USDT vs BNB: What Crypto is Better to Invest in 2023
By Space Coast Daily // May 17, 2023
Cryptocurrency remains one of the most promising areas for investment. Many people prefer to invest in digital coins to get a high income. Choosing a cryptocurrency for investment is always difficult.
It is very easy now to check the market value of currency pairs, try fast exchange of USDT to BNB, but how to choose which of these currencies is better to invest in?
Investments in cryptocurrencies can bring high profits: bitcoin brought its first investors more than 9000% ROI, and ethereum – more than 10000%. But where there is a high potential income, the risks of losing the invested funds are also high. The choice of cryptocurrency depends on many different factors. Some cryptocurrencies will remain relevant in the future, but some of them may replace more promising digital assets.
Some tips for beginners when choosing a cryptocurrency
- Don’t Chase Cryptocurrency Trends
Financial experts believe that the best investments are based on the analysis of investment portfolios of cryptophones. To study attractive investments in USDT or BNB, study in detail everything you can about them. I am sure you will already make a choice in the process. Or decide to invest in both of them.
- Always study projects carefully
Always analyze the history of the project, its goals and the roadmap of achievements. The analysis can help you determine how appropriate it is to invest in this project. Check the market capitalization, the history of the ups and downs of the coin. This will help determine the risks of buying cryptocurrency and determine its potential profitability. You should also check the number of trading pairs on centralized exchanges available for a given coin. The more of them, the more popular the cryptocurrency.
- Focus on capitalization leaders
To reduce the risk of collision with low-quality projects, give preference to cryptocurrency from the list of capitalization leaders. Carefully study each project of interest and give preference to the most capitalized cryptocurrencies.
- Be able to wait
Investments in cryptocurrencies, as well as investments in general, are a long-lasting thing. Investments bear fruit only after a while. Especially when it comes to coins with a large capitalization.
- Follow the relevance of the cryptocurrency
Some crypto projects may become obsolete, and they will be replaced by new, more advanced blockchain platforms with better bandwidth, scalability and almost zero transaction fees. Technologies do not stand still and always introduce something new. Be careful and you will make the right decisions!
- Check the activity of developers
The creators of blockchains must support the project and work on improvements, otherwise over time they may reveal vulnerabilities that will lead to the collapse of the ecosystem. Even about some cryptocurrencies that were among the leaders in 2017-2018, little is known now. Lisk (LSK) and Dash for example.
- Pay attention to the events.
External events, such as news from developers, can raise the hype around the blockchain project and encourage investors to be active. As a result, an uptrend is formed.
These are just some of the factors that need to be paid attention to.
The main thing here is to grasp the essence of what influences the growth and fall of cryptocurrency rates in order to get a return on your investment. But for a deeper analysis, you need to learn how to invest in cryptocurrencies.
Binance Coin (BNB)
BNB is a token issued by the largest and most popular Binance crypto exchange. Initially, the token was created on the ether blockchain. Subsequently, he migrated to his own Binance Chain blockchain.
Binance Coin is a functional token. BNB is used to pay trading commissions, transactions on its own blockchain, as well as to participate in launchpads and launchpuls that allow holders to earn additional cryptocurrencies.
BNB has a lot of applications, so the token is valued by crypto investors and now it is among the 10 largest cryptocurrencies by capitalization. And some time ago I even rose to the 5th position in the CoinMarketCap list
United States Dollar Tether (USDT)
USDT is the very first and most popular stablecoin issued by Tether. The stablecoin appeared on the exchanges in 2015 and since then has occupied a leading position among all cryptocurrencies equated to fiat money.
The main distinguishing feature of all stablecoins from other cryptocurrencies is the provision of real money. The issue of a stablecoin occurs when funds are received by Tether Limited from individuals or legal entities. Upon receipt of funds, the company issues a similar amount of USDT, and upon request for repayment, it destroys the appropriate number of tokens.
To summarize all of the above and urge you to be responsible and attentive in matters of investment. Analyze, study, use only trust platforms and trust exchangers like Quickex. Don’t be afraid to take risks, but remember, don’t invest more than the amount you are willing to lose.