Before you look further into buying under-the-radar cryptos with 10x potential, you should note that this risky strategy could result in you losing most, if not all, of your capital. You should only invest in small-cap cryptos if you have a reasonable argument in favor of said project being valued ten times more than it currently is. Investing in most under-the-radar cryptos is similar to gambling, and I recommend that you put no more than 5% of your portfolio into such assets.
Conversely, many tokens in the cryptocurrency market are dull, as established projects have little upside potential. Bitcoin’s (BTC-USD) standard deviation is closer to some cyclical tech stocks, and investing in big-cap cryptos has little prospect of generating multibagger gains. Thus, the argument for investing in under-the-radar cryptos in search of multibaggers isn’t bad, given that you are ready to lose your capital in a worst-case scenario.
With that in mind, consider the following three under-the-radar cryptos if you are in search of promising new projects:
Emblem (EMB-USD) is likely the riskiest market idea I can think of right now. The project is highly-promising, but has suffered due to poor marketing and developer-delayed upgrades.
First, let’s talk about why it’s “highly-promising.” The crypto’s Overline project is a metaverse project with remarkable utility, such as the ability to transfer digital collectibles from one chain to another, and access the network without the internet. This is possible through the “ōRouter,” the first Web3 router that allows people to “Access native Bitcoin, Ethereum (ETH-USD), DeFi, Digital Collectibles, and much more without an internet or cellular connection,” “Communicate with friends, access social media, and read the news even if the internet goes down,” and “Trade crypto across chains without an intermediary.”
Pre-orders are currently available, and I doubt the technology could actually work. After all, most crypto projects are indeed filled with empty promises. However, if things are delivered as promised, EMB will likely be a multibagger investment, and I advise you to look further into the project if you are interested in buying these tokens.
Terareum (TERA-USD) is another project that looks oversold due to its recent launch of the TeraExchange. The exchange could be the most significant growth driver of the project as it offers many features, such as debit cards, spot trading, and utilities, such as margin, futures, and staking. It also states on its website that it plans to launch its own bank and non-fungible token exchange in the future. If successful, TERA will likely surge as it’ll be the first “crypto bank.”
There are even more ambitions for the project. Namely, the Tera blockchain, which is expected to be launched in Q3, along with the Tera card. This opens the pathway for a possible Google and Apple pay integration. Thus, Terareum has many prospects to back its current price, and I don’t see significant downside risk from here. The Terareum project is scheduled to launch in the United States and the European Union on Jan. 25, on its own decentralized platform.
In the next cycle, Terareum’s Terapool could also aid the token’s price, as many new crypto projects will require funding, while institutional investors are likely to invest in the new Tera blockchain. Overall, the project has many solid prospects, and I recommend exploring this token further.
Nano (NANO, XNO-USD)
Nano (NANO-USD, XNO-USD) is the better-established of the three under-the-radar cryptos, but also suffers from poor marketing. The specialty of this project is that the Nano blockchain allows users to transact almost instantly, with no gas fees or costs. This is probably what newbies first imagined when getting into cryptocurrencies.
The blockchain is infinitely-scalable and highly-decentralized due to Nano’s status as a peer-to-peer network. Not only that, but Nano is relatively green, requiring very little energy to run compared to proof-of-work cryptocurrencies.
Nonetheless, there is a downside to everything, and the biggest downside to Nano is that the blockchain lacks smart contract functionality. The only use case of Nano is that it is purely a payment method, nothing else. Thus, it would take crypto becoming a mainstream payment method for Nano to be a multibagger. That is certainly possible in the long run, though not guaranteed.
On Low-Capitalization and Low-Volume Cryptocurrencies: InvestorPlace does not regularly publish commentary about cryptocurrencies that have a market capitalization of less than $100 million or trade with a 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 low-volume crypto that may be affected by our commentary, we ask that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
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.