5 Best Cryptocurrencies to Invest in According to Hedge Funds

2. Ethereum

Ethereum is the second most popular cryptocurrency in the world built on a blockchain-based network that allows for the development of secure products without any third-party interference or other problems like downtime. It is placed second on our list of 10 best cryptocurrencies to invest in according to hedge funds. Ethereum is being cited as one of the potential contenders to Bitcoin as the most popular cryptocurrency in the world because of the improved stability and security options it offers compared to Bitcoin. 

On March 21, business news publication Bloomberg reported that hedge funds in Europe were loading up on Ethereum as Bitcoin plunged in value, betting on the cryptocurrency to challenge Bitcoin dominance in the market in the coming months. Some of the famous funds cited in the report included United Kingdom-based MVPQ Capital and France-based Blocklabs Capital Management, both of which have backed blockchain to succeed in finance markets outside the United States.

Ethereum is one of the most popular cryptocurrencies in the world and is supported by payments companies like PayPal Holdings, Inc. (NASDAQ: PYPL). PayPal Holdings, Inc. (NASDAQ: PYPL) has so far added support for only four big cryptocurrencies for transactions after announcing earlier this year that it would allow users to checkout with crypto.

Out of the hedge funds being tracked by Insider Monkey, London-based investment firm Fundsmith LLP is a leading shareholder in PayPal Holdings, Inc. (NASDAQ: PYPL) with 12 million shares worth more than $2.9 billion.