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7 Smart Contract Cryptos to Watch in 2022

7 Smart Contract Cryptos to Watch in 2022
Written by publisher team

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Are these programmable cryptocurrencies on your watchlist?

the main points

  • Smart contract cryptography is critical to the industry, as it is the basis for many other tokens.
  • Ethereum will need a successful and timely upgrade to Eth2 to maintain dominance.

2022 is likely to be another significant year for cryptocurrencies with smart contracts. Smart contracts are small pieces of self-executing code that live on the blockchain, making it possible to develop applications. And all the big trends of the year — from meta tokens and games to decentralized finance (DeFi) and web3 applications — will be built on smart contract platforms.

There are many smart contract cryptocurrencies out there, all vying for the interest of developers and major projects. It is not yet clear which cryptocurrency will appear in this blockchain battle. There are a lot of contenders and a major technical issue or security flaw could knock any of them out of the race. Plus, as we’ve seen with Solana this year, there’s always an opportunity for a new cryptocurrency to arrive and overtake them all.

However, here are seven crypto smart contracts that should be on your radar in 2022.

1. Ethereum (ETH)

Ethereum has an important year ahead of it. It is set to complete its upgrade to Eth2, which will make it faster and reduce gas fees. Currently, network congestion and high fees are driving developers and investors alike to look for alternatives to Ethereum.

The challenge is that this is a phased upgrade, and as a recent note from JP Morgan pointed out, a full turnaround may not take place until 2023. This would give other networks a big window to capture a larger market share. Currently, Ethereum still hosts the lion’s share of applications and is second only to Bitcoin (BTC) in terms of market capitalization.

2. Sunshine (Sun)

Solana is one of the best performing cryptocurrencies in 2021. In terms of market capitalization, it jumped from 120th place at the beginning of 2021 to 5th place by the end of the year with a price increase of more than 11,000%.

Solana is one of the fastest growing cryptocurrencies out there. It can process about 50,000 to 65,000 transactions per second (TPS), compared to Ethereum’s 15 to 45 TPS. The average transaction cost is 0.00025 according to their website. It has more than 1,000 projects in its ecosystem.

3. Cardano (ADA)

It often seems as if Cardano is running a different race than other cryptocurrencies. It takes a slow and steady approach to development, preferring peer review and extensive testing before introducing new functionality. As a result, it only launched smart contracts in September. Until then, Cardano was criticized on social media with critics saying he did not deliver on everything he promised.

Charles Hoskinson, founder of Cardano, says there are more than 100 projects under development in its ecosystem, with 20 or 30 projects ready to go live in the first quarter of 2022. This will be Cardano’s chance to prove critics wrong and demonstrate the resilience of his ecosystem. .

4. Avalanche (Afax)

To understand what makes an avalanche prominent, we need to think about something called “the end.” Without going too deep into the technology, there is a difference between processing a transaction quickly and in reality Finalize That deal. It’s a bit like making a credit card payment that’s accepted by the retailer, but then it’s listed as pending in your account for a few days until the entire transaction is actually completed.

Avalanche says it’s the fastest end-to-end smart contract platform, beating even Solana. It uses three different blockchains on its system to achieve this, while also keeping the fees low and ensuring that the platform is scalable. According to DeFi Llama, the avalanche currently has more total value locked onto its platform than Solana.

5. Cosmos (Atom)

Cosmos calls itself the “Blockchain Internet.” Cosmos focuses on interoperability – ensuring that different blockchains can talk to each other. As people start using many different smart contract networks, interoperability becomes even more important. Rather than having individual silos that cannot work together, Cosmos’ vision is an ecosystem of blockchains that communicate with each other.

6. Algorand (something)

Algorand focuses on the financial industry, and its site highlights a number of DeFi projects that use its ecosystem. For example, Algorand has positioned itself as the go-to for central bank digital currencies (CBDCs). Several countries are considering launching their own CBDCs, including the United States. This could be an important place for ALGO.

In addition, Koibanx, a Latin American crypto integration platform, is using Algorand technology to develop the blockchain in El Salvador, the first country to adopt Bitcoin as a legal currency.

7. Elrond (EGLD)

It’s early days for the Elrond Network, but since all of the above coins are in the top 25 cryptocurrencies by market cap, I wanted to include one at the bottom of the list. Elrond can process 15,000 transactions per second, which is not quite as fast as Solana but is a huge improvement over Ethereum. It aims to be developer friendly by working in many different languages ​​and boasting a secure and scalable platform.

Be as smart as the smart contracts you watch

The above coins are available from many cryptocurrency exchange platforms. One thing to keep in mind is that the winning race is unlikely to take it all; There is a good chance that many crypto smart contracts will end up in the future. And as an investor, you don’t have to put all your eggs in one basket. You can buy various programmable cryptocurrencies as part of a diversified portfolio.

Looking at Solana’s price increase of 11,000% in 2021, it is understandable that people want to find the next Solana – or the next Ethereum. But cryptocurrency prices can go down or up, and there are no guarantees of extraordinary gains. Make sure you understand the risks involved and only invest money you can afford to lose. That way, if the market crashes, you won’t lose the money you need to achieve other financial goals.

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publisher team