Crypto Tokens Uncovered
Understanding the Most Vital Change For Humanity in the Past 20 Years 🧬
“You should be taking this technology as seriously as you should have been taking the development of the Internet in the early 1990’s.“ – Blythe Masters, Founding Partner at Motive Partners
Cryptocurrency 101: A New Era in Finance
The Most Complete Description of The Crypto Market That We Could Compile While Keeping it Accessible 📊
Cryptocurrency is becoming a major force in the world of finance. In this article, we’ll explore the basic ideas and different types of cryptocurrencies that people use in everyday life. Not only are more people using cryptocurrencies, but even entire countries are getting involved. For example, El Salvador has decided to use Bitcoin as an official currency since 2021. Over the last 20 years, cryptocurrencies have brought one of the most significant changes to how we think about money and finance.
Right now, the total value of all cryptocurrencies is approx $2.34 trillion, and it has increased by 2.15% in the last 24 hours (on publication day). The value of cryptocurrencies can change a lot because they are quite volatile. Prices are influenced by constant buying and selling, along with important factors like how many coins are available and news that affects the market. However, looking ahead, it’s clear that both the growth of decentralized payments and the value of these assets will continue to rise.
To make it easier to understand how cryptocurrencies work, we’ll focus on two key terms: market capitalization and 24-hour trading volume.
Market Capitalization (Market Cap): This is the total value of a cryptocurrency. It’s calculated by multiplying the current price of the cryptocurrency by how many coins are currently in circulation (available in the market).
24-Hour Trading Volume: This refers to the total value of a cryptocurrency that was bought or sold in the last 24 hours. It shows how actively the cryptocurrency is being traded within a short period of time.
Here’s a look at how the top cryptocurrencies have been performing over the past 24 hours :
1
Bitcoin (BTC)
$ 1.25 T
$ 25.22 B
2
Ethereum (ETH)
$ 309.99 B
$ 13.69 B
3
Tether (USDT)
$ 119.23 B
$42.52 B
4
BNB (BNB)
$ 85.48 B
$ 856.14 M
5
Solana (SOL)
$ 69.48 B
$ 2.71 B
6
USDC (USDC)
$ 36.08 B
$ 6.18 B
7
XRP (XRP)
$ 33.00 B
$ 1.17 B
8
Lido Staked Ether (STETH)
$ 25.23 B
$ 32.87 M
9
Dogecoin (DOGE)
$ 15.87 B
$ 773.16 M
10
Toncoin (TON)
$ 14.50 B
$ 416.08 M
11
Cardano (ADA)
$ 13.59 B
$ 360.45 M
12
Tron (TRX)
$ 12.99 B
$ 310.07 M
Check Out These Interesting and Remarkable Facts About Top Cryptos:
Bitcoin's Rise From Pizzas to Global Dominance
BTC Market Cap is Larger Than All Other Tokens Combined 🔥
“Bitcoin is the beginning of something great: a currency without a government, something necessary and imperative.” - Nassim Taleb, Author & Options Trader
Bitcoin is the biggest and most famous cryptocurrency. It's often called "digital gold" because people trust it as a safe place to store value, which keeps it at the top of the market.
Bitcoin was the first cryptocurrency to launch, in 2009. Since then, its technology has never been compromised or subject to fraud. As long as it remains secure, it will continue to be the leading cryptocurrency. The reason is simple: in this case, the oldest equals the most reliable. This is how Bitcoin remains the driving force behind the entire cryptocurrency industry for 15 years now.
The first commercial Bitcoin transaction was used to purchase pizza. On May 22, 2010, a man in Florida paid 10,000 bitcoins (BTC) for two pizzas. At the time, 10,000 bitcoins were worth about $40, making one bitcoin worth a little less than half a cent. In September 2024, the same 10,000 Bitcoins would have a market value of over $632 million.
The total supply of Bitcoin is capped at 21 million coins, meaning cryptocurrency miners won't be able to create any more once this limit is reached. As of September 2024, about 19.75 million Bitcoins are in circulation, leaving just 1.25 million yet to be mined before reaching the maximum cap of 21 million.
Ethereum Powers the Future of Decentralization
The Power of Ethereum: Smart Contracts and dApps 🏆
Ethereum has been a game changer since the day it launched in 2013. The reason behind this is the introduction of a new level of blockchain interactions—smart contracts. This innovation took blockchain technology beyond Bitcoin, enabling the execution of logic and the storage of variables directly on the blockchain, keeping it transparent and consistent.
Ethereum is the second-largest cryptocurrency and the top platform for decentralized applications (dApps) and DeFi. It plays a key role in smart contracts, NFTs, and many decentralized systems, which is reflected in its large market value and high usage.
Bitcoin and Ethereum's Combined Market Cap is several times bigger than all other tokens together.
Stablecoins Have Made It to the Top 3
USDT Trading Volume Tops All Other Cryptos Combined 💪
Tether (USDT) is the most popular stablecoin, tied to the value of the US dollar, the idea in theory being that you can trade 1 Tether for 1 US dollar, regardless of market conditions. As a fiat-backed stablecoin, it's supported by traditional currencies like USD, EUR (Euro), MXN (Mexican Peso), or CNH (Offshore Chinese Yuan).
It’s important to highlight the main stablecoins, such as USDT, USDC, and BUSD. Tether is the top one, but there are other options too. Traders often use stablecoins to protect themselves from the ups and downs of other cryptocurrencies, which helps them trade more. Tether aims to be a safer digital asset that doesn’t change in value as much as Bitcoin, making it a safer option in the crypto space.
BNB: A Reliable Coin in the Market
Affordable Fees and a Smart Burn Mechanism 👩🚒
It offers low transaction fees, fast speeds, and is widely accepted. In 2021, Binance Coin (BNB) had a huge price jump, going from about $38 at the beginning of the year to over $680 in May.
BNB is considered both decentralized and centralized. It operates on the Binance Smart Chain, allowing anyone to help process transactions. At the same time, Binance, the company that created BNB, still has significant control over the chain’s development and key decisions. This gives BNB qualities of both a decentralized system and a centralized company.
Binance Coin has a burn mechanism in place, where Binance burns a portion of the BNB tokens in circulation every quarter, reducing the total supply and potentially increasing the value of each remaining token. BNB has a maximum supply of 200 million tokens.
With a maximum supply of 200 million tokens and a burning mechanism to reduce supply, Binance Coin (BNB) presents potential investment value and scarcity, driving its potential for increased value over time.
BNB is not a completely decentralized resource because it has 21 validators that help manage its blockchain. So far, everything has been fair with this setup, but it’s important to know that having just a few people in charge can affect how decentralized it really is.
This situation raises questions about how decisions are made and how transparent the process is. Therefore, it's good to keep these points in mind when thinking about BNB's place in the world of cryptocurrency.
TRON’s High-Speed Blockchain Advantage
A Promising Platform With Great Potential 🌱
TRON, with its progressive approach and constant evolution, is a unique cryptocurrency project. It integrates various technologies from other projects and combines them to work seamlessly together, making it stand out in the crypto space.
This network is gaining popularity because it focuses on decentralizing the way digital content is shared and processed, while offering low transaction fees. The blockchain network's ongoing development sets it apart from more static platforms like Bitcoin, which largely serves as a store of value, and Ethereum, which faces scalability challenges. TRON’s expansion into decentralized finance (DeFi) has also boosted its popularity.
Lastly, scalability is one of the main differences between Tron and other blockchains. Indeed, the network is able to process 2,000 transactions per second (TPS). This is a lot more than Bitcoin, with around 6 TPS, and Ethereum with approximately 25 TPS.
TON (The Open Network)
Scalable and Secure System to Leverage For 1b Users 🌐
Backed by Telegram, one of the largest messaging platforms in the world, and its founders personally, TON has risen quickly to the top, leveraging Telegram’s vast user base. The founders of the project are the Durov brothers, Pavel and Nikolai, who independently brought the project almost to the ready-to-launch stage.
Its quick ascent into the top ranks can be attributed to its strong technological infrastructure, emphasis on speed and scalability, and widespread support from a trusted platform. TON is designed to be highly scalable and capable of processing millions of transactions per second thanks to its unique multi-blockchain architecture.
TON Blockchain's time-to-finality is under 6 seconds. In comparison, Ethereum’s is 10-15 minutes and Solana’s is 6.4 seconds.
The TON ecosystem and Telegram are becoming increasingly attractive to blockchain developers.
The first coin on the TON blockchain that was listed on cryptocurrency exchanges was the NOT token. It appeared in the listings of several cryptocurrency exchanges on May 16, 2024. The next day, the token’s market capitalization reached $700 million.
The token was based on the Notcoin game, which was launched as an application in the Telegram messenger. The game quickly gained viral popularity. Thanks to successful marketing and support from Telegram’s management, the Notcoin game gathered more than 35 million players within four months. The in-game coins were converted into tokens.
Dogecoin's Performance
A Bet That Hit the Jackpot 🎰
The Only One Meme Coin in The Top. One of the hottest cryptocurrencies in 2021 was dogecoin (DOGE), as its market capitalization grew, in part due to support from Elon Musk. However, this cryptocurrency started out as a joke.
The idea was that there were so many coins out there, just being introduced. So the creators of dogecoin invented the cryptocurrency around the image of the surprised-looking Shiba Inu dog. This was a popular meme in 2013 when dogecoin was introduced.
This is a classic example of when the risk paid off, showing that in the world of crypto a bit of luck can go a long way.
Famous media personalities can greatly influence trends in cryptocurrency.
When a well-known figure promotes a specific coin, it often grabs attention and boosts its popularity. This media exposure might also encourage some to exploit the hype for personal gain.
Instead of focusing on catchy names and celebrity promotions, look at the technology and user numbers. Doing your research will help you make smarter choices in the crypto market.
Cardano and Solana
Exciting Projects We’re Considering For Future Integration 💡
They both show great potential and are worth keeping an eye on to build the next-generation blockchain infrastructure. Cardano stands out by taking a careful, research-based approach to development. Instead of rushing changes, it uses expert reviews to focus on quality and security in its technology. Solana is a high-performance blockchain, which is known for processing thousands of transactions per second. Each has significant potential in terms of scalability and real-world use cases, making them projects to watch for future collaboration.
These top cryptocurrencies showcase a mix of utility, stability, and popularity in the market.
Bitcoin and Ethereum dominate due to their established network effects and wide adoption, while stablecoins like Tether (USDT) and USDC attract high volume as they provide stability for traders in volatile markets. Newer entrants like Toncoin and Tron are gaining ground due to their focus on scalability, lower fees, and innovative blockchain technologies.
As we explore each position in the top rankings, it's clear that that there is no perfect cryptocurrency or solution. However, by combining and managing different options wisely, we can get closer to finding what works best for us. This idea is at the heart of Walletium, which helps users make informed choices and manage their assets effectively.
Walletium is designed to provide you with a safe and reliable crypto experience by supporting only the most trusted blockchain networks, which is why we do not accept altcoins.
We provide a powerful and unique tool that covers around 90% of all networks and tokens in the crypto world. It integrates the best, most reliable technologies, allowing you to easily store and manage all your cryptocurrencies in one place, so you can feel safe and confident with your digital assets.
Stablecoins
On a One-To-One Basis 🤝
“The US dollar is a great example of a fiat stablecoin, as it offers low volatility and so provides a reliable unit of money to invest in both the short term and the long term. However, the US dollar doesn’t give the user any form of control, as it is monitored by the Federal Reserve Bank and is dependent on the banking network in the US for commercial use. To get a combination of the two –full user control and reduced volatility –is an exciting prospect.”
― Ikuya Takashima, Ethereum: The Ultimate Guide to the World of Ethereum
Stablecoins, such as USDT, USDC, and BUSD, are like digital versions of the U.S. dollar on the blockchain. You can think of them as "Dollar Avatars" because they represent the value of a dollar in the world of cryptocurrency. These coins are used to make it easier to move between regular money (called fiat, like dollars) and cryptocurrency. This makes them a type of "financial intermediary," acting as a bridge between the crypto world and real-world money.
Why Are Stablecoins Important?
Keeping It Steady When Crypto Gets Wild 🌊
Stablecoins are important because they provide a stable value in a market where prices of other cryptocurrencies, like Bitcoin, can go up and down quickly. For example, if you want to sell your Bitcoin but still stay in the crypto market, you can trade it for a stablecoin like USDT, which holds its value close to $1.
This stability is also why USDT (Tether) has such high daily trading volumes—it’s widely used to buy and sell other cryptocurrencies, just like people use dollars to buy goods and services.
What Keeps Them Stable?
How Stablecoins Stay Rock Solid: Peek Behind the Curtain 🔍
Stablecoins are supposed to be backed by reserves, meaning for every stablecoin in circulation, there is an equivalent amount in U.S. dollars or other assets held by the company that issues the stablecoin. However, these reserves don’t always consist of just cash.
USDT (Tether) is backed by a mix of assets, including U.S. Treasury bills, cash, and other short-term investments. In the past, there was controversy because not all of its reserves were in cash. Today, Tether has improved its transparency, but it’s still considered a centralized asset because it is controlled by a single company.
USDC (USD Coin) is seen as more transparent and regulated. It is backed mainly by U.S. Treasuries and cash. USDC is considered safer by many people because it regularly publishes reports about its reserves.
BUSD (Binance USD) is also backed by U.S. Treasuries and cash equivalents, and it is heavily regulated by U.S. authorities.
Centralized vs. Decentralized
Authority or Autonomy? Exploring the Crypto Control Divide ⚖️
Here’s the key difference: USDT, USDC, and BUSD are all centralized stablecoins, meaning they are controlled by companies that manage the reserves and have the power to freeze or block certain transactions if needed (like blacklisting an address). Transactions that get blacklisted usually involve illegal activities, such as money laundering, terrorism financing, or being linked to sanctioned entities as determined by government authorities or regulations. In this way, USDT remains a centralized asset while being used on a decentralized platform.
On the other hand, decentralized cryptocurrencies like Bitcoin and Ethereum are not controlled by any single company or government. This means they can’t be easily censored or blocked, but they are much more volatile in value.
Stablecoins like USDT, USDC, and BUSD are essential in the crypto world because they act as a stable link between cryptocurrencies and real money. They are a safer option to hold when you want to avoid the ups and downs of the crypto market. However, because they are centralized, you need to trust the companies behind them to manage their reserves properly.
In short, stablecoins are digital dollars on the blockchain, helping people move between crypto and fiat money easily, while staying stable and reliable in a fast-changing market.
Walletium allows you to create as many addresses as you need and easily import existing keys from various supported blockchains.
This provides you with the flexibility to use stablecoins like USDT for everyday payments, travel bookings, or virtual card transactions, all while ensuring your assets remain secure and accessible across multiple platforms.
Visualization
Peeling Back the Layers of Crypto Trust 🍊
One thing is certain: not all cryptocurrencies are on equal footing when it comes to trust and stability. We can think of them like layers of an onion, or a target, with the most reliable and established tokens at the center, and those that are riskier as we move further outward.
The First Echelon: BTC and ETH
VIP Section Where Only the Strongest Are Allowed 👑
At the very core of our system, we have Bitcoin (BTC) and Ethereum (ETH).
These two are like the foundations of the cryptocurrency world—strong, trusted, and widely accepted. Bitcoin was the first-ever cryptocurrency and is still seen as the most reliable. Ethereum is known for its powerful blockchain technology that allows developers to create decentralized apps (dApps). These two form the backbone of the entire crypto space, which is why they are placed at the center. If you're looking for stability and security, this is where you’d start.
The Second Echelon: BNB, Ripple, Tron, and TON
Power Players Versatile and Popular Picks 🔥
In the second layer, we have tokens like Binance Coin (BNB), Ripple (XRP), Tron (TRX), and TON. While still strong, they don’t possess the same history or stability as Bitcoin or Ethereum. These tokens are popular and widely used for various purposes: powering exchanges (BNB), enabling fast payments (Ripple), or supporting smart contracts and decentralized applications (Tron and TON). They’re reliable and trusted by many, though they carry slightly more risk compared to BTC and ETH.
The Third Echelon: Everything Else
Wild West of Crypto 🐴
Finally, on the outer layer, we have what we call “altcoins” and “memecoins.” These are tokens that don’t have the same level of trust or popularity.
In addition to altcoins and meme coins, there are also some really promising projects, ideas, and prototypes in this category. These projects have a lot of potential and could become something big, but it won’t be an easy journey for them. Until they manage to break through and gain more trust and popularity, they'll remain as up-and-coming newcomers in the third echelon.
Some of them can be quite fun or interesting, like meme-based coins, but they’re also more unpredictable. They can go up in value quickly, but they can also drop just as fast. This is why we say these tokens are usable, but at your own risk. If you’re interested in these, you should be careful and make sure to do your research.
The closer a token is to the center of the circle, the more reliable and stable it is.
BTC and ETH form the safest, most trusted part of the crypto world. As you move out to the second and third echelons, the level of risk increases.
By using this system, you can navigate the world of cryptocurrencies more easily and make decisions that suit your risk level.
And that's how we will conditionally separate the currencies within the Walletium app.
Walletium Interface
Different Colors, Different Coins—View The Full List of Your Assets 💼
This is the main Walletium chart, showing the total volume of all funds in the form of a pie chart.
The sections of the pie chart are highlighted in different colors so you can easily tell each section apart. This way, you can quickly understand how the funds are distributed.
The pie chart divides all funds into three groups:
Main crypto-tokens (ETH, BTC, BNB, TRX which make up the complete first and second echelons described above )
Stablecoins (USD on Blockchain)
TEX + Altcoins
This visualization is designed to help you track your portfolio and readjust your funds when necessary.
The list below shows the currencies we support natively (custodially).
However, customers can hold any tokens at their addresses, not just these specific ones.
This means you have the freedom to manage a wide variety of tokens beyond the ones listed!
Among the well-known cryptocurrencies, you might notice a new unknown token. Curious about why it's here and what it does? You can find out more in another article TEX Token ➡️
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