The main purpose of Bitcoin was initially to replace fiat currencies. Most of the coiners forgot this point since they mostly use it as a reserve of value. Some altcoins seem to have replaced Bitcoin in this role of payment currency. However, it raises two issues: (i) most of the cryptos require network fees to be transfered, and (ii) the transaction takes time. Just imagine yourself paying in a crowded supermarket and waiting for transaction to be confirmed.
What are the fastest cryptocurrencies for payment?
A key parameter is the estimated time for a deposit on an exchange like Kraken. Below the estimate deposit times for a few coins:
- BCH: 2.5 hours
- ZEC: 60 minutes
- BTC: 40 minutes
- DOGE: 40 minutes
- LTC: 30 minutes
- XTZ: 15 minutes
- ADA: 10 minutes
- ETH: 5 minutes
- SHIB: 5 minutes
- AVAX: 1 minute
- ALGO: 45 seconds
- XLM: Near-instant
- LUNA: Near-instant
- ATOM: Near-instant
- SOL: Near-instant
We can see here that most of the well-known cryptos are not adapted to payment since they require a transaction time from a few minutes to 2.5 hours. The longest time is for BCH, standing for Bitcoin Cash, which will never replace cash, despite its name. Only the near-instant coins could really be used for payment, and there are four coins meeting this near-instant requirement in the list above: XLM, LUNA, ATOM and SOL. Another near-instant coin not listed there is EGLD. Betting on some of these near-instant coins could make sense since they can really be used for payments and some of them (the Proof-Of-Stake ones, i.e., LUNA, ATOM, SOL and EGLD) also offer staking rewards at the same time. Therefore, they offer the possibility to use them as saving account (with staking rewards) and to use them for payment with near-instant transactions. As usual, this is not a financial advice. Please DYOR.
Below a few referral links to earn more cryptos...
