Published
1 year ago on
July 04, 2022
This helps investors identify the tokens that best fit their portfolios, and helps casual users decide which tokens are best for them to invest in, based on the crypto experience they want to have. While there are many categories on the market, the largest two currently are utility coins and meme coins.
Utility coins are those such as Solana (SOL) and Ethereum (ETH), whose purpose lies in their ability to hold a diverse and thriving economy, with the tokens having multiple usages across the crypto landscape. They are utility coins because the tokens have many ways to be utilised. These tokens are usually also associated with a parent blockchain, that can host other, smaller projects.
Meme coins, such as Samoyedcoin (SAMO) and Big Eyes (BIG), serve an entirely different purpose. These tokens exist to fuel the community around them, built up by hype and Internet trends that allow them the chance to make a big impact on the market as a whole, with some able to retain this interest long-term.
But which is the better investment for those new to crypto? In this article, we will be exploring the benefits of both.
Utility Coins - The Major Player
When looking at the top 15 tokens by market capital on Coin Market Cap, a majority of the tokens seen are utility tokens, such as Solana (SOL).
This is because, simply, when a utility coin gains traction and has the infrastructure to support itself, it can go on to become a staple in the crypto landscape, with its utility allowing it to be used in all manner of scenarios.
Take Solana (SOL), for example.
Solana (SOL) is a token and blockchain whose utility can be seen across the multiple projects it hosts. Solana (SOL) is a platform that allows users to mint NFTs for sale and trade, build Web3 games, and build new tokens, alongside a host of other services and toolsets that give Solana (SOL) the chance to be used in almost every aspect of a crypto users experience.
One project hosted on Solana (SOL), for example, is Samoyedcoin (SAMO), a meme coin deriving from industry titans Dogecoin (DOGE) and Shiba Inu (SHIB) that features the Samoyed dog on its token.
