. Bitcoin (BTC)

Price: $70,966.13

Market cap: $1.4 trillion

Year-over-year return: 158%

Since its inception in 2009, bitcoin has become the most popular and valuable cryptocurrency. It was created by an individual, or perhaps a group, operating under the pseudonym Satoshi Nakamoto.

Bitcoin’s blockchain-based, decentralized transaction verification and public ledger system revolutionized the world of digital security. But critics have raised environmental concerns about the energy-intensive, proof-of-work consensus mechanism. They also argue that bitcoin needs help scaling its current form. Plus, other cryptos have faster transaction speeds. These quicker speeds make their blockchains more functional than bitcoin’s. That said, bitcoin still dominates the crypto market, representing 53.11%.

2. Ethereum (ETH)

Price: $3,764.50

Market cap: $452.3 billion

Year-over-year return: 101%

Ethereum is the most valuable altcoin. In crypto lingo, that means it’s an alternative to bitcoin. The leading altcoin’s blockchain was the first to integrate smart contracts, or code designed to run decentralized applications.

The ethereum network has more than 4,400 dApps. In late 2023, the popular crypto transitioned from a proof-of-work consensus mechanism to a less energy-intensive, proof-of-stake model. So ethereum is a greener crypto than bitcoin. Its blockchain functionality also stands out as a critical differentiator.

3. BNB (BNB)

Price: $646.29

Market cap: $95.4 billion

Year-over-year return: 115%

Binance is one of the world’s largest cryptocurrency exchanges. BNB is its native crypto. BNB was initially created as a utility token built on the ethereum network. Its original purpose was to give users access to discounted trading fees on the Binance exchange.

The token has since transitioned to Binance’s blockchain and has evolved to serve several purposes. BNB can now be used for various applications, transactions and other purposes. Unfortunately, like other cryptos, Binance has run afoul of the U.S. Securities and Exchange Commission.