In our previous blog post "Trading with Crypto: Top 3 Myths", we explored how to buy and trade cryptocurrencies on Deriv. But with thousands of digital coins available, which ones should you consider? Deriv simplifies this by offering five major cryptocurrencies to fund your account. Let's examine their unique features.
1. Bitcoin (BTC)
Bitcoin reigns as the most recognized cryptocurrency globally, often referred to as "digital gold" due to its store-of-value properties. Key attributes include:
- Limited supply: Capped at 21 million coins
- Decentralized: No government control
- Inflation-resistant: Scarcity protects value
Transaction Details:
✔ Processing time: ~30 minutes
✔ Confirmations needed: 3
✔ Fees: High
👉 Learn how Bitcoin compares to other assets
2. Ethereum (ETH)
Originally designed for decentralized applications, Ethereum's native token ETH has grown into a major payment currency:
- Smart contract platform: Powers most decentralized finance (DeFi) projects
- Undervalued potential: Many experts predict long-term growth
Transaction Details:
✔ Processing time: 1-15 minutes
✔ Confirmations needed: 6
✔ Fees: Variable (depends on network congestion)
3. Litecoin (LTC)
Often called "Bitcoin's silver", Litecoin offers faster transactions at lower costs:
- Higher supply: 84 million coins
- Practical payments: Lower fees make it ideal for transfers
Transaction Details:
✔ Processing time: ~30 minutes
✔ Confirmations needed: 12
✔ Fees: Very low
Stablecoins: Price-Stabilized Options
4. Tether (USDT) - OMNI & ERC-20
The largest stablecoin pegged 1:1 to USD:
- OMNI version: Runs on Bitcoin's blockchain
- ERC-20 version: Uses Ethereum's network
Transaction Details:
✔ Processing time: 1-15 minutes
✔ Confirmations needed: 6
✔ Fees: Variable
5. USD Coin (USDC)
The second-largest stablecoin with enhanced transparency:
- Full fiat reserves: Backed 1:1 by USD
- Ethereum-based: Utilizes ETH blockchain
Transaction Details:
✔ Processing time: ~30 minutes
✔ Confirmations needed: 3
✔ Fees: Variable
👉 Discover stablecoin trading strategies
FAQ Section
Q: Which cryptocurrency has the lowest fees?
A: Litecoin typically offers the lowest transaction costs among Deriv's options.
Q: Are stablecoins really stable?
A: While pegged to USD, their value can fluctuate slightly based on issuer credibility and demand.
Q: How do I choose between BTC and ETH?
A: BTC serves better as long-term storage, while ETH offers more utility in DeFi applications.
Q: Can EU residents use Deriv's crypto accounts?
A: No, cryptocurrency accounts aren't available for EU-based clients currently.
Q: Which processes transactions fastest?
A: Ethereum-based transactions (ETH, ERC-20 USDT) typically confirm quickest.
Ready to Start Trading?
Now that you understand these cryptocurrencies' differences, you can make an informed choice for your Deriv account. Remember to consider your trading goals, preferred transaction speed, and cost factors when selecting.
Disclaimer:
Cryptocurrency accounts are not available for clients residing in the EU.