From Coindesk | The idea that every cryptocurrency has a place in the ecosystem is a bullish view. Of late there has been much speculation that fragmentation could become a big problem. However, on the flipside many altcoins each specializing in one specific form or function may present a huge opportunity for the industry.
Lee says people see litecoin, for example, as the auxiliary currency for bitcoin: ”People view litecoin kind of as a backup to bitcoin. If bitcoin dies, there’s litecoin,” he said.
Dogecoin creator Jackson Palmer says that transactions are most important for his altcoin. In his opinion, the number of people using his currency is the most important measuring stick for its success:
“One doge equals one doge. Our goal is not to get the coin to $1,000; it is to get people to use it. It’s all about active use.”
Altcoins, at least for now, are very speculative by nature, even more so than bitcoin. Those looking for wild swings and extraordinary promise should think about altcoin investments:
“Bitcoin is already speculative enough. But if you want something more speculative invest in altcoins,” said Lee.