Among the many features that differentiates cryptocurrencies from each other, there are transaction speeds. A high transaction speed means fast confirmation time for transactions and less waiting time for users.
Nowadays, most cryptocurrencies have high transaction speeds with the most popular being Bitcoin, Ethereum, and Litecoin. But as blockchain technology has evolved, so has the number of cryptocurrencies.
Today, we make a list of top cryptocurrencies with their high transaction speeds.
Define Transaction Speed
Transactions speed in crypto space is the time it takes to confirm a transaction. In the same space, you can find more information about why transaction speed is so important and what are the measures that are currently being taken to improve transaction speed.
Transaction speed is arguably one of the most important factors when considering a cryptocurrency as an investment. If you’re not sure what transaction speed is, it’s simply how quickly a transaction gets added to the network.
The speed of each transaction depends on two factors:
- how fast the sender’s computer processes information
- and how long it takes for other nodes on the network to process and verify it.
Importance Of Transaction Speed
This is important because in order to confirm transactions, miners must solve mathematical puzzles, which takes time. It’s known as proof of work. The more transactions that are waiting to be confirmed, the longer it’ll take miners to solve those puzzles. If transaction times get too long, people will start to lose faith in the cryptocurrency and stop using it.
Top Cryptocurrency With High Transaction Speed
Cardano
Cardano is a cryptocurrency that uses a process called “Ouroboros” to handle transactions. It’s been noted for being one of the cryptocurrencies that has the fastest transaction speed, which is an important aspect in the field of cryptocurrencies, especially as more and more people continue to use it.
Cardano’s goal is to become the first completely open and programmable blockchain platform that can be used for more than just financial transactions.
Ethereum
Ethereum, one of the most popular cryptocurrencies, is unique in that it offers fast transaction speeds. Ethereum’s transaction time is significantly faster than other popular coins such as bitcoin.
This makes it easier for people to exchange their money without waiting for hours before the exchange is complete. This can be especially impressive when you consider that you can use Ether tokens to pay for services like Cryptokitties or any other project built on Ethereum’s blockchain.
EOS
What makes EOS different from other cryptocurrencies is that it can process an unlimited number of transactions per second. Its main net was launched in 2017 and it is one of the most well-known cryptocurrencies out there.
It uses a Delegated Proof-of-Stake (DPoS) consensus algorithm, which means that instead of having miners mine the network, people vote for who will be able to process transactions on the network.
NEO
There are many cryptocurrencies aiming to solve problems in the traditional financial system, but most have had trouble overcoming slow transaction times and high costs per transaction. With NEO, users can send money anywhere around the world within 10 minutes at a cost of 50 cents or less.
This makes it much more efficient than other cryptocurrencies such as Ethereum and Bitcoin who have average transaction times of 30 minutes or more and BTC price transaction costs around $2-$3.
Stellar
Stellar has a fixed monetary supply of 104 billion stellars which just like bitcoin are known as lumens. The lumens are used to facilitate trades on the network. It has been designed to have a transaction time of 5 seconds when compared to bitcoin that takes about 10 minutes for one confirmation.
The payment network is decentralized and peer-to-peer which means you can carry out transactions without having to wait for approval from another party.
Solana
Solana is the first coin to claim an extremely fast transaction speed of 1 million transactions per second on its blockchain. Solana is built on a proof-of-history, which has a different set of rules than other proof-of-work and proof-of-stake systems.
This system allows for a high throughput of transactions while keeping the network secure. The data is stored in serverless architecture using a distributed file system.
Ripple
XRP has a transaction time of about four seconds with around 16 confirmations. This cryptocurrency was created by company Ripple Inc. in 2012 and is named after the Roman numeral XRP, which means ten thousand. It has a supply limit of 100 billion and utilizes the consensus ledger as proof-of-correctness for transactions.
The company also uses this currency for international settlements between financial institutions which leads to faster and more efficient transactions than using traditional systems like SWIFT, CHIPS, or Fedwire.
Cosmos
Cosmos is a cryptocurrency that is relatively new on the cryptocurency market, but it has many things going for it. For one thing, cosmos has a transaction speed that’s much faster than bitcoin or ethereum. It’s also far cheaper to transact with cosmos than ethereum or bitcoin, which makes it more accessible to people who have limited capital.
Tron
Tron has been one of the fastest growing cryptocurrencies in 2018. While Bitcoin, Ethereum and XRP have had a lot of media attention, Tron is often overlooked. It is true that Tron is not as well known as other digital currencies. But it does have many advantages over its rivals. Speed of transactions is one area where Tron leads the pack.
Tron has a transaction speed of 1000 transactions per second compared to Ethereum which has 15 transactions per second and Bitcoin with a speed of 3 transactions per second. Transaction speeds are important because they give users the ability to use the currency in their daily lives