Here's our quick get-started guide to learning the basics of the cryptocurrencies now offered on tastyworks. Find out which ones can help you diversify, expand, or even hedge your current portfolio. Happy trading!
Introduced in 2009
Created by Satoshi Nakamoto
The world’s first successful cryptocurrency. Bitcoin is a decentralized digital currency that you can buy, sell and exchange directly, without an intermediary like a bank. There is a finite supply, only 21 million bitcoins can be produced. The Bitcoin blockchain is a full record of the network’s history validated by individuals running the Bitcoin software (nodes). This ensures that unlike most digital data, which can be freely copied and modified, bitcoins cannot be. Because bitcoins are scarce, divisible and transferable, bitcoins are used as money.
Introduced in 2011
Created by Charlie Lee
Litecoin can produce a greater number of coins than Bitcoin and its transaction speed is faster. Was intended to be a “light version of Bitcoin.” Litecoin distribution can accommodate 84 million coins compared to Bitcoin’s 21 million. Litecoin was founded with the goal of prioritizing transaction speed, and that has proven an advantage as it has grown in popularity. As of March 2021, the total value of all bitcoins in circulation is around $1 trillion, making its market cap more than 70 times larger than Litecoin, which has a total value of $13.7 billion.
BITCOIN CASH (BCH)
Established by miners in 2017
Bitcoin Cash was started by bitcoin miners and developers concerned with the future of the cryptocurrency and its ability to scale effectively. In August 2017, some miners and developers initiated what is known as a hard fork, effectively creating a new currency: BCH. BCH has its own blockchain and specifications, including one very important distinction from bitcoin. BCH has implemented an increased block size to accelerate the verification process, with an adjustable level of difficulty to ensure the chain’s survival and transaction verification speed, regardless of the number of miners supporting it. Bitcoin Cash is thus able to process transactions faster than the Bitcoin network, meaning that wait times are shorter and transaction processing fees tend to be lower.
Launched in 2015. Created by Vitalik Buterin
The decentralized Ethereum network makes it possible to create and run applications, smart contracts and other transactions on the network. Ethereum is different from Bitcoin in that the network can perform computations as part of the mining process. You can use Ether as a digital currency in financial transactions, as an investment, or as a store of value. Ethereum is the blockchain network on which Ether is held and exchanged. Perhaps one of the most intriguing use cases involving Ether and Ethereum are self-executing contracts, or so-called smart contracts. Like any other contract, two parties make an agreement about the delivery of goods or services in the future. Unlike conventional contracts, lawyers aren’t necessary: The parties code the contract on the Ethereum blockchain, and once the conditions of the contract are met, it self-executes and delivers Ether to the appropriate party.
BASIC ATTENTION TOKEN (BAT)
Launched in 2018
Created by Brendan Eich
The Basic Attention Token (BAT) was created in an effort to improve the security, fairness, and efficiency of digital advertising through the use of blockchain technology. BAT is a blockchain-based system for tracking media consumers' time and attention on websites using the Brave web browser. Built on Ethereum, its goal is to efficiently distribute advertising money between advertisers, publishers, and readers of online marketing content and ads. The objective is for readers to experience fewer ads that are more well-tailored to their interests while at the same time not giving up their data privacy rights. The exchange rate for BAT is set at 6,400 BAT per ETH, meaning that as the price of Ethereum climbs or falls, the price of BAT will be adjusted proportionally as well.
Introduced in 2020
Created by Gavin Wood
Polkadot is a “multi-chain” network that aims to connect different specialized blockchains into a single unified network. Blockchains that connect with Polkadot work in parallel as so-called “parachains”. Its ultimate aim is to act as a framework for all blockchains that opt-in, a bit like how HTML allows sites, browsers, and servers to interact with each other. The two issues blockchain-based systems most need to solve are scalability—the number of transactions per second the network can handle—and governance: how the community manages protocol upgrades and changes. Polkadot aims to solve both of these problems. DOT, the internal token of the Polkadot network allows holders to vote on potential code changes, which then automatically upgrade across the network if a consensus is reached.
ENJIN COIN (ENJ)
Introduced in 2018
Created by Enjin co-founders Maxim Blagov and Witek Radomski
ENJ is an Ethereum token that aims to “make it easy for individuals, businesses, and brands to use non-fungible tokens (NFTs).” ENJ is used to directly back the value of NFTs minted within the Enjin ecosystem. It was the first gaming cryptocurrency to be whitelisted for use in Japan. Enjin’s platform is designed to tokenize in-game items, trade among players, and more.
Introduced in 2018
Created by Dan Larimer
EOS is a blockchain-based platform intended to run decentralized applications and smart contracts. Unlike most other blockchain systems, EOS nodes are bound to the rules and mandates of a "constitution" that each node digitally signs and records on the blockchain. Like many smart-contract platforms, EOS utilizes two tokens, EOS and EOS.IO. A developer simply needs to hold EOS coins, instead of spending them, to be eligible to use network resources and to build and run dApps.
Introduced in 2017
Created by Steve Ellis, Ari Juels, and Sergey Nazarov
LINK is a cryptocurrency that powers the Chainlink protocol. The LINK Network is a fully decentralized Oracle network that provides smart contracts to enable the sending of payments from the contract to bank accounts and payment networks. LINK also connects smart contracts to the data sources and APIs they need to function easily. Chainlink’s technology claims to solve one of the biggest challenges for the practical implementation of smart contracts – connecting blockchains to real world data – such as price feeds or delivery confirmations – through so-called oracles blockchain connectivity. If Chainlink is able to do so, it can potentially boost the market for decentralized apps (dApps). As of today, the most developed Chainlink functionality includes aggregate price feeds for crypto and fiat currencies.
OMG NETWORK (OMG)
Introduced in 2013 rebranded as OMG Network in June 2020
Created by Omise Go Pte Ltd., a subsidiary of Omise, a Thailand-based payments processor
The OMG Network is a decentralized exchange, a liquidity provider mechanism, a messaging network, and a blockchain gateway with digital assets. The platform earned a reputation for its alternative financial and digital commerce tools. These systems work together to enable cross-chain asset transfers without the need for a crypto exchange.OMG allows users to transfer coins from one blockchain to another without using a traditional exchange. It also allows funds to be transferred between blockchains and traditional payment providers like VISA and SWIFT.The goal of the OMG Network is to create a product that equally benefits those who use traditional banking services and people who lack access to banking services simultaneously.
PAX GOLD (PAXG)
Introduced in 2019
Created by Paxos Trust Company, a regulated financial institution that digitizes and mobilizes assets
PAX Gold is an asset-backed token where one token represents one fine troy ounce of a London Good Delivery gold bar, stored in professional vault facilities. Anyone who owns PAXG has ownership rights to that gold under the custody of Paxos Trust Company. Since PAXG represents physical gold, its value is tied directly to the real-time market value of that physical gold. PAXG gives customers the benefits of actual physical ownership of specific gold bars with the speed and mobility of a digital asset. Customers are able to have fractional ownership of physical bars.
Introduced in 2015
Created by Jed McCaleb
Stellar is a decentralized computer network that operates using blockchain technology. On the Stellar network, you can trade its form of currency, which is called lumens (XLM). Stellar was designed to reduce transaction costs and serve as a bridge between fiat, digital or other currencies. The purpose of Stellar is to connect financial institutions via the blockchain and provide cheap transactions in developing markets. While Stellar and XLM coexist in the same system, they are technically two different things. Stellar is the foundation of the blockchain network, whereas lumens are traded on the network. According to Stellar’s website, there are currently 50 billion lumens in circulation. Stellar will not produce any more lumens, so you cannot mine them.
Introduced in 2017
Created by 0x Labs
0x (ZRX) is an open protocol, utility token for decentralized peer-to-peer exchange of Ethereum tokens. ZRX tokens can be used to vote on updates to the 0x protocol itself (decentralized governance), and are required to pay the fees for decentralized trades made using the protocol. 0x provides the infrastructure for developers to build their own custom trading apps with a wide variety of user-facing applications. 0x is a protocol that facilitates the peer-to-peer (P2P) exchange of Ethereum-based assets. Some examples of the types of things that can be built on 0x include: An ebay-style marketplace for digital goods, a market making or arbitrage trading bot, or a DeFi protocol that needs liquidity and exchange to function (e.g., a derivatives, lending, or options protocol). In addition, 0x can also be integrated into any existing application where exchange is a feature, not the core purpose of the application such as Games with in-game currencies or items, Digital wallets whose users want to exchange tokens, and Portfolio management platforms.
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