What is Litecoin: AKA Cyber Silver
Created in 2011 as a response to Bitcoin by Charlie Lee, Litecoin or LTC improved on much of the errors Bitcoin made. However, it also has not changed some of the things that have plagued Bitcoin. The founder of LTC considers it to be Bitcoin Lite, let's see why he refers to it as such.
First, let’s take a look at their tokenomics. Both coins have a fixed supply meaning they cant print infinitely. Litecoin has a fixed supply of 84 million coins, whereas bitcoin's supply is capped at 21 million coins total.
Although very similar, there are several significant differences between Litecoin and Bitcoin, including their different cryptographic algorithms. First off Litecoin uses a newer algorithm called scrypt7 that differs from SHA-256.
As a result of its improved code, Litecoin is able to quickly adapt to some of the latest blockchain advancements a lot faster and more efficiently.
For Litecoin its number one priority is transaction speed. Average transaction confirmation time for the Bitcoin network is around nine minutes per transaction, Litecoin's transactions are around 2.5 minutes. Litecoin's network handles transactions more efficiently due to its shorter block generation time.
What does Litecoin aim to achieve?
A virtual currency, such as Litecoin, is a form of digital money. You can use Litecoin to purchase things and to move money between accounts, whether you are an individual or an institution, no middle man is required to make a transaction. Still Just like Bitcoin Litecoin is considered by most a long term hold for investors.
What Is Litecoin and How Does It Work?
Litecoin's network is efficient even for today’s standards. It offers cheap quick payments that can be conducted by anyone around the world. Bitcoin, Litecoin, Litecoin uses the contreversial proof-of-work system for security.
Final Thoughts On LTC
Currently, Litecoin’s circulating supply is above 65 Million very close to the 84 million cap which when hit will be a pivotal moment in its history. Litecoin is always hovering in the top 10 for cryptocurrencies but does not seem able to make that pivotal jump it was even surpassed by Dogecoin a meme coin built on its codebase. It seems it is stuck between being better than Bitcoin but not good enough to compete with the new-gen POS coins. It will be interesting to see how it fits in the space moving forward and if it will ever pass BTC.