Saying cryptocurrencies had a down 2022 would be a massive understatement. The FTX fallout towards the end of the year was just the final nail in the coffin to really solidify a horrible bearish run on cryptos coming off the massive surge in popularity during the pandemic.
The cryptocurrency market hit a total market capitalization of $3 trillion in November of 2021. In the following 13 months, that market cap has collapsed to just over $800 billion. A more than 70% decline in value. The "good" news is that the space is right where it was at the beginning of 2021 but currently the signs are much less promising in the volatile market than they were two years ago.
However, cryptocurrencies and blockchain technology are far from dead like many would like to have you believe. There are some aging projects that are unlikely to be the future either because of inferior capabilities and/or being extremely tied to the collapse of Sam Bankman-Fried’s FTX. There has been a massive shakeup to the crypto market and that might spell doom for many coins, but from the ashes winners will rise. These are the five best cryptocurrencies poised to gain market share in a post-FTX market.
People well entrenched in the cryptocurrency community likely know Cardano (ADA) pretty well already. The token uses the increasingly more popular proof-of-stake (PoS) technology which allows owners of Cardano the right to vote on proposed changes and allows for participation in the network’s operations.
Cardano offers far less volatility than most cryptocurrencies outside of Bitcoin and Ethereum while having a significant market cap of over $9 billion and healthy trading volumes. Additionally, there have already been potential uses for its technology for developing decentralized apps and smart contracts with modularity. Finally and perhaps most importantly, Cardano is well positioned to gain additional market share as it is less closely tied to FTX than some of its major competitors such as Solana.
IMPT is a much smaller coin in comparison to Cardano with a market capitalization of just under $15 million. The token does have relatively high trading volume for its size and has an upcoming major credit deal before the end of the month.
The carbon credit trading and rewards platform is focused on reducing society’s carbon footprint and is scheduled to go live in the middle of February. CEO Denis Creighton recently made a major announcement that a multi-million dollar carbo credit deal will be finished before the end of January. The platform has undergone a branding renovation and an additional listing on a major exchange which will be announced in preparation for its global launch.
Ripple runs a digital payment platform called RippleNet which uses the XRP currency and is on a distributed ledger database called XRP Ledger. Confused yet?
The RippleNet platform is a real-time gross settlement (RTGS) system which allows instant monetary transactions around the world. The major competitive advantage of the XRP ledger and RippleNet platform is that while XRP is the native cryptocurrency, customers can use any currency for transactions on the platform. The ability to use other crypto currencies has already led to this project being the sixth largest cryptocurrency by market cap with it poised to hold that position and grow as an instant payment platform globally while using various currencies.
Chiliz (CHZ) is quickly becoming the go-to cryptocurrency option for sports fans looking to engage with their respective organizations. Chiliz developed its Socios.com engagement platform and has already worked with various partners to help them engage with and monetize their audiences. Now, “monetize their audience” isn’t exactly the most endearing term to hear but it's 2023 and businesses know how to sell their brand and profit off often unwarranted loyalty.
Chiliz already has official partnerships with the UFC, various Esports organizations, and major soccer organizations such as Paris Saint-Germain, FC Barcelona, and Manchester City.
Lastly, Ethereum (ETH) rounds out the top five cryptos poised for a breakout 2023. Although a strong 2023 wouldn’t really be a breakout for Ethereum but rather a recovery. No matter the term, Ethereum is positioned to recover stronger from a rough past year than many of its contemporaries as it is still the second largest cryptocurrency and has recently finished its merge to Ethereum 2.0.
The move to a proof-of-stake system with much faster processing times will greatly help this platform’s ability to continue its growth as the main hub for decentralized applications. A large portion of crypto projects still use the Ethereum platform and that looks unlikely to change with the software finally being upgraded after its biggest complaint recently being the extremely slow processing times compared to its newer competitors.