Best Bitcoin Alternative UK – 3 Alternative Cryptocurrencies to Consider

Fact Checked by Gary McFarlane

Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.

There is no denying that Bitcoin is the leading cryptocurrency in terms of market capitalization and value, trading volume, mass awareness, and real-world adoption. However, it’s important to remember that Bitcoin isn’t the only digital currency in this marketplace.

On the contrary, there are more than 11,000 crypto assets in existence – some of which could represent a more attractive investment prospect than Bitcoin.

In this guide, we explore the Best Bitcoin Alternative UK by discussing three cryptocurrencies that might be worth a closer look.

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Best Bitcoin Alternative UK – Top Bitcoin Alternatives List

Below you will find a list of the best Bitcoin alternatives UK.

  • Binance Coin (BNB) – Overall Best Bitcoin Alternative UK
  • Ripple (XRP) – Leading Cross-Border Payment Technology Used by Banks
  • Ethereum (ETH) – Bitcoin Alternative That Facilitates Smart Contracts

It goes without saying that you should do plenty of independent research before investing in a Bitcoin alternative – or any asset for that matter. As such, you will find a full analysis of each Bitcoin alternative further down.

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider. 

Note: All of the best Bitcoin alternatives discussed on this page are the subjective views of the author. Therefore, it is crucial that you never invest in a digital asset on the back of somebody else’s opinion. On the contrary – perform your own research and always consider that crypto assets are highly volatile and speculative.

Best Bitcoin Alternative UK – Choose a Broker

In order to invest in your chosen Bitcoin alternative UK – you will need a top-rated broker by your side. Below you will find a list of the best UK brokers that give you access to alternative cryptocurrencies.

  • eToro – Overall Best Platform to Buy Bitcoin Alternatives UK
  • Coinbase – Great Crypto Investment Platform for Beginners
  • Binance – Popular Exchange With Hundreds of Bitcoin Alternatives

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider. 

Best Bitcoin Alternative UK – Full Analysis

There are many things that you need to consider when searching for the best Bitcoin alternative UK. For instance, what problem is the respective project looking to solve and how successful has it been in achieving its goals thus far?

You also need to look at the crypto asset’s current market value and what this means in terms of upside potential. And of course, you need to consider how much risk is attached to your chosen Bitcoin alternative.

Taking all of this into account, below you will find comprehensive reviews of the best Bitcoin alternatives UK.

1. Binance Coin (BNB) – Overall Best Bitcoin Alternative UK

buy binance coin Binance Coin (BNB) is a digital token that is backed by the cryptocurrency exchange of the same name. For those unaware, Binance is by far the largest exchange in this industry – with billions of pounds worth of capital changing hands on the platform every day. Plus, the exchange is home to over 100 million users worldwide – which is huge. In 2017 – which is the same year that the Binance exchange was launched, the platform released its native BNB token.

This token has one primary concept – it allows Binance traders to benefit from reduced commissions. Initially, this figure stood at 50%, albeit, this has since been reduced to 25%. Nevertheless, the Binance Coin is arguably one of the most successful cryptocurrency projects to have been launched. This is some feat when you consider that there are now 11,000+ digital tokens in existence. To illustrate this point, we should note that a single Binance Coin would have cost you just $0.10 when it was first launched in 2017.

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This means that an investment of just $1,000 into Binance Coin back then would have got you around 10,000 tokens. Fast forward to May 2021 and the same BNB token hit an all-time high of over $690. This means that in just over four years of trading – Binance Coin increased its value by more than 689,899%. In real terms, this means that your original investment of $1,000 back in 2017 would, at its peak, have been worth almost $7 million! These numbers are simply extraordinary.

In terms of why BNB represents the best Bitcoin alternative in the market right now, this is largely due to the nature of Binance’s business model. That is to say, Binance – like all exchanges and brokers, makes money by charging a commission on each and every trade that is placed on the platform. This means that irrespective of whether the wider digital asset markets are up or down – Binance will continue to collect its commission from buyers and sellers.

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When you consider Binance often hosts over $10 billion in daily trading volume – these commissions are huge. Now, as a BNB holder, there is another key thing to note that has the potential to generate long-term growth. This is the Binance ‘Burning’ program, which sees the exchange permanently remove BNB tokens from the total supply. This means that on each burn – which usually happens every three months, the supply is reduced, and thus – this has the desired impact on increasing the value of BNB. This is similar to a traditional share buyback program.

Pros

  • Gains of over 689,899% since launching in 2017
  • Backed by the world’s largest cryptocurrency exchange
  • Token burning every three months
  • Huge market capitalization
  • Potential for the token to increase in value during both rising and falling markets

Cons

  • Limited real-world utility
  • Upside potential perhaps much smaller than it once was

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.

2. Ripple (XRP) – Leading Cross-Border Payment Technology Used by Banks

xrp price In a nutshell, what we really like about Ripple (XRP) is that the underlying technology not only solves the age-old issue of slow, expensive, and cumbersome cross-border transactions – but it is already being used by a sizable number of banks and financial institutions. Before we get to that, it is important to understand what Ripple and XRP are and how they correlate to one another.

Put simply, Ripple refers to the cross-border payment technology itself and XRP is the network’s native digital token. As such, by buying XRP tokens, you are essentially investing in the success of Ripple’s interbank network. Now, the interbank payments industry has always, and still is, dominated by SWIFT. This system of transferring funds internationally to other financial institutions is fraught with red tape, is incredibly slow, and crucially – fees are hefty.

xrp price

This is where Ripple and XRP step in. When banks perform a cross-border transfer via the Ripple network, the transaction is completed in seconds. Furthermore, the fees attached to each transaction – irrespective of the size of the transfer or the location of the sender and receiver, amounts to a fraction of a cent. As a result, this is why more than 250 banks and financial institutions are already using or trialing the Ripple technology.

In terms of whether or not XRP represents a good Bitcoin alternative in the UK, this digital currency has generated some notable gains since it was launched in 2013. Back then, a single XRP token was trading at $0.005. As of mid-August 2021, the same digital token can be purchased at around $1.15. This represents huge gains of over 22,000% since XRP’s foundation. With that said, XRP is still trading at a much lower price than its all-time high of $3.30 – which it hit in early 2018. As such, there’s still plenty of upside potential on the table.

Pros

  • Sizable gains since XRP was launched in 2013
  • Cross-border payment technology being used or trialed by over 250 banks
  • Low-value crypto asset – so you can buy a significant number of tokens with a small amount
  • Transactions take seconds to process and fees are minute

Cons

  • Huge number of tokens held and controlled by the Ripple management team
  • Many argue that the project is too centralized

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.

3. Ethereum (ETH) – Bitcoin Alternative That Facilitates Smart Contracts

buy ethereum The third cryptocurrency to make our list of the best Bitcoin alternative UK is Ethereum (ETH). Launched in 2015, this digital asset is the world’s second-largest in terms of market capitalization. As of mid-2021, this figure stands at over $350 billion. This means that there isn’t a single UK company with a higher market capitalization than Ethereum – which in itself is extraordinary.

In terms of what this blockchain project offers, Ethereum isn’t actually a direct competitor with Bitcoin. This is because Ethereum specializes in smart contract technology – which allows the project to facilitate transactions above and beyond just payments. Instead, many believe that the Ethereum protocol will one day host decentralized applications from virtually every sector and industry imaginable – which includes everything from insurance and contractual agreements to lending and gaming.

buy ethereum

In terms of what you get when you invest in Ethereum, you will be buying the blockchain’s native digital token – ETH. This top-rated crypto asset has grown by a significant amount over the past few years. For instance, back in 2015, you would have paid just $0.75 for a single Ethereum token. In May 2021, Ethereum breached a new all-time high of approximately $4,000. This means that in just over six years of trading, Ethereum has increased its value by over 530,000%.

This means that an investment of £2,000 when the project first launched in 2015 would, at its peak, have been worth over £10 million! In terms of upside potential, this is a challenging question to answer. On the one hand, Ethereum is already a multi-billion pound asset class, so of course, there is only so much growth left on the table. However, the much anticipated ‘Ethereum 2.0’ could be a major game-changer. This is because the network upgrade will take Ethereum to the next level – with significantly faster, cheaper, and more scalable transactions.

Pros

  • Largest Bitcoin alternative in terms of market capitalization
  • Gains of over 530,000% since ETH launched in 2015
  • Project run by a very capable and proven team of developers
  • Ethereum 2.0 could be a game-changer

Cons

  • Upside potential might be limited
  • The release of Ethereum 2.0 is behind schedule

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.

Where to Buy the Best Bitcoin Alternative UK

Not only do you need to spend some time researching the best Bitcoin alternative UK for your financial goals and tolerance for risk – but you also need to decide where to buy your chosen digital currency. For this, the broker needs to support your token of choice, offer competitive fees and commissions, and accept your preferred payment method.

Below you will find a selection of the best places to buy Bitcoin alternatives in the UK.

1. eToro – Overall Best Platform to Buy Bitcoin Alternatives UK

etoro review eToro is the best place to buy Bitcoin alternatives in the UK. The platform – which is regulated by the Financial Conduct Authority (FCA), gives you access to heaps of digital tokens. This includes all of the best Bitcoin alternatives we have reviewed on this page. Additionally, you can also invest in the likes of EOS, Litecoin, AAVE, Uniswap, Ethereum Classic, Bitcoin Cash, Cardano, Dash, and more.

You only need to meet a minimum investment of $25 into your chosen Bitcoin alternative – which is about £18. This gives you the chance to invest in several Bitcoin alternatives – as opposed to putting all of your eggs into one basket. The fees to invest in digital currencies at eToro are super low – with the broker only charging a spread. This starts at just 0.75% per trade. You can easily deposit funds at this top-rated brokerage, with eToro supporting UK debit/credit cards, Paypal, and bank transfers.

etoro review

You can also invest in a successful eToro trader by automatically copying their buy and sell positions like-for-like. The Copy Trading feature simply requires a minimum stake of $500 (about £365) and will not attract any additional fees. What we also like about eToro is that it gives you access to asset classes other than just crypto. This is inclusive of forex, precious metals, indices, and energies. You can also buy thousands of shares and ETFs at eToro on a 0% commission basis. Opening an account and making your first investment at eToro takes less than 5 minutes.

Pros

  • Invest in cryptocurrencies on a spread-only basis
  • Buy thousands of UK and international stocks at 0% commission
  • Minimum investment per trade from just $25
  • Supports debit/credit cards, e-wallets, and local bank transfers
  • Regulated by the FCA, CySEC, and ASIC
  • Used by over 20 million people
  • Perfect for beginners
  • Social and copy trading tools

Cons

  • Perhaps too basic for technical traders
  • No support for MT4 or MT5

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider. 

2. Coinbase – Great Crypto Investment Platform for Beginners

coinbase review If eToro doesn’t list your chosen Bitcoin alternative, it might be worth checking to see if it is available at Coinbase. The platform hosts dozens of digital tokens of all shapes, sizes, and market capitalizations. Coinbase is simple to use, which makes it ideal for newbies.

You will be able to buy your chosen Bitcoin alternative directly with a UK debit card. The fees, however, are expensive – with Coinbase charging 3.99% per transaction. Alternatively, you can transfer money from your UK bank account for free – but this will take a few days to arrive. If this is the option you opt for, you will pay a standard fee of 1.49% when you eventually buy your chosen Bitcoin alternative.

coinbase review

In terms of safety, Coinbase offers a rock-solid infrastructure that is backed by institutional-grade security. It is mandatory to set up two-factor authentication – which you will need to bypass every time you attempt to log in to your account. Coinbase also keeps 98% of client funds in cold storage and an attempt to login with a new IP address or device will require an additional security check.

Pros

  • One of the most popular cryptocurrency exchanges
  • More than 56 million users
  • Supports instant debit card purchases
  • Dozens of digital currencies to choose from
  • Institutional-grade security practices

Cons

  • Debit card deposits are expensive at 3.99%
  • You will pay a standard trading commission of 1.49%

at eToro, UK’s #1 Broker

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.

3. Binance – Popular Exchange With Hundreds of Bitcoin Alternatives

Irrespective of what your chosen Bitcoin alternative UK is – there is every chance that you will find it at Binance. This is because the platform has one of the largest and most extensive libraries of crypto assets in this industry. In fact, you will find hundreds of Bitcoin alternatives here – some of which are up-and-coming projects that were only recently launched.

The good news is that you will only pay a trading commission of 0.10% per slide when using Binance. This amounts to 10p for every £100 traded. The bad news is that you will pay 1.8% to deposit funds with your debit or credit card. Although cheaper than Coinbase, this is much more expensive than eToro – which charges just 0.5%.

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Nevertheless, if you already own some crypto – for instance, Bitcoin – you can use this to fund your Binance account. Not only will this allow you to deposit funds on a fee-free basis, but you won’t need to provide any personal information (limits apply). You will also find crypto savings account at Binance. This allows you to earn money on your chosen Bitcoin alternative in the form of regular interest payments.

Pros

  • Facilitates billions of dollars in daily trading volume
  • Supports hundreds of digital asset pairs
  • Near-instant deposits via debit/credit cards
  • Trading commission starts at just 0.1% per slide
  • Offers crypto savings accounts
  • Ideal for both beginners and experienced traders alike

Cons

  • Not all supported cryptocurrencies can be purchased with a debit/credit card
  • No e-wallet deposits or withdrawals

at eToro, UK’s #1 Broker

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.

How to Buy Bitcoin Alternatives in the UK

This comprehensive guide has thus far discussed which Bitcoin alternatives are worth considering and what brokers allow you to access your chosen digital tokens. In the final section of this guide, we are going to walk you through the process of buying Bitcoin alternatives in the UK.

For this, we’ll show you how to complete the process with FCA-regulated broker eToro – which offers heaps of cryptocurrencies and the minimum investment per trade is just $25!

Step 1: Open an eToro Account

Opening an account with eToro shouldn’t take you more than a few minutes. You simply need to provide the broker with some personal information. You’ll also need to choose a username and password – and verify your mobile number.

how to join etoro

You will then be asked to complete a KYC (Know Your Customer) process. You can actually skip this step for now if you are not planning to deposit more than $2,250 (about £1,600). With that said, you only need to upload a copy of your passport/driver’s license and a proof of address – so it’s best to quickly complete this now. In doing so, you’ll be free to deposit as much as you like and withdrawal restrictions will be removed.

Cryptoassets are highly volatile unregulated investment products. No EU investor protection. 67% of retail investor accounts lose money when trading CFDs with this provider.

Step 2: Make a Deposit

You will need to deposit some funds to buy your chosen Bitcoin alternative. eToro accepts debit cards, credit cards, e-wallets (including Paypal), and bank account transfers. The minimum deposit is $200 (about £145) and there will be a small FX fee applied to the transaction.

Step 3: Search for Bitcoin Alternative

If you know which Bitcoin alternative you wish to invest in – you can easily find it by using the search box at the top of the page. In our example below, we are searching for Binance Coin.

If you are still undecided as to which Bitcoin alternative is right for you – click on the ‘Trade Markets’ button. After clicking on ‘Crypto’, you’ll be able to browse through all of the digital currencies supported by eToro.

Step 4: Buy Bitcoin Alternative

And finally – after clicking on the ‘Trade’ button, you will see an order box appear. All you need to do here is enter your stake in the ‘Amount’ box. Don’t forget – the minimum at eToro is just $25.

 To complete ther investment, click on the ‘Open Trade’ button. That’s it – you’ve just bought your chosen Bitcoin alternative at eToro!

Best Bitcoin Alternative UK: Full Conclusion

In summary, there are now more than 11,000 Bitcoin alternatives in the market. Although this is superb form asset diversity, knowing which Bitcoin alternative to buy is no easy feat. After all, while some cryptocurrencies in this space have the potential to generate huge returns, others can quite as easily lose all of their market value in one fell swoop.

This is why you need to perform lots of research before you invest in your chosen Bitcoin alternative.

Once you have decided on which crypto asset alligns with your financial goals – consider completing the purchase at FCA-regulated broker eToro. This top-rated platform offers a safe, low-cost, and easy route into the crypto scene – with eToro requiring a minimum investment of just $25 per trade. Plus, fees are super competitive – so you don’t need to break the bank to buy your chosen Bitcoin alternative!        

eToro – Best Broker to Buy Bitcoin Alternatives 

1
$50
Mobile AppYes
  • Invest in a wide range of cryptocurrencies
  • Ability to copy more experienced investors and their decisions
  • eToro crypto wallet included which makes it beginner-friendly
0% CommissionVisit WebsiteOur score 10

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About Kane Pepi PRO INVESTOR

Kane Pepi writes for several high profile publications such as InsideBitcoins, the Motely Fool, and Learnbonds. Based in Malta, Kane is extremely skilled at complex subjects related to financial matters - including a Bachelor’s Degree in Finance, a Master’s Degree in Financial Crime, and actively engaged in Doctorate Degree research, for the money laundering threats of the blockchain economy.