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Several cryptocurrencies have made excellent returns for investors since March 2020. Currently, these digital tokens are viewed as an alternative asset class that is attracting institutional investment at an enviable pace. While Bitcoin (CRYPTO: BTC) and ether (CRYPTO: ETH) are the two most popular cryptocurrencies in the world, with around 13,000 other tokens in circulation.
Here we take a look at two more blockchain networks, Ripple (CRYPTO: XRP) and Dogecoin (CRYPTO: DOGE) to see which bet is better on the current ratings.
Dogecoin has a market cap of $ 22.5 billion
With a market capitalization of $ 22.5 billion, Dogecoin is currently the 12th largest cryptocurrency in the world. The DOGE token costs $ 0.17 and gained 2,900% in 2021. Dogecoin is a popular digital currency and has grown an impressive 37,000% since it was launched in 2013. In fact, the DOGE token was up a staggering 27,000% between last November and May 2021. Despite those amazing gains, Dogecoin also fell 70% from record highs, so you can buy the dip.
A main reason for Dogecoin soaring was the support of well-known personalities like Elon Musk and Mark Cuban. Also known as the “Dogefather”, Musk confirms that he will work with the developers of the cryptocurrency to improve their uses.
Over 2,000 dealers, including AMC entertainment accept the DOGE token as a means of payment. You can also buy Tesla Goods with the cryptocurrency.
However, investors should understand that, despite its popularity, Dogecoin does not have a competitive advantage over peer networks such as Ethereum and Solana (CRYPTO: SOL) where you can create and execute smart contracts. While Dogecoin transaction fees are lower compared to Bitcoin and Ethereum, they are still higher compared to several other networks.
There are nearly 133 billion DOGE tokens in circulation, and that number is set to increase by five billion every year, making it an inherently inflationary asset. In addition, 43% of the total number of DOGE tokens are held by 10 wallets, so they can easily influence the prices of the cryptocurrency.
Ripple has a market cap of $ 39 billion
Ripple is the eighth largest cryptocurrency with a market capitalization of $ 39.3 billion. It’s the only business blockchain company, and its products are used by customers in more than 55 countries. The global Ripple network also gives its customer base access to alternative liquidity solutions as they can leverage features of the XRP ledger to improve payment services.
The XRP token gained 250% in 2021, overtaking Bitcoin, but significantly lower than several other tokens.
Last year, the SEC investigated Ripple Labs after its executives allegedly raised $ 1.3 billion from the sale of the XRP token as an unregistered security. However, Ripple argues that XRP is a digital asset similar to the US dollar or euro and cannot be viewed as a security. However, following the investigation, several crypto exchanges have stopped trading the XRP token.
If the investigation ends in 2022, the XRP token should gain momentum significantly in the following months.