More than 9,000 cryptocurrencies on the market in 2023

Top 20 cryptocurrencies account for nearly 90% of market's total value

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The number of cryptocurrencies continues to explode. In 2023 more than 9,000 coins but some estimates put the total number of cryptocurrencies closer to 20,000, but a significant portion of these are inactive or no longer being used. The ease with which new cryptocurrencies can be created, mainly thanks to open-source blockchain technology, contributes to this high number. The top 20 cryptocurrencies dominate the market, accounting for nearly 90% of the total value.

Creating a cryptocurrency is relatively accessible to anyone with programming skills and knowledge of blockchain technology. Existing platforms such as Ethereum and Binance Smart Chain provide readily available infrastructure for developing and deploying new cryptocurrencies, often with smart contracts within Decentralized Finance (DeFi) applications. This accessibility has led to the emergence of various cryptocurrencies, some focused on real payment challenges, while others have been created with speculative profit motives.

The landscape of cryptocurrencies is characterized by a wide range of categories. In addition to “meme coins” such as Dogecoin, which has its origins in a funny concept, other types include altcoins, utility tokens, governance tokens and stablecoins. Altcoins generally refer to cryptocurrencies created after Bitcoin, the first digital currency. Utility tokens and governance tokens often find applications within Non-Fungible Tokens (NFTs) and the metaverse. For example, the MANA cryptocurrency facilitates real estate transactions within the Decentraland metaverse. Stablecoins, such as Tether, are linked to a tangible asset such as the US dollar, with the goal of minimizing price volatility compared to other cryptocurrencies.

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