Litecoin
Litecoin (LTC) is one of the most established networks in the crypto space. It is already used by many as a store of value and trading methods. Litecoin (LTC) is a peer-to-peer cryptocurrency that is generated by the Scrypt Proof-of-Work algorithm. This project aims to provide another Bitcoin by making changes to the original Bitcoin Protocol. If Bitcoin is digital gold then Litecoin can be considered as digital silver. Commonly used as a pseudo-testnet for Bitcoin, it accepts changes to the new protocol before being used in Bitcoin.
Litecoin was created by an MIT graduate and former Google employee, Charlie Lee. Lee designed Litecoin based on Bitcoin code and protocol, with some changes he believed would address certain barriers to its widespread adoption. First, blockchain verification time is 4 times less on Litecoin compared to Bitcoin (2.5 min vs. 10 min), which allows Litecoin to guarantee transactions much faster.
The concept of Litecoin quickly gained popularity. The miners liked it because they could mine it on their own computers and laptops. As one of the first forks of Bitcoin and actually proposing some changes to the original code, Litecoin is seen as an independent currency, not standing on the shoulders of a major currency. After the first phase of development, Charlie Lee left Google and devoted himself to the development of full-time Litecoin. In addition to Lee, other engineers joined the project, and Coin got its own development team.
Litecoin is created to be used for cheap transactions and is very beneficial for regular use. In contrast, bitcoin was widely used as a value store for long-term purposes. The limit of the money market is much higher, plus the mining process is much faster in Litecoin with respect to Bitcoin. This implies that the process is faster and cheaper, but usually smaller.
Proof of work: Litecoin uses proof of work but relies on access to a larger amount of memory than the central processing unit (CPU) or unit of graphics processing computing power only.
Using Scrypt: Litecoin uses Scrypt for its hashing function. Scrypt uses SHA-256 but incorporates the highest memory requirements for proof of work. This is said to reduce its reliability on arithmetic logic units (ALUs) as well as ASIC mining equipment.
LTC is used as a form of local currency within the Litecoin network. LTC can be used for peer payments and price savings within the Litecoin network. With its fast blocking times, Litecoin aims to offer much higher verification times during faster verification times than Bitcoin. However, similar to Bitcoin, Litecoin plans to scale ultimately using Layer 2 solutions as a power network.
Litecoin can be used as a payment method for people anywhere in the world without the mediator considering the transaction. Fast and low cost should make it attractive for individuals to use Litecoin in peer-to-peer transfer and digital purchasing.
| Cryptocurrency Metric | Litecoin | Bitcoin |
| Coin Release Date | Oct 7,2011 | Jan 9,2009 |
| Maximum Coin Supply | 84 million | 21 million |
| Average transaction time | 2.5 minutes | 10 minutes |
| Halving interval for block rewards | 840,000 blocks | 210,000 blocks |
| Mining Algorithm | Scrypt | SHA-256 |
MAJOR NEWS AND EVENTS
| DATE | NEWS/EVENTS | IMPACT |
| 08/06/2022 | Prominent South Korean cryptocurrency exchanges delist Litecoin | -32% Decrease |
| 07/05/2022 | TerraUSD and LUNA both collapsed and as a result, a number of crypto platforms folded in the aftermath | -33% Decrease |
| 05/04/2022 | Litecoin price risks decline as LTC whale activity reaches monthly peaks | -20% Decrease
|
| 31/01/2022 | Litecoin is finally releasing its big Mimblewimble upgrade | +25% Increase |
| 08/11/2021 | AMC Theatres to accept Litecoin as a mode of payment | +22% Increase |
| 22/12/2017 | Litecoin stumbles after its founder sold out all its shares | -20% Decrease |
The lasting success of Litecoin shows that altcoins can withstand the test of time, stay important and keep changing. The cheap and fast trading volume of Litecoin, with its growing community, has all accelerated its acquisition as an accepted payment method for thousands of merchants worldwide. However, the only time we will say is whether Litecoin will always be worth its nickname like Bitcoin gold.
