Here are six new promising cryptocurrencies you can invest in 2021 that are attracting investors. As the cryptocurrencies market has been particularly sustained since the fall of 2020, the market now seems to be reoriented. The market leader cryptocurrencies are changing. In particular, there is a growth in the supply of crypto currencies oriented around Decentralized Finance. In parallel with the overperformance of certain sectors, the cryptos market has been exposed to corrective risks for several months, mainly for monetary reasons.

Discover in this article 6 new cryptocurrencies with high potential to watch after the strong upside and corrective movements from the past few months.

1. SOLANA (SOL): A Cryptocurrency THAT REVOLUTIONIZES THE BLOCKCHAIN

• World position (September 2021): 6th
• Capitalization: $52billion
• Annual performance: +5,280 % (x53.8)

Solana (SOL) has seen a particularly strong buzz in recent months among crypto investors, as a more negative trend characterized the overall crypto market. In March 2020, the Geneva-based Solana Foundation launched a resounding project to build a more efficient Blockchain system. The Solana (SOL) blockchain is based on a Proof of Stake (PoS) Blockchain, but also on a completely innovative Proof of History (PoH, literally "Proof of History" system to identify past transactions). The recent success of Solana can be explained by the speed and low transaction cost, which defy almost all competitors.

In September 2021, the Solana (SOL) blockchain system was able to process nearly 2,000 transactions per second, far from the 3 transactions per second of the Bitcoin or the 15 transactions per second of the Ethereum. The average transaction cost is $0.00,0025, compared to currently over $3 for Bitcoin and $15 for Ethereum. Solana’s performance thus allows for large quantities of operation quickly and with a particularly low cost.

Solana (SOL) allows many decentralized finance applications to develop their project and benefit from an attractive effect due to better productivity. However, Solana’s competitors are numerous and the trend is related to the sector as a whole. For example, the large Ethereum 2.0 reform should allow the level of 100,000 transactions per second with a transition to a blockchain similar to that of Solana.

2. USD COIN (USDC): A STAR OF THE STABLE COINS

• Global position (September 2021): 9th
• Capitalization: $ 30bn

USD Coin belongs to cryptocurrencies in the stablecoin category. That is to say, its value remains relatively stable compared to other cryptocurrencies because it is indexed to a given underlying, most often a traditional asset, in this case the dollar. In other words, 1 USDC = 1 $. Launched in September 2018 and run by Circle Company, USD Coin (USDC) is 100% pegged to the dollar. The USDC is furthermore based on the Ethereum Blockchain, and is transparent about its collateral reserves, quantities in circulation, etc.

Stablecoins are particularly useful during periods of correction in the cryptocurrency market, in order to limit the risk of loss during corrective periods. Between January and September 2021, the dollar rose + 3.5% against the euro. Investing in USD Coin after times of crisis, typically times of a stronger dollar, helps reduce risk as the cryptocurrency market as a whole corrects.

3. POLYGON (MATIC): A CRYPTOCURRENCY WITH HUGE SUCCESS

• World position (September 2021): 22nd
• Capitalization: $ 8.7 billion
• Annual performance: + 6,090% (x61.9)

Polygon (MATIC) is one of the cryptocurrencies that has outperformed in recent months, increasing by more than 6,000% year on year. Polygon is a competitor of Solana and offers similar solutions. The Polygon (MATIC) cryptocurrency thus corresponds to an underlying Blockchain responding to the issues of Blockchains such as Ethereum. Like Solana, Polygon is indeed based on a PoS Blockchain.

The number of active addresses on the Polygon (MATIC) Blockchain increased from 10,000 in April 2021 to nearly 180,000 in September 2021, 6 months later. All Polygon Blockchain real-time statistics are available here. The number of transactions per second stands at nearly 67, which is still higher than the main cryptocurrencies. In addition, Polygon, which is issued in a limited quantity (10 billion MATIC Coins), is tradable on most major cryptocurrency exchanges such as Coinbase, Binance, Kraken or Bitpanda.

4. FTX TOKEN: A TOKEN LINKED TO A GROWING EXCHANGE PLATFORM

• Global position (September 2021): 21st
• Capitalization: $ 8.75 billion
• Annual performance: + 1,720% (x18.2)

FTX Token is the underlying cryptocurrency for the FTX exchange, launched in May 2019. FTX is the fourth largest cryptocurrency exchange in the world, after Binance, Coinbase and Huobi. The FTX platform enjoys high visibility, and the number of weekly visits far exceeds that of Coinbase.

The FTX token is issued in a limited quantity of 352 million tokens. The latter also serves to ensure the proper functioning of the financial services of the platform. FTX notably offers Option and Future type financial products. The recent success of FTX Token (FTT) is largely due to the dramatic rise in active crypto users in recent quarters.

5. QUANT (QNT): A CRYPTOCURRENCY  THAT CONNECTS BLOCKCHAIN ​​SYSTEMS

• World position (September 2021): 32nd
• Capitalization: $ 5 billion
• Annual performance: + 5,090% (x51.9)

Quant is a special cryptocurrency that stands out from most other projects. Quant was launched in 2018 with the objective of developing a project to connect several types of Blockchain systems. When it was introduced, Quant (QNT ) had raked in nearly $ 11 million. The company has garnered increased interest in recent months, as many next-gen blockchains compete against each other.

Quant (QNT) is based on its Overledger platform, intended mainly for decentralized applications, connecting several transaction systems between them. Recently, Quant is working with the Binance platform to connect the Binance Chain network to its Overledger. Quant has already connected public Blockchains such as Ethereum, Ripple or Stelar, which makes it possible to create, technically speaking, interoperability between systems (cross transactions between systems, etc.).

6. FANTOM (FTM): A CRYPTOCURRENCY SPECIALIZING IN THE DEVELOPMENT OF DECENTRALIZED FINANCE SYSTEMS

• Global position (September 2021): 45th
• Capitalization: $ 4.75 billion
• Annual performance: + 4860% (x49.6)

Finally, we can also mention the case of Fantom. Its strong performance in recent months also goes against the global stagnation of the market. Here again, Fantom specializes in the development of decentralized finance systems. Fantom (FTM) is thus seeking to provide a more efficient blockchain through its Lachesis algorithm. The latter is based on a PoS blockchain system. In addition, Fantom (FTM) has so far developed using a new kind of system called DAG (acyclic directed graph). Clearly, the DAG system, unlike the Blockchain, does not contain blocks: each transaction is validated from the referencing of previous transactions. It is a vertical system: each transaction follows the previous one.

This system offers the advantage of faster processing times and lower processing costs. However, it is not a fully decentralized system. Finally, Fantom (FTM) also raised nearly $ 40 million in 2018 to implement its projects. The outperformance in summer 2021 is part of the boom in the decentralized finance sector.

In conclusion, the significant rise in processing costs on Ethereum in the spring of 2021 led to a restructuring of the decentralized finance industry. This wave of investor reorientation greatly benefits active cryptos capable of offering extremely efficient transaction processing systems. However, these crypto currencies are not safe from a strong correction.  On the one hand, the upgrade of the Ethereum 2.0 update and the monopoly of certain DeFi projects could strongly force some cryptocurrencies, which are more fragile in terms of capitalization and volatility. On the other hand, the significant corrective risks weighing on the cryptocurrency market, particularly for monetary reasons, would certainly cut off the strong bullish momentum observed.