Bitcoin Forum

I have been seriously considering hedging a portion of my Bitcoin
holdings in other cryptocurrencies.

But so far, upon researching, they all seemed to be plagued
with one issue or another.

Ethereum?  Gaining huge traction right now but one
look at the inflation curve compared to Bitcoin and
there's just no way i'm going for that.  

Zcash?  I read that the reason why its so anonymous
is that the funds are internally mixed using a super
secret key 'corporate team key' that 6 people have access to.  
yikes.

Ripple?  Not even a cryptocurrency.  No...just, no.

Dash?  huge instamine (claimed by accident) and 10% of
the rewards go to a treasury account, and some algo
("DGBB") gets to decide how to spend the money. red flags.

What about Monero or Litecoin.

decred is good, it was done by oen of the core team tht now is working on his own project called decred, raised by more than 250% today, i would invest there if bitcoin see trouble

Monero looks decent.  Only problem is I don't see a good wallet for it. You have to run a full node which i don't really want to do, or use a web wallet (out of the question).

Litecoin wasn't even on my mind but why not?

Litecoin - simple bitcoin clone with no innovation whatsover, unless you call a few parameter tweaks and a different PoW algorithm as serious innovation. It's only going one way in the crypto rankings, presumably the fact that it is 'lite' means it has not sunk as fast as PPC and NMC.

Monero has a gui in beta stage, but it does require running a full node as far as I am aware. Don't know if there are any third party SPV wallets.

like I said -- no great alternatives right now.

I also want to store monero but with my internet conenction and my space I cannot run a wallet it will take weeks before I can download the whole blockchain,I will store monero too when I got a new computer.

I've thought about trying to jump on one of the pump & dump alt trains a number of times but just never been fully convinced &/or missed good entry points.

You can make great profits with some of the alts but none of them are long term investments. You need to get in & out quickly, ideally sell so you can increase your bitcoin stash.

Best to stay in Bitcoin. No other coin comes close. Some have some interesting ideas... that's all. Fundamentally not worth it.

Now that BUg is lossing traction and segwit is gaining it, price is recovering. We will come out of this stronger.

PS: Beware of people selling their altcoin as the next big thing in periods of bitcoin weakness.

dozens of other threads for the scaling debate :)  Lets try to keep this one clean. 

I agree with you -- one way or another we will come out of this stronger.

Even though Bitcoin is the best, I still think we should stay vigilant and try
to bring back the utility of fast confirmations and low fees ASAP.  Don't you?

Yeah Monero seems interesting. The web wallet (mymonero) doesn't store private keys or anything as far as I can see, but you're still trusting them to serve you JavaScript that isn't backdoored which they can change at any time.

ah ok.  i suppose it could be used offline then. thx.

Thanks for letting us know about mymonero because i was also looking for good web wallet for monero. But i am really confused by this warning they have on registration page https://mymonero.com/#/create-your-account

I count Litecoin as one of the most perspective among other altcoins. I heard many storyies about how people could increase their capitals with litecoin, the same way as how people got rich with bitcoin. Even I bought couple of Litecoins to see how this invistition will act itself, probably i will buy some more from the next payment from the campaign.

Yeah, that's what I meant in my post. Sorry for not being clear.

None of your private keys should ever touch their server. However there's nothing stopping them silently altering the code to add something that sends your private pass phrase away to someone on the internet.

You should try ETH it's really good , competing and might beat ( lul ) bitcoin in future i am not sure but currently this is the best thing you can plan except keeping bitcoins in cold wallet.

Litecoin can be considered as stable as bitcoin because of large community supporting it but they aren't getting any attention this days. They are good to hedge against bitcoin but for long term holding you may not earn much with it.

Many altcoins have tried to get close to bitcoin and become so popular and addopted but so far none of them hasn't achieved that value. This will be hard because I don't think there is much space for two or more very strong cryptocurrencies on the market. Maybe in the future but at the moment bitcoin will stay without serious competition.

Consider watching the charts on Etherium, Monero, Dash, and Litecoin (maybe others too) and when any of those drop in price, buy a little. I want to buy Etherium too but can't buy it at $50. In fact, I sold some recently to book some profit and I am looking to buy back if it drops.

That's right. Bitcoin has no competition today. No one could come even close to it yet. I think bitcoin is the best investment today. And altcoins are just wasting of time, cause of they appear and disappear almost daily.

I agree with you.
Bitcoin was first and most people learned about virtual currencies through bitcoin example.
Habit is also very important thing.
If you start with something, it's unlikely that you will to quickly change your mind and try something else.
Bitcoin also have very strong network and already a lot merchants accept it.
In my opinion, bitcoin have a lot advantages over other crypto currencies.
Of course, over time, it can change but right now bitcoin is no., 1.

Litecoin is technically way better than bitcoin but it lacks the name. It's only a copycode with better features just like any other out there. At least its not instamined/premined scam coin as far as i know and that's a plus. And its price is being around 4$ for ages. Some people even make fun of litecoin and name it as "4$ Coin" in the btc-e's trollbox. The bad thing about litecoin is its like that ltc devs abandoned it. No news, no advertisements of it, nothing. That's why its losing power.

Bitcoin always have some interesting news. Everyday. One day its the fork FUD, the other day its ETF decision, some other day some exchange gets hacked etc.

Nothing about litecoin. It's as stable&dead as my shoes.

There is no coin that as great as bitcoin yet, all the alt coins in the market is not strong enough to replace bitcoin, the fame and the user is not enough yet to replace bitcoin and become number 1, for now alt coin is great for trading but for usage implementation still not really good , alt coin only can be used in gambling sites, there are no shop yet accepting alt coin as payment

The Litecoin developers say that lite coins is an improved version of bitcoin, with much faster transaction and a script-based mining algorithm, it is considered like silver compared to bitcoin which is gold, the problem with litecoin is it took a long time to setup merchants and shops so can people actually buy things with it,  it is struggling to catch up to bitcoin but they are still way behind, so trying to invest in it is a big risk even if it is cheap.

It depends on what your motives for investing are.  If you're investing as means to store and grow wealth, as opposed to, investing into a vehicle to engage the market place and precipitate exchange, then you'll approach it from different perspectives.  There are technologies that are much more conducive to promoting market growth than bitcoin.  Early projects that engaged and tackled those problems that bitcoin faced, economy of scales being the big one, are in a good position. The ability to engage the markets is highly undervalued, think about that.  Don't underestimate the value of smart contracting, the exchange of goods and services is what generates wealth, the vehicle used is an abstraction.

You didn't mention the biggest red flag: Ethereum is a fiat currency. Blockchain exists to prevent things like arbitrary money supply changing, arbitrary accounts freezing and seizures. They did exactly what blockchain is supposed to prevent people from doing. Of course the original chain survived, but it has much less support than the fucked chain, what questions the very sense of cryptocurrencies existence.

philosophically true but the market doesnt seem to care about that.  if they have a second HF though it will be devastating imo

Ethereum isn't my favourite coin, but let me add two comments:

- "Ether" isn't meant to be used as a regular currency but as a "fuel" for smart contracts. So it's more of a base token on top of which other tokens can be created. An example is MakerDAO, which wants to create a stable currency based on the platform but is in a very early development stage.
- The inflation, if viewed in an exponential way, is descending.

I think with Ethereum one should wait and see if its Turing complete script language really enables something useful that could let to mass usage and couldn't be done in Bitcoin. It's still early and risky. As of governance, for now it's worse than Bitcoin (very centralized).

There are other interesting cryptocurrencies in the second and third tier, like Decred, Sia or Ardor (and others that are very small but interesting, like Slimcoin or Qora), although many of them still are either alpha or their "killer features" (e.g. hard fork voting in Decred) are still not implemented. We have to wait.

So for now, I agree with your general conclusion that there is no really usable alternative.

I haven't invested in anything yet but the potential of the Ethereum network is exciting to say the least. It's still a bit over my head but my imagination is running wild thinking about its potential for automated markets.  I think the potential of ethereum requires more vision and forward thinking. I don't think "ether" will be a great store of wealth but I do think the Ethereum network will prove to be a valuable resource.

Jonald try Siacoin.
AAA long term and A-1+ short term.
I can not give this rating to any other coin at the moment.

Maybe an alt with some interesting features is Stratis (based in bitcoin network, client node written in C#). Moreover there is an electrum - stratis wallet (https://github.com/stratisproject/electrum-stratis/releases/tag/2.7.17) and as hardware wallet a limited edition of stratis genesis ledger nano S. (https://stratisplatform.com/2017/01/18/stratis-and-the-ledger-wallet/) Maybe is more a platform than currency but has some interesting people behind it like as the btc core dev Dorier. So maybe it's worth a second look.

There is no real competitor to Bitcoin when it comes to cryptocurrencies. Currently Bitcoin has 12M+ market cap. The closest competitor is Monero which has a market cap of only about 100K.

The reason for this is that Bitcoin has by far the biggest network effect. Additionally, the Bitcoin network continues to grow at a much faster pace than other cryptocurrencies. The Bitcoin project continues to attract developers, investors and users whereas other cryptocurrencies pale in comparison in each of these areas.