If you are looking for cryptos to buy, the current economic climate may not bode well right now. There appears to be little room for growth for most major cryptocurrencies as risk assets continue to tumble due to a hawkish Fed hiking interest rates at a historic pace. This has dragged down nearly every high-valuation asset class, in significant fashion. Nonetheless, there are still some risky but highly-promising ideas in the cryptocurrency market that can turn out to be multi-baggers over the next three years.
Of course, these aren’t recommendations I would make to someone looking for a long-term retirement portfolio. Cryptocurrencies with small market capitalizations are very risky. I suggest investing in these if you are allocating a small portion of your portfolio (or if you have a very small portfolio) on the basis that they might turn into something significant later. Crypto is referred to as a speculative asset for a reason, and investors should treat it as such.
Regardless, if you have an appetite for risk and are willing to invest in these high-risk, high-reward assets, look into the following three cryptos to buy.
If you have ever made a transaction using cryptocurrencies, you are most likely aware that most transactions require gas fees. In simple terms, you must pay the network a fee each time you transact on a blockchain. These fees can sometimes be very expensive, making crypto’s usability for day-to-day transactions almost impossible without using a third-party payment gateway.
However, Nano (XNO-USD) is a cryptocurrency that eliminates fees. You do not have to pay anything to make transactions on Nano, and the blockchain processes transactions quickly. It is also a green cryptocurrency requiring very little energy to run.
Of course, there are downsides to Nano. The cryptocurrency only acts as a payment system and does not support Web3 development, yet. This means the blockchain does not allow developers to build applications or mint non-fungible tokens. However, Nano’s fast fee-less system can make it very appealing, if crypto becomes widely used for payments in the future. Thus, this is one of the cryptos to buy for multibagger gains.
Terareum (TERA-USD) is the native token of the upcoming TeraExchange, an exchange similar to Binance and KuCoin. TeraExchange is currently registered and approved to function in the U.S., Dubai, and India, and is looking to expand into the EU, South Korea, and some South American countries. The centralized exchange is looking to launch its platform in Q4 2022, per its website.
In addition, Terareum also has a cryptocurrency launchpad called Terapool. It is a platform that raises liquidity for new crypto projects but offers much lower rates than its competitors.
“Other Cryptocurrency launchpads charge projects 20 – 30% of their raised capital investment. Terapool has the lowest launchpad fee of less than 3%, which is the lowest in the entire [c]ryptocurrency industry,” the Terareum website states.
Terareum currently has a market cap of $16.3 million, which will likely increase once the exchange goes live on IOS, Android & Desktop. Thus, this can be a multibagger investment if the platform becomes popular in the future.
Admittedly, I have been pessimistic about Dogecoin (DOGE-USD) in the past, as Elon Musk no longer had a meaningful long-term effect on its price with his tweets. However, with Musk now in charge of Twitter (delisted on Friday), things are moving in the right direction once again for Dogecoin. DOGE is up almost 119% in the past 30 days after Twitter was purchased, as many people believe Elon Musk will integrate DOGE into the platform.
The prospect of that happening is very realistic, since Elon’s support for Dogecoin has been very persistent. It wouldn’t be surprising to see Twitter allowing payments or tipping through Dogecoin in the near future, which is why I believe DOGE could be a multibagger investment.
This current spike is likely to cool off, as there has yet to be any indication of Dogecoin being added to the platform. Nonetheless, for a 900% gain (to turn $100 to $1000) to materialize from here, it would require DOGE to have a market capitalization higher than that of Twitter. Thus, I suggest waiting until Dogecoin’s price cools down to below 10 cents.
On Low-Capitalization and Low-Volume Cryptocurrencies: InvestorPlace does not regularly publish
commentary about cryptocurrencies that have a market capitalization less than $100 million or trade
with volume less than $100,000 each day. That’s because these “penny cryptos” are frequently the
playground for scam artists and market manipulators. When we do publish commentary on a low-
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Read More: How to Avoid Popular Cryptocurrency Scams
On the date of publication, Omor Ibne Ehsan did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.