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April 3, 2019 -- ADVFN Crypto NewsWire -- Last week Weiss released their annual report on cryptocurrencies featuring ratings and a general outlook. The company engages in many other more focused cryptocurrency research, but this annual report functions as the root of discovering the greatest potential growth areas and what their more concentrated research should look into. Weiss ratings are looked to for nearly every industry, and the company took a strong stance on the importance of cryptocurrencies last year by creating a standalone platform for their research on the topic. In January of 2018 they launched the Weiss Cryptocurrency Ratings website which includes weekly reports, and other valuable investor information

"Despite lower prices since early 2018, our ratings model gives us hard evidence that a critical segment of the cryptocurrency industry has enjoyed remarkable growth in user transaction volume, network capacity, and network security. Equally important is our finding that these improvements are often powered by an evolution in the underlying technology. Therefore, for those willing to take the risk, the best time to invest could be very near." - Weiss Ratings founder, Martin D. Weiss

Weiss Cryptocurrency Outlook 2019

They rated a total of 122 cryptocurrencies this year, in contrast to only 74 at the onset of the annual report, using "a comprehensive, balanced overview of all factors, based on a complex algorithm — not an average of the component grades. When making choices, investors should focus primarily on this overall rating." There are two major categories where these factors are positioned:

• Investment Risk/Reward Rating - the downside investors should be aware of, reflecting price volatility and magnitude of recent declines vs. profit potential based on price momentum and recent returns to investors.

• Technology/Adoption Rating - software capabilities, such as level of anonymity, sophistication of monetary policy, governance capabilities, ability or flexibility to improve code, energy efficiency, scaling solutions, interoperability with other blockchains, and the real world performance along with community of developer/enterprise/public use.

Major Trends Identified:

• Several segments of the cryptocurrency industry have seen remarkable growth in the volume of user transactions

• Adoption is now highlighted as a function of improving technology.

• Cryptocurrency configurations are changing with Delegated Proof-of-Stake (DPoS) coins rising, and Proof-of-Work (PoW) coins losing market share

• Some cryptocurrencies are moving beyond traditional style blockchain networks

• Advanced, userfriendly dApps (Decentralized Applications) will play a major role in determining the winners (Decentralized, crypto-based social media, Peer-to-peer lending, Fair and secure elections)

Top 10 Coin Rating Examples

• XRP is best viewed in competition with SWIFT, the global network for interbank money transfers. Tech/Adoption Grade: A

• EOS is viewed in competition with Ethereum to become the backbone of the new internet (3.0). Tech/Adoption Grade: A

• Bitcoin highlights improving technology with the launch of Lightning Network, viewed as a store of value for savers and investors. Tech/Adoption Grade: A

• Ethereum is the most popular used smart-contract platform, but faces scaling problems. Tech/Adoption grade: A-

• Cardano is also viewed in competition with Ethereum, but with a stronger focus on  advanced smart contract capabilities, monetary policy and governance. Tech/Adoption Grade: B+

• Steem, NEO, Stellar, Zcash, and BitShares were the other five included in the top 10

By: BGN Editorial Staff