This article was last updated on July 6, 2022
Cryptocurrencies are all the rage nowadays. Everyone is talking about them and with good reason. Crypto prices have exploded to astronomical heights in a matter of months and are now dominating the social discourse. However, there are numerous cryptocurrencies out there, and not all of them cost thousands of dollars. As more people are looking for affordable ways to invest in the new technology, we have put together this list of the best penny cryptocurrencies to invest in in 2022.
While their full adoption is still a ways off, cryptocurrencies’ potential to destabilize the modern banking sector is undeniable. Many enthusiasts and experts alike see them as the future of finance. While the jury is still out on whether or not this will be the new money, in the meantime, cryptocurrencies have presented themselves as an excellent investment and trading opportunity.
Table of contents
- What Are Altcoins
- What Are Penny Cryptocurrenices
- Important Factors When Choosing The Best Penny Cryptocurrencies To Invest In 2022
- Top Penny Cryptocurrencies To Invest In 2022
- The Best Places To Buy Penny Cryptocurrencies in 2022
- Top Crypto Wallets To Use With Penny Cryptocurrencies In 2022
- The Bottom Line On Penny Cryptocurrencies
What Are Altcoins
Altcoins, or alternative cryptocurrencies, are all cryptos that came after the Bitcoin. This is a broad umbrella term that includes everything from Ethereum to the currencies whose price is next to nothing. Altcoins also use the revolutionary blockchain technology that Bitcoin pioneered, and some are even trying to expand on the concept.
However, most altcoins came about as a result of Bitcoin’s success and are trying to piggyback off of it. Many have no clear business plan or a solid strategy behind them. This makes them poor investment choices, as the creators’ intentions might be to cash out at an opportune time and abandon the project.
While fraud might be a possibility, you shouldn’t let it dissuade you. There is always a risk of this happening, regardless of what field you are trying to invest in. However, if you do your proper research and avoid getting swept up by the hype trains, you should be able to evade such problems fairly easily.
What Are Penny Cryptocurrenices
Named after the so-called penny stocks, penny cryptocurrencies are less popular altcoins valued at a much lower price. While mainstream currencies like Bitcoin and Ethereum can cost tens of thousands of dollars for a single token, penny cryptocurrencies are much cheaper. As such, they will often sell for mere pennies or even fractions of one. This is in stark contrast to the large budget requirements of the major currencies.
There are innumerable existing examples of penny cryptos, with new ones popping up every day. More often than not, they will not rise significantly in value and will end up going bust. However, those that do end up flourishing always pay out handsomely for investors. This makes navigating the market difficult at times, especially for newcomers. Before you make your decision, you should always do your research and weigh a particular coin’s pros and cons.
Related: What Is Crypto Arbitrage?
Important Factors When Choosing The Best Penny Cryptocurrencies To Invest In 2022
When choosing promising penny cryptocurrencies to invest in in 2022, there are several essential factors that you should always consider and take into account. These fundamentals are crucial to determining the coin’s future potential and its feasibility. The best penny cryptocurrencies will usually cover all of them.
Technology is one of the most important underlying factors when it comes to cryptocurrencies. A given crypto is only as strong as its core technology. This means that you need to look for innovation in any potential investment. However, the technical factor also includes the build quality. You need to be sure that if the crypto achieves success, it will be able to scale properly and handle the heavy load seen by mainstream blockchains.
Security is another major factor with cryptocurrencies. While this is one of the main selling points of the blockchain, it is also oftentimes lacking with less prominent projects. You should make sure that your particular blockchain offers transparency for all transactions. This will allow the community to monitor them and put its mind at ease.
History is always important when making investments of any kind. Always do your research into the project’s past. What is its purpose, who was involved, who funded it, and more. These are all important factors that affect its future potential. Looking back also allows you to see how the crypto has performed in the past, which might provide you with insight into potential future developments.
The adoption rate is a critical factor for a cryptocurrency’s growth. The more platforms that integrate it into their services, the wider audience it will reach. This also gives it credibility and increases the chance that more platforms will adopt it. The rate at which this occurs is crucial, as even the best crypto cannot sustain itself if it does not gain widespread use quickly enough to increase revenue.
Future potential is important and closely relates to the technology aspect of a coin. A cryptocurrency needs to be sustainable and scalable. It should be able to adjust to fit the changing environment as time passes.
Top Penny Cryptocurrencies To Invest In 2022
Dogecoin is perhaps the most infamous of the penny cryptos. Advertised by the likes of billionaires Elon Musk and Mark Cuban, what started off as a meme, has turned many early investors into millionaires. Back when it launched its public offering, Dogecoin was priced at a little under $0.002. However, during the crypto craze of 2021, the currency peaked at $0.72. This brought the market cap to a whopping $80 billion as prices increased by 8,000%.
While nowhere near the sky-high price of Bitcoin, this turned out to be incredibly lucrative for those who had bought Dogecoin early on. Most investors had purchased the penny crypto as a joke since it features the viral Doge internet meme. While not a sound investment, Dogecoin could yet be gearing up to hit a new high, as it is impossible to predict what the internet will decide. This makes it an excellent option for investors who are more willing to risk their funds for a greater reward.
Ripple is one of the most popular altcoins currently existing on the market. Released back in 2012, the crypto was created by Ryan Fugger and Jed McCaleb, whom investor Chris Larsen funded. The price of Ripple hit its peak during 2018 when it rose to $3.5. While this has decreased since then, having dropped below the $1 mark, Ripple is still a favorite currency among both users and investors. It has enjoyed wide application in a number of services and storefronts. As such, its future outlook is quite good and places it among the best penny cryptocurrencies to invest in in 2022.
Ravencoin is a relatively new penny crypto that has picked up steam over the past few months. Originally developed to be easily mintable, Ravencoin is intended to be used as securities or digital certificates of ownership. This makes them very similar to NFTs, which serve many of the same purposes. However, this cryptocurrency has less functionality and operates its own blockchain. Ravencoin is more focused on the financial aspect and has broader applications in the financial sector rather than the art world.
Recently, crypto miners have found this to be one of the more profitable currencies to mine. This has further increased its popularity and led to wider adoption. Meanwhile, as more and more people start to use the currency, mining will become even more lucrative, thus creating a well-sustaining cycle.
All of these factors create a solid basis for the currency and have led many to believe that it has a bright future. At the time of writing, Ravencoin is priced at about $0.12, so investing is possible at any level. As such, it might be one of the safer and possibly best penny cryptocurrencies to invest in 2022.
Stellar coin was developed to be used as a low-cost way to transfer funds between accounts. The company behind it has been quite successful in this, as more and more platforms are adopting the currency. Initially released in 2014, Stellar is now one of the most widely used cryptocurrencies. While a lot of this is not seen by the end-user, many businesses and payment systems use the coin as a means of internally transferring funds quickly and cheaply.
Currently, Stellar is providing an easily accessible payment platform to users of all backgrounds. This is very much in line with their mission to make global finance cheap and available to everyone. The service can is very similar to fintech platforms which offer many of the same features. However, what differentiates Stellar from them is its underlying blockchain technology and integral use of cryptocurrency.
Stellar has also struck up several high-profile partnerships with organizations like IBM, Franklin Templeton, and Grayscale. Meanwhile, the popular payment gateway Stripe announced in 2018 that it would be replacing Bitcoin with Stellar within its system. The price of the currency was at an all-time high when it hit $0.83, but it has somewhat fallen off since then.
While Tron might sound like a sci-fi movie from the ’80s, it is actually a very respectable cryptocurrency as well. This Chinese-developed token has exploded in value over 2021. It was developed in 2017 with the aim of being used in the entertainment industry. Users on the Tron platform can use the cryptocurrency to pay creators and access their content while eliminating transaction costs.
Since Tron challenges megaliths like Netflix and Amazon, the company has a tough road ahead of it. However, if successful, it can eliminate the middleman, so to say, and make content on the internet much more easily accessible. This is also a huge plus for creators, as it reduces fees and increases their share of the profits. Buying into Tron right now could mean getting in on the ground floor for something revolutionary.
VetChain’s services are more business-leaning. They aim to create a transparent world where information about a product is readily accessible through a decentralized network. For example, manufacturers and suppliers can use this to track their products during transportation. By using sensors, they can determine the environment, temperature, quality, and quantity of their products. Alternatively, individuals could use the technology to keep track of the state of their own assets.
A high-profile partnership between VeChain and Renault saw the creation of a digital car maintenance book. This contains information on when a car has been serviced, the origin of the parts, and their current state. The book itself is backed by the blockchain and cannot be tampered with.
Meanwhile, the underlying technology of VeChain is very similar to that of Ethereum. In fact, the penny crypto was part of the Ethereum network at first but later split off to form its own blockchain. There is another token that operates on the network named VeChain Thor Energy (VTHO). This is used to manage smart contracts and works very much like “gas” does on the Ethereum network. The VET coin also has a limited supply of 86.7 million, as validators use it to facilitate transactions.
Chiliz is a sports-oriented cryptocurrency. It can be exchanged for team-specific tokens on a dedicated exchange platform. With these, sports fans can interact with their favorite teams more closely and be more engaged in various decisions. Users can exchange the team tokens for participating in community events, earning rewards, and even voting in polls to affect certain decisions within the management of the team. For example, fans have voted on the proposed designs of team uniforms or participants in MMA fights.
The fact that Chiliz is so heavily integrated into the sports industry gives it an advantage. By focusing on a specific segment, the company has found a dedicated niche. Sports fans are always looking for more ways to increase their involvement with their favorite teams and are willing to pay for it.
While this makes Chiliz less of a serious investment option, it could grow into something more light-hearted than other cryptos. The spending power of the target customer base is very strong, which gives Chiliz the potential to become very profitable in its own right. This might be one of the best penny cryptocurrencies to invest in 2022 if you are looking to add something less serious to your portfolio.
QLC Chain (QLC)
Meanwhile, a new penny crypto, named QLC Chaim, is taking aim at telecommunication companies. Created on the NEO blockchain, QLC promises a decentralized telecom network that would allow customers to share phone minutes, SMS allowances, mobile data, and more. This will improve the overall user experience and strengthen security.
When the company launched its initial coin offering, it quickly raised more than $19 million in less than a month. This has provided them with plenty of funds to further develop their platform and keep it operational for the foreseeable future.
Standard Tokenization Protocol Token (STPT)
The Standard Tokenization Protocol is a bold new project that aims to further the field of tokenization. Through it, users are able to turn any asset they wish into a token and split it up into smaller blocks. STP creates tokens that are compliant with all necessary regulations. It also assures that tokens follow the issuer’s specific requirements. This uniformity allows them to easily be transferred across jurisdictions and platforms.
In order to operate, the protocol uses its own onboard compliance validators and validation committee. These receive the proprietary Standard Tokenization Protocol Token for the work they have performed on the blockchain. However, since STP works on a proof-of-stake basis, validators will need to stake a portion of their tokens. Meanwhile, those who wish to perform transactions or issue tokens will need to pay gas fees.
The technology has potential for future growth as it offers greater transparency and security. This is an attractive prospect for governments and regulatory bodies that are always looking to increase their reach within the anonymous world of cryptos. This is good for the token, which is integral to the operation of the blockchain.
Shiba Inu (SHIB)
Shiba Inu is another meme altcoin and penny stock. Just like the Dogecoin, it features an image of a Shiba Inu breed dog that gained popularity with the Doge meme. Created in 2020, this crypto was touted as “the Dogecoin killer” by supporters. In 2021, prominent billionaire Elon Musk tweeted several times mentioning the coin, causing its prices to soar. The currency increased more than ten times in price and reached a market cap of $35 billion. At its peak, it was worth $0.00008845.
While this might seem like a minuscule number to you, it was more than enough to make millionaires out of those who had invested on the ground floor. This is yet another instance of something that started off as a joke, going sky-high. More recently, Shiba Inu prices fell off slightly but are again seeing an uptick. For a detailed exploration and forecast of Shiba Inu, check out our analysis of the crypto.
Harmony is a layer 2 blockchain platform that aims to create a faster and more robust decentralized network. The main focus of the project is to create a blockchain that can remain truly decentralized, even at a large scale. Additionally, Harmony promises low costs and high speeds, regardless of the network size. All of this is built on the Ethereum network, which makes Harmony easily adoptable for many developers already working with the well-established blockchain.
The market offering for the project was launched in 2019, and although it had a slower start, prices have enjoyed a significant increase since 2021. The project has garnered interest from both retail and corporate investors thanks to its forwrd-thinking goals. If the developers behind the project are successful in delivering on the promised speed and scalability of their network, then Harmony is sure to change the industry in a major way.
Hedera Hashgraph introduces a new consensus algorithm that rivals the popular Blockchain’s Nakamoto consensus currently used by most cryptos. This new technology promises greater speeds and better performance while lowering costs. Due to its new way of registering transactions on the network, Hedera also improves scalability, so many benefits are yet to be utilized. As such, it just might be one of the best penny cryptocurrencies to invest in 2022.
Hedera has already partnered with multiple large organizations and institutions to facilitate transactions. IBM has already incorporated Hedera for its corporate network and has praised the technology for its performance and efficiency. Meanwhile, Standard Bank Group in Africa has announced plans to incorporate the technology in their system. They expect this to speed up processing in cross-border trading of goods.
The innovative underlying technology promises growth for Hedera as more and more organizations adopt it. The network already sees some of the most daily transactions per currency in the industry, even though the general public is not aware. This is due to its high functionality for enterprise-level applications. As a result, the underlying token has grown exponentially in price since the start of 2021 and currently has a trading volume of over $174 million.
Copiosa Coin (COP)
Copiosa is a new crypto marketplace intended for the trading of small-cap currencies. It promises a friendlier user experience that allows customers to easily take advantage of DeFi and other financial services. The platform plans will include a wallet service, a crypto exchange, and an NFT marketplace. It also has its own currency based on the Binance smart chain network and will be used to make transactions on the marketplaces possible.
Copiosa has seen a tumultuous series of months since its release in May of 2021, during which time its price has risen and fallen off several times. Its all-time high was $0.06631. Since the platform’s main features have yet to launch, the price is expected to rise once again.
Crypto.com Coin (CRO)
There are numerous prominent crypto exchanges that have created their own cryptocurrencies to integrate into their platforms. Crypto.com is one such major marketplace that has a currency used to facilitate transactions within its exchange. Currently, this is valued at $0.4449 per coin.
This coin has great future potential as Crypto.com is one of the leading exchanges in the market. Millions of people use it daily, and it has become a staple in the crypto world as a go-to marketplace.
Reserve Rights (RSR)
The Reserve Rights token is something different from what we have grown accustomed to in the crypto world. There are two currencies on the network – RSR, and RSV. The latter is pegged to the US Dollar with a ratio of 1:1. Its purpose is for customers to use it in day-to-day transactions and other payments. Meanwhile, the RSR is used to operate the reserve network and is the investment opportunity.
The Reserve’s targeted customer base is people living in regions where hyperinflation is a significant issue. By using RSV, users can deposit their local currency and instantly receive this stable one. This is useful as it makes transactions simpler. Since the RSV is also a stable coin, it eliminates the uncertainties that drastic fluctuations in the price of local currencies present. This factor especially affects assets in the long run.
The Best Places To Buy Penny Cryptocurrencies in 2022
While many penny cryptos are widely available across marketplaces, many others are harder to come by. As such, you might need to head to a lesser-known platform to make your purchase. This might make you a bit uneasy, as some exchanges are difficult to navigate at first and require exchanging multiple coins before you can purchase your desired one. Meanwhile, there are also numerous scam websites out there that you need to watch out for. So, how do you navigate this choppy sea of crypto?
Additionally, many banks around the world have different policies when it comes to transactions to and from crypto-related platforms. While some are friendly towards the new technology, others will outright block deposits or withdrawals from crypto exchanges. Several have even been known to outright close accounts following such transactions. The majority of traditional UK banks, in particular, are crypto-unfriendly.
Below, we have listed several popular and reputable marketplaces that you can check for your desired coin.
Binance is perhaps the largest exchange for cryptocurrencies. It offers thousands of cryptos, tokens, NFTs, and various other digital assets. Here, you will easily be able to buy your preferred crypto, even if it is a penny one. The marketplace also has its own coin, which can be used to make purchases on the platform. Other available payment methods include debit and credit cards, bank deposits, and exchanging cryptos that you might already have.
Coinbase is another large crypto exchange platform. However, this one does not feature such a wide variety of coins. As a result, you will mostly find more expensive coins here. As for the penny cryptocurrencies available on the website, those are mostly ones that have entered the mainstream field of view like Dogecoin or Shiba Inu.
Crypto.com is a very popular exchange that many people use to invest in penny cryptocurrencies in 2022. However, it is better suited for DeFi use, as it offers a variety of financial services. Users can have cards issued and use the platform to make payments. This does not mean that you cannot use it simply as an exchange, however. Their catalog of cryptos is extensive, and you should have no trouble finding your desired penny cryptocurrency.
eToro is the most popular trading platform online. Advertised by the likes of famous football players and Hollywood actors, eToro allows users to trade in assets like stocks, currencies, cryptos, and more. The platform features a small number of altcoins, again, mainly mainstream ones that are heavily discussed by the public. However, if you are looking for the most convenient and least demanding way to buy crypto, then this might just be it. The main selling point of eToro is the platform’s 0% commission fees on trades.
*0% Commission is only for real stocks/ ETFs investment.
eToro USA LLC does not offer CFDs, only real crypto currencies are available on the eToro platform.
OKEx is another great place to trade penny cryptos. This marketplace features more than 350 altcoins. You can easily trade these for more common cryptos, which you can purchase from the website via debit and credit cards, bank transfer, or mobile payment systems.
Huobi is a popular crypto exchange targeted mainly at customers from Asia and the Pacific. Listed on the Hong Kong stock exchange, the company offers a large variety of penny cryptocurrencies to invest in 2022. These include some very obscure ones, so if you are looking for something more particular, this might be the place for you. Again, the website allows payments with credit and debit cards, as well as P2P purchases made in your local currency.
Top Crypto Wallets To Use With Penny Cryptocurrencies In 2022
Aside from choosing the right penny cryptocurrency and marketplace, you will also need a good wallet to store your coins in. While most exchanges allow you to store currencies in a wallet on their platform, this doesn’t provide the same level of security and ownership. In such cases, the platform holder usually has control of the wallet and executes transactions in your stead. Below, we have listed some of the most popular crypto wallets that support a wide variety of currencies and tokens. Always remember to check whether the wallet you are choosing accepts the crypto you want to store.
Binance is one of the most popular wallets when it comes to cryptos. The platform allows you to store more than 500 different cryptocurrencies, tokens, and other assets in your wallet. This is perhaps the widest selection in the market and gives customers plenty of flexibility and choices. This is also integrated with Binance’s crypto exchange, so you can trade and store cryptos on the same platform.
If you are looking for a good hardware wallet, then Trezor might be the right choice for you. This is one of the most famous hardware wallets out there and provides unparalleled security. The service uses a small authenticator device that you need to connect to your computer or mobile device. This will then generate a unique code for you to enter in order to gain access to your wallet. Trezor keeps all of your info offline, so it is much more difficult for it to be stolen. However, Trezor can be a bit costly.
Guarda is a very flexible and easy-to-use dedicated wallet service. It offers support for more than 50 major blockchains and the various coins and tokens based on them. This makes it ideal for penny cryptocurrencies. The service is also easily accessible from anywhere, as it can come in the form of a mobile app, a desktop app, a chrome extension, or you can access your wallet straight from the website.
Coinbase Wallet is another wallet service provided by a popular crypto exchange platform. It supports more than 500 different currencies and tokens, as well as other assets like NFTs. Coinbase has fully integrated the wallet into their crypto exchange which makes it a great way to trade on the popular platform. If you are new to the crypto scene, the straightforward UI will allow you to easily find your bearings.
Ledger is another cold wallet that provides hardware two-factor authentication. The wallet supports over 1,800 currencies and tokens, with more being added regularly. The device connects to your computer or mobile device via USB as is standard. However, it can also connect to smartphones through Bluetooth, which is a more unique trait among hardware wallets.
The Bottom Line On Penny Cryptocurrencies
When it comes to penny cryptos, investing is always a high-risk, high-reward venture. However, you should always conduct extensive research into the currency, its underlying technology, platform, and developers before committing to an investment. Websites such as reddit.com are excellent resources when looking to deep dive into a particular currency. However, they do have a bit of a learning curve and can take some time to get accustomed to. Using this guide, you should gain a good insight into some of the best penny cryptocurrencies to invest in 2022 and the main factors to consider when choosing one.