Investing in cryptocurrencies can be a wise financial decision with the potential for high returns and the ability to diversify your portfolio.
In particular, penny cryptocurrencies have gained attention for their affordability and potential for growth.
As we enter 2023, the time is ripe for exploring the best penny cryptocurrency to invest in.
This blog will discuss some of the top penny cryptocurrencies to consider for investment in 2023.
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8 Best Penny Cryptocurrency To Invest In For 2023
While there is no guarantee that any of these cryptocurrencies will take off this year, it’s possible to buy many tokens and potentially get in on the ground floor — and maybe benefit from gains later.
If you’re looking for good deals, penny cryptocurrencies might be a good choice.
These are cryptos you can buy for less than $5 per token to buy more significant amounts with a relatively small investment.
Here are some ideas for the best penning cryptocurrency to invest in for 2023:-
1. Stellar (XLM)
Stellar Lumens is fairly well-known as a blockchain payment facilitator. The entire point of Stellar is to provide an open network to move and store various assets.
The infrastructure is being fairly widely adopted, designed to make transactions faster and cheaper. In addition to sending payments worldwide, using Stellar to transfer other assets, including cryptos and even tokenized securities, is also possible.
As of this writing, Stellar is about $0.20. However, with widespread adoption, Stellar could gain value and move much higher, especially with its fast payment capabilities and ability to integrate with the global financial system.
2. Decentraland (MANA)
Web 3 and the metaverse are gaining some traction in the mainstream consciousness, so it’s no real surprise that one of the first blockchain-based virtual worlds has increased interest in recent months.
Decentraland is a virtual world where you can interact with others, buy real estate, and see how the world evolves. Creating and selling digital assets and artwork, games, and other activities is also possible.
The currency of Decentraland is called MANA, and, as of this writing, it costs about $2.71. If you think the metaverse will catch on, being part of the first-ever virtual world might give you a headstart.
3. The Graph (GRT)
For those interested in a better way to organize, index, and access data, The Graph offers an open and easy-to-use method.
Instead of configuring private and custom servers, taking up a lot of space and requiring a great deal of expertise, The Graph is designed to store and process data across an open network.
If The Graph catches on as part of the integral structure of web 3, it could be a big deal later on.
It’s already one of the ways to access Ethereum and Filecoin, making it an easy way to access data that could potentially help entrepreneurs and others build new applications and help the internet evolve to its next stage. Currently, GRT costs about $0.36.
4. The Sandbox (SAND)
One of the up-and-coming trends in blockchain technology is the idea of gaming for tokens — and making money when you complete different tasks and quests in the game.
This is where The Sandbox comes in.
You can earn non-fungible tokens (NFTs) for your efforts, which can be sold or exchanged later. Buying and investing in virtual real estate and other assets is possible. It’s also possible to develop games as well.
For those interested in getting in at the ground level with a well-supported gaming venture, SAND might be a good value, especially since it’s currently priced at $3.08.
5. TRON (TRX)
Named for the movie, TRON is another web 3 infrastructure attempt to change how the internet is built. The focus with TRON is providing more access and power to users rather than platforms like YouTube.
TRON has built an entire ecosystem that developers and artists can access, creating their own projects.
There’s also a side project explicitly aimed at developing and managing apps in a way that allows TRON to maintain its high throughput, keeping stability and transactions high. Currently, TRON is priced at $0.60.
Rather than focusing as much on consumers, VeChain is more about managing enterprises so that businesses function more efficiently. VET is currently priced at around $0.05, and VTHO is at $0.003.
6. VeChain (VET)
VeChain is an enterprise solution for companies hoping to manage their supply chains better. It’s built on top of the public VeThor chain (VTHO).
It’s designed with logistics in mind and is meant to reduce counterfeiting.
Additionally, VeChain supports research and technical insight and encourages blockchain developers.
7. Polygon (MATIC)
As a scaling solution, Polygon is designed to make other blockchains, particularly Ethereum, more efficient and scalable.
Designed by developers, Polygon is meant as a layer 2 solution that allows decentralized apps (dapps) to function more efficiently on top of the Ethereum blockchain in a faster way and also saves on gas costs.
Polygon also considers itself part of the web 3 rollout. It seeks to build a practical infrastructure for the internet that is practical and overcomes some of the scaling issues inherent in blockchain technology.
For those who are looking for simple solutions and think that layer 2 is a good approach, Polygon might be a good choice. Its price is currently about $1.55.
8. Cronos (CRO)
The native coin of Crypto, Cronos, is the new name for the token now associated with the Crypto.com blockchain.
Crypto.com is a crypto app that famously gained attention for its Super Bowl ad featuring Matt Damon.
However, the Cronos Chain is built on Ethermint and is designed for decentralized apps — including decentralized finance (DeFi) and smart contracts.
Because CRO is used by two related chains that are gaining popularity and usage, it might be a good choice for crypto investors. The current price is $0.42.
How To Buy The Best Penny Cryptocurrency To Invest In For 2023?
Once you decide which cryptocurrencies make send for your situation, you’ll want to be able to buy them. It’s important to note that not all cryptocurrencies are available on all exchanges.
For example, some major centralized exchanges, like Coinbase and Gemini, might not offer access to every coin you’re interested in.
For example, you might be able to buy MATIC, MANA, and XLM on Coinbase, but VET and TRX aren’t available on that exchange.
Instead, you might need to look on an exchange like Binance, Kraken, or Crypto to purchase tokens that might not be otherwise available.
Additionally, if you want to buy obscure altcoins, you might need to turn to an exchange like Uniswap, which provides a way to exchange almost any ERC-20 token through liquidity pools.
Before you decide to buy a penny cryptocurrency, it’s important to make sure that you have the currency needed to make the purchase.
Depending on what you’re buying and the exchange you use, you might need to acquire Bitcoin or Ethereum to complete the exchange.
Finally, be careful of fees. A centralized exchange like Coinbase might be easier to use — and accept fiat currency for purchases — but it often comes with higher prices.
You might be able to save money by using Binance or Kraken instead.
Tips For Choosing The Best Penny Cryptocurrency To Invest In For 2023
Because cryptocurrency is such a new asset class, it’s important to carefully consider how you will choose which crypto tokens will likely be the best choice for you. Indeed, there’s no sure way to guarantee that any crypto you choose will gain value.
However, there are a few tips you can use to help you decide what makes sense for your portfolio:
(A) Know the underlying use case:
Look at the underlying use case. Does the crypto token offer something valuable and usable by a broader market?
A solution like Polygon or VeChain provides practical answers to current problems.
Figure out whether the underlying use case could solve an issue many people can benefit from.
(B) Consider governance:
Review the governance and verification protocols. Do you like the consensus mechanism?
Does it look like a well-organized project with good developers?
(C) Understand your own goals and portfolio:
Don’t forget to consider your own portfolio goals.
Just as you would evaluate any asset to determine where it fits in your portfolio and asset allocation, think about the place a crypto token has and what it’s designed to do inside your portfolio.
Whenever you invest, you must be careful and vet your investment.
Consider risking only money you can afford to lose, and don’t put so much into any one crypto token that you would be financially devastated if it doesn’t work out in the end.
Related Post: What If I Invest $100 In Bitcoin Today?
In conclusion, investing in penny cryptocurrencies can be a potentially lucrative opportunity for those willing to take risks associated with such investments.
It’s important to remember that the cryptocurrency market is highly volatile and unpredictable, and investing in penny cryptocurrencies can come with a high degree of risk.
However, with thorough research and careful consideration, investors may find the best penny cryptocurrency for 2023. By keeping up-to-date with the latest news and market trends, investors can make informed decisions and potentially reap the benefits of investing in penny cryptocurrencies.