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Nest Protocol's NEST is the best-performing crypto with a net gain of 232%.
Along with GMX, Trust Wallet's TWT is the second-best-performing crypto in the top 300, with a net gain of 90%, due to the shift in favor of self-custody and a boost from Binance CEO, CZ.
Shardus's ULT, PlatonCoin, SSV Network's SSV, BinaryX's BNX and Gains Network's GNS round up the list of the top 8 best-performing cryptos of 2022.
This article was updated in Jan 2023 to reflect new price movements.
2022 could be one of the worst years in crypto history. With the unending Russian-Ukraine war, record-high inflation in the U.S. since 2008, the Terra and FTX collapse, "loud layoffs" involving tech giants like Meta and Amazon, and deteriorating tech stock prices – the crypto market has gone through a rough ride this year. But these conditions have not affected all cryptocurrencies in equal measure.
While some coins are ending the year in the red zone after shedding more than 50% of their value since their recent all-time highs, others have managed to defy the trend and are closing the year in the green zone. At CoinGecko, we've prepared a list of the 8 best-performing coins with the largest gains based on price movements this year. Join us as we look into each of these coins and what makes each of them unique.
Do note that this list is for educational purposes and not meant to be taken as financial advice. Please see below for more information around the methodology of how we identified these coins.
Top 8 Best Performing Crypto of 2022
These are the 8 best-performing coins in the top 300 with the most significant gains based on the year of 2022:
Nest Protocol (NEST) – 232%
Nest Protocol includes the NEST oracle, Omnipotent market maker (OMM) mechanism, Probabilistic Virtual Machine (PVM), random information tokenization, and NEST coin.
The NEST PVM allows for the creation and programming of on-chain stochastic assets, which can generate on-chain assets with any desired risk-return structure. As all on-chain applications involve the purchase of stochastic assets, NEST has the potential to provide services for all on-chain applications. NEST is a token that is issued and destroyed based on specific instructions, and it can effectively address issues related to atomic settlement and market clearing that ETH cannot. Additionally, NEST utilizes the OMM (Omnipotent Market Maker) mechanism, which enables anyone to trade directly with the NEST system and potentially offers users unlimited liquidity.
The protocol is powered by a native token called NEST, which governs the platform and rewards community members for their contributions. NEST holders are entitled to weekly ETH dividends from the protocol's fees, based on the proportion of NEST staked, and also enables users to vote on the protocol's direction, where 1 NEST equals 1 vote.
In 2022, the NEST token experienced an impressive price performance of 232%, perhaps due to its focus on innovation and decentralization, making it the largest gainer of the year.
Trust Wallet (TWT) – 90%
Trust Wallet is a web3 wallet that allows users to store, manage, and transfer various digital assets across several blockchains, including but not limited to Bitcoin (BTC), Ethereum (ETH), BNB and non-fungible tokens (NFTs). It is a mobile wallet that is available on both iOS and Android devices. You can use also it to interact with various decentralized applications (dApps).
One of the main features of Trust Wallet is its focus on security. It uses advanced security measures, such as secure key storage and two-factor authentication (2FA), to protect users' digital assets. It also allows you to set up a recovery phrase, which you can use to restore access to your wallet if you lose your phone or forget your password.
TWT has appreciated by 90% in 2022. The token's surge begain in November after the FTX collapse caused a bank run where investors cashed out their assets from exchanges en masse, when Binance CEO, CZ, tweeted his support for Trust Wallet as a self-custody solution.
.@TrustWallet allows you to store your crypto yourself, if you want. Your keys, your coins.— CZ 🔶 Binance (@cz_binance) November 13, 2022
Distrust in centralized exchanges (CEX) – including the current fear, uncertainty, and distrust (FUD) surrounding Binance – appears to have ignited the need for self-custody solutions as users wait for Proof of Reserves to prove that the institution actually holds the specific assets that match specific account balances.
GMX (GMX) – 90%
The broad scope of facilitating the complete activity shift from CEXs to DeFi is enormous. The crypto community needs a sophisticated set of tools (derivatives, market-making capacities, and more) native to central exchanges while remaining suitable to a broader user base and large trading volumes. GMX is a potential piece to the puzzle that facilitates the decentralized trading of perpetual futures on various assets with almost 30x leverage on Arbitrum and BNB Smart Chain.
The impressive performance of GMX is also fueled by the exodus from CEXs driven by the FTX collapse. High inflows to DeFi pushed GMX exchange to outperform Uniswap in protocol fees in November 2022. Its main strongholds are the exchange's cost-effective fees and minimal price impact trades.
To find out more about GMX and how to trade on the platform, check out CoinGecko's guide to GMX.
Shardus (ULT) – 87%
Shardus has created decentralized ledger software to solve the problems of first-generation blockchains – scalability, decentralization, and efficiency. It leverages compute and state sharding to accommodate a broad user base and empower global-scale distributed networks. Shardus key features include:
High speed: It processes transactions promptly instead of classifying them into blocks, leading to increased throughput.
Scalable processing: It routes transactions to shards (groups of nodes). As such, not every node processes transactions, making the chain scale to millions of transactions per second (TPS).
Scalable storage: It distributes state data across many shards, creating networks that can store multiple accounts without needing petabytes of storage from nodes.
Fully decentralized: You can leverage off-the-shelf machines to participate in the network's consensus mechanism. This significantly minimizes entry barriers to the network's decentralization efforts.
PlatonCoin (PLTC) – 61%
PlatonCoin is a digital currency that is part of the Platon Life ecosystem, where users can buy and sell with PLTC. PLTC offers users an insured digital wallet, offering users insurance of up to EUR 1 million against theft, depending on their membership level. It offers users the chance to stake their PLTC for passive income. Besides, you can use PLTC to purchase items from partner stores and participate in actions for luxury brand items.
SSV Network (SSV) – 47%
SSV Network is a decentralized staking protocol that facilitates the decentralized functioning of Ethereum validators. It works by splitting a validator key among over three non-trusting nodes. The nodes are mutually required to perform the validator roles through a proof-of-stake (PoS) mechanism. Generally, SSV Network turns a validator key into a multisig concept controlled by a consensus layer.
The network boosts the robustness and fault tolerance of nodes on the Ethereum blockchain. Allocating validator keys among nodes significantly improves the standard staking mechanism through the:
Offline storage of validator keys
Active to active redundancy
Tailored node instances
Threshold signature mechanism
SSV Network is the first open application of the SSV model, birthed by the Ethereum Foundation research in 2019. The protocol has grown to a DAO-based, community-driven network of stakers, developers and operators.
BinaryX (BNX) – 13%
BinaryX is a crypto game platform on the BNB chain behind play-to-earn games CyberDragon and CyberChess. it is the first game globally to launch a Decentralized Autonomous Organization (DAO) system, giving players the power to vote and decide the future of the game.
In December, the BNX token experienced selling pressures due to the scheduled unlocking of tokens, resulting in a DAO vote to quell the rumors and stablize the token price, in which the team will buy back BNX on the secondary market based on market conditions, where the repurchased tokens will be burnt to stablize the token price.
The team also unveiled their plans for 2023, which includes:
- Launch of the BinaryX IGO website: The BinaryX IGO website aims to support the launch of promising gamefi projects.
- Cyber Incubation Fund: This fund will be managed by the BinaryX community with the goal of supporting promising projects and other web3 builders.
- CyberLand: CyberLand will be a play-to-own open-world MMORPG, where players can enjoy freedom in resource production.
Gains Network (GNS) – 8%
Gains Network is a decentralized trading protocol that enables you to profit by predicting the prices of assets. Your profits or losses are amplified since the network provides high leverage devoid of funding charges – you indirectly borrow leverage, meaning your profits/losses are your own. Gains Network boosts the biggest trading pairs, ensuring flexibility and user choice in its decentralized leverage products.
GNS (rebranded from the GFARM2 token) is native token of the Gains Network ecosystem, serving as a utility token, store of value, and potentially a governance token as well. The Gains Network team claims to be working towards instituting a DAO powered by the GNS token, where GNS token holders will be able to contribute to the platform by voting on improvement proposals.
Conclusion and Methodology
NEST, TWT, GMX, ULT, PLTC, SSV, BNX and GNS are the top 8 best-performing cryptos of 2022. The mass exodus from CEXs to DEXs and unique features, particularly regarding staking and leverage trading, have contributed significantly to the impressive price performance of these cryptocurrencies.
This list is derived based on the price movements of cryptocurrencies within the top 300 list on CoinGecko from January 1 to December 31 2022. This list does not include stablecoins.
Josiah is a tech evangelist passionate about helping the world understand Blockchain, Crypto, NFT, DeFi, Tokenization, Fintech, and Web3 concepts. His hobbies are listening to music and playing football. Follow the author on Twitter @TechWriting001