What exactly is Litecoin ?
- Litecoin (LTC) is a decentralized peer-to-peer cryptocurrency that was released on October 7th, 2011 and went live on October 13th, 2011. It’s similar to Bitcoin but with more coins in circulation, shorter verification period, and different hashing algorithm.
Is Litecoin better than Bitcoin ?
It depends who you ask. Litecoin has a few advantages which are stated below:
- lower transaction fees
- Quicker transactions
- Enhanced decentralized mining
However, it hasn’t been tested as much as Bitcoin and currently also has less adoption.
Litecoin (LTC) is a decentralized peer-to-peer cryptocurrency that was released on October 7th, 2011 and went live on October 13th, 2011.
The silver to Bitcoin’s gold.
Bitcoin’s little brother that doesn’t get out much.
These are just a few of the things you might hear being tossed around when talking about Litecoin. At a first glance, Litecoin doesn’t garner much respect as a top 10 market cap cryptocurrency. However, once you get into the weeds, Litecoin presents an extremely useful and interesting application of the original Bitcoin blockchain. For all the flak Litecoin gets, it’s easy to overlook what it actually is, and what functions it serves.
Litecoin was founded by former google employee Charlie Lee. It was one of the first forks of the Bitcoin core client. It was proposed as a solution to some of the bottlenecks and scalability issues with Bitcoin, most notably the number of transactions that could be processed within a given time.
Read more about Low down and rates of Litecoin Click here.
Comparing Litecoin to Bitcoin not only makes sense from a convenience point of view, it also lets us zone in what makes it different at a technological level. Litecoin is meant to be used as peer-to-peer cryptocurrency and is actually able to accomplish the same job Bitcoin does at a faster and cheaper rate.
Transaction confirmation speed plays a huge role in how quickly a currency gets adopted. Bitcoin confirmations usually take around ten minutes and have been steadily increasing with periods hitting as high as 2,548 minutes. Litecoin’s network is able to confirm transactions at a much quicker rate.Litecoin’s verification period lasts a fixed 2.5 minutes. For every individual Bitcoin block that gets confirmed, four Litecoin blocks of equal size get confirmed.
- Cost: The cost of sending any denomination of Litecoin costs around $0.09, whereas Bitcoin currently hovers around $5.00. This is an immediate advantage Litecoin has over Bitcoin for small transactions, since splitting a $10 Uber with a friend doesn’t make sense for most people if you have to pay $5.00 on top of that. Litecoin offers the option to pay for everyday goods without high fees that will start add up very quickly.
- Mining: One of Litecoin’s goals is to distribute hash power more evenly than Bitcoin’s network. The problem that Litecoin’s founder Charlie Lee wanted to address was how Bitcoin’s hash power was largely distributed among mining pools, groups of miners, and generally a much smaller (and less decentralized) subset of miners. Litecoin aims to keep the hashing power decentralized. Read more..