While bitcoins are the most famous cryptocurrency, about 9,000 different types of cryptocurrencies exist in the world. All cryptocurrencies other than bitcoins are termed as altcoins. While the basic functions of altcoins are the same as bitcoins, there are some distinct differences, especially when it comes to the volatility. Two famous types of altcoins used in Canada are QCAD and Ripple. Here is everything you need to know about altcoins as an investment and a look at how to buy QCAD in Canada or Ripple in Canada.

How are altcoins different from bitcoins?

As compared to bitcoins, altcoins are generally preferable for those kinds of investors who are worried about the high volatility, transaction times and fees. BTC has the highest transaction fees amongst major cryptocurrencies. The current average transaction fee is about $36.96.

However, there is one major drawback when it comes to altcoins. Since most altcoins are not popular in the market, a seller can never be certain if an altcoin will remain a feasible medium of exchange in the market. Hence, most sellers accepting cryptocurrencies usually accept a variety of different tokens.

What are stable coins and how are they different from bitcoins?

Stable coins are a type of cryptocurrency whose value is pegged to another asset class such as gold or a fiat currency. Since currencies are usually less volatile, stable coins are also much less volatile as compared to bitcoins which are extremely volatile in nature. QCAD is one type of stable coin and it is pegged to the Canadian Dollar.. All these organizations are the trusted partners of Stablecorp which introduced QCAD in the Canadian market.

What is ripple (XRP) and how is it different from bitcoin?

There are three significant differences between Ripple and bitcoin:

  1. Different methods to validate transactions: Unlike bitcoins, which use a blockchain mining concept, ripple uses a unique mechanism in which participating nodes verify the authenticity of a transaction by conducting a poll. As a result, the XRP is faster and more reliable than bitcoin as it consumes minimal amounts of energy.
  2. XRP is cheaper and quicker than bitcoin: With bitcoins using a more complicated system to carry out transactions, the transactions take minutes and are typically associated with higher transaction costs. On the other hand, XRP transactions usually take seconds and occur at very low costs.
  3. XRP has more coins in the market than bitcoins: Approximately 1 billion XRP have been released gradually in the market as compared to bitcoins that are capped at 21 million. With there being an artificial scarcity of bitcoins, they usually generate greater investor interest, and hence, generate more value.

For investors wondering where to buy ripple in Canada can do so on Netcoins.

Considering the rising popularity of cryptocurrencies in the world, several experts believe that these tokens will one day supersede fiat currencies. However, the predominant obstacle to cryptocurrencies is that there may be a number of countries that are unwilling to accept them as a means of exchange.

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