Monday, September 25

How to choose or analyze altcoins? By CoinTelegraph

©Reuters. How to choose or analyze altcoins?

What are altcoins? The word “altcoin” derives from “alternative” and “coin”. Altcoins refer to all alternative currencies to . Altcoins are cryptocurrencies that share characteristics with bitcoin (BTC). For example, bitcoin and altcoins have a similar basic framework. Altcoins also work as peer-to-peer (P2P) systems and share code, much like bitcoin.

Of course, there are also stark differences between bitcoin and altcoins. One of them is the consensus mechanism that these altcoins use to validate transactions or produce blocks. While bitcoin uses the proof-of-work (PoW) consensus mechanism, altcoins typically use proof-of-stake (PoS). There are different categories of altcoins, which can best be defined by their consensus mechanisms and unique functionalities.

  • Cryptocurrency Staking: How to Choose the Best Coins to Stake for Passive Income

These are the most common types of altcoins:

Read the full article on Cointelegraph

Legal warning: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.