is due to co-founder Gavin Wood, who was also involved in the development of Ethereum. Polkadot offers completely new possibilities for decentralized applications.
So far, developers have always been dependent on the respective blockchain on which they program the smart contracts. It’s very inflexible. Polkadot is therefore going the way in addition to its own main blockchain, the relay chain, to offer other so-called parachains. A parachain is also a functional blockchain. The special thing is that the parachains can communicate with each other. This creates a bridge to interoperability between blockchains.
However, there are only a limited number of parachains. Therefore, these are auctioned in the so-called parachain auctions.
Avalanche is also a platform for dApps and smart contracts. The history of Avalanche co-founder Emin GĂĽn Sirer is particularly impressive. He had designed a crypto currency called Karma back in 2003, around five years before the Bitcoin whitepaper was published. Avalanche would like to solve the scalability problem of other projects with three blockchains. These are:
- Exchange Chain (X-Chain): Responsible for creating and trading avalanche assets.
- Contract Chain (C-Chain): Executes smart contracts; is EVM (Ethereum Virtual Machine) compatible.
- Platform chain (P-chain): Allows you to create Layer 1 and Layer 2 solutions.
So far, the associated crypto currency AVAX has also been able to prevail. Avalanche is currently the eleventh most valuable cryptocurrency.
Terra specializes in stablecoins. Well-known stablecoins are, for example, Tether (USDT) or the USD Coin (USDC). Stablecoins are digital currencies that are linked to conventional assets such as US dollars or gold. LUNA is a governance and staking token that powers the entire Terra network. He supports Terra’s stablecoins and payment processing systems.
In the last show, the crypto exchange crypto.com causes a sensation with the associated CRO token. Within a few weeks, the rate of the cryptocurrency had increased almost fivefold. The team behind the stock exchange goes through marketing. The stock exchange is making an ever bigger name for itself with sponsorship contracts in sports and gaming. This could also transfer to the crypto.com chain in the future. There is currently a lot to do here. The crypto.com chain could occupy a similarly important place as the current Binance chain from its competitor.
