Everyone is talking non-stop about how bitcoin had a marvelous year. Not enough news outlets are covering the Monero story these days. It turns out that quietly but surely, Monero is doing what bitcoin and other cryptocurrencies didn’t do during 2016. Monero just broke its all-time high, and this is not only news worthy, but it is also crucial to understand where serious alternatives to bitcoin are going. Monero stripped bitcoin of its leading role in the dark web, and it could eventually threaten bitcoin’s stance elsewhere.
Monero’s advantages on Bitcoin
For starters, Monero is a completely anonymous cryptocurrency; bitcoin instead, is pseudonymous. Not only dark web or criminal elements look for anonymity. For security minded cryptocurrency users this is an important feature, and in fact, any law abiding person who uses cash might be looking for the same thing. After all, who would like to show the world how much they have in their wallets at any given time, who they make transactions with and by how much?
Monero beyond anonymity
But anonymity is not the only advantage that could draw more users to Monero. Everything from ASIC resistant mining and the lack of transaction problems that bitcoin faces, place Monero in a unique position to keep on advancing. In fact, Monero was a great value play from the investor’s point of view on 2016, probably even better than bitcoin.
Monero is looking to finish 2016 with a 2,700% advance, whereas bitcoin despite the monster year it has had, is currently delivering a return of about 125%. Bitcoin is also more than $200 USD off its peak valuation. Some may say it is unfair to make that comparison, due to the differences in asset maturity and therefore the high risk involved in investing in Monero as opposed to bitcoin. Nevertheless, the markets are signaling that Monero has attributes that must be reckoned with.
Monero is training its sights on Litecoin
Currently, Monero’s market cap has advanced to a level comparable to that of Litecoin. Monero is not far behind the third most important cryptocurrency in terms of market cap. If Monero surpasses Litecoin, it will have a much longer path to snatch the number 2 spot from Ether. Nevertheless, if it can keep up its 2016 effort and continue rising during 2017, Ether could be within range in a year’s time. From that point on, challenging bitcoin will mainly come down to the degree of acceptance Monero might garner in e-commerce – outside of dark web transactions. No one can deny than from a technical stand point, Monero is definitely up to the task, and should be named the cryptocurrency of the year in 2016.