Main types
Smart contract platforms such as Ethereum, Solana and Cardano; tokens of DeFi apps; exchange tokens like BNB; stablecoins; gaming and AI tokens; and memecoins. Their value comes from very different sources, from network fees to pure community hype.
Why they are riskier
Most altcoins have smaller markets, so prices swing harder. Many are controlled by small teams or early investors, and thousands of past altcoins have gone to zero. Altcoin season describes periods when they outperform Bitcoin, which are usually short.