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What are altcoins? All that you need to know about the non-bitcoin cryptos

Altcoins: What are they? Everything that you need to know about the alternatives to Bitcoin that operate according to their own rules.

January 31, 2021 / 12:30 PM IST
Litecoin, Ethereum, Ripple, Dash, NEM and Monero are some of the altcoins looking to challenge bitcoin.

Litecoin, Ethereum, Ripple, Dash, NEM and Monero are some of the altcoins looking to challenge bitcoin.

 In a world going virtual, can currencies be far behind? Obviously not, particularly when cryptocurrency has become a hot button topic in trading and investment circles.

While bitcoins have tended to hog the limelight in this rarefied space, there are multiple other coins or cryptocurrencies that are attracting eyeballs. In that lot, altcoin is fast emerging as a favourite.

An altcoin is a cryptocurrency, or virtual currency. It is an alternative to bitcoin. Altcoins work much like the original Bitcoin. Using a private key, a payment can be sent from a digital wallet A to digital wallet B. In a cryptocurrency such as these, there is a blockchain or recording ledger, where the transactions are permanently and publicly recorded, so exchanges can't be altered or denied. The blockchain is secured by mathematics proofs, which confirm transactions in block.

Moneycontrol goes deep into the world of altcoins, examining the main issues that surround the coins. Before that though, it is important to familiarise an investor about these coins. It will help set the context.