What is Litecoin (LTC) ?
Litecoin (LTC) is a peer-to-peer cryptocurrency that was set up by Charlie Lee (a former Google employee) in 2011. It shares many similarities with bitcoin and is based on bitcoin’s original source code. LTC price, like BTC price, is rising since its first launch and it has been dubbed as the "Silver of the Crypto world".
Litecoin was designed to be used for cheaper transactions, and to be more efficient for everyday use. In comparison, bitcoin was being used more as a store of value for long-term purposes. The coin limit market cap is much higher on Litecoin than bitcoin, and the mining process is far quicker. This means transactions are faster and cheaper, although generally smaller in size.
Like bitcoin, Litecoin is a form of digital money. Utilizing blockchain technology, Litecoin can be used to transfer funds directly between individuals or businesses. This ensures that a public ledger of all transactions is recorded, and allows the currency to operate a decentralized payment system free from government control or censorship.
As with many of the most popular cryptocurrencies, Litecoin has experienced significant volatility over its short history on this planet. This volatility has happened on both the upside and the downside. LTC’s future, even though it is still in doubt, can be as bright as Bitcoin since they both share a lot of similarities.
At its highest point, in December of 2017, LTC price for trading was over $375, its most precipitous rise to date. In December of 2018, the LTC price was as low as $24, before another uptick during early 2019. LTC live price is currently listed on ARKEN.
How Does Litecoin Work?
A modification of the Bitcoin code, Litecoin has many similar features. So, if you know how Bitcoin works, you’re likely going to have an easy time understanding Litecoin.
Litecoin uses cryptography to enable ownership and exchange of its cryptocurrency, LTC, and its software places a hard limit on the amount of LTC that can ever be created at 84 million. Like Bitcoin, Litecoin also uses a form of proof-of-work mining to enable anyone who dedicates computing hardware to add new blocks to its blockchain and earn the new Litecoin it creates.
The two main differences are that Litecoin aims to finalize transactions faster and that it uses a different mining algorithm. On Litecoin, new blocks are added to the blockchain roughly every 2.5 minutes (as opposed to 10 minutes on Bitcoin). Litecoin’s mining algorithm originally aimed at reducing the effectiveness of specialized mining equipment, though this would later prove unsuccessful. (Today, it is still possible to mine Litecoin with hobbyist equipment, though its market is dominated by large-scale miners.)
Litecoin has since proven a valuable test ground for more experimental cryptocurrency features. In 2017, Litecoin adopted “Segregated Witness,” a technology that helps cryptocurrencies add more transactions into each block. Later that year, the first Lightning transaction was completed on Litecoin, a development that showcased how it could use a layered network design. For more information on how Litecoin works, read its Whitepaper.
What Factors Affect Litecoin’s Price?
Litecoin’s volatility is likely to be driven by similar factors to bitcoin, for example:
Regulation: cryptocurrencies are currently unregulated by governments and central banks. There are questions about how this could change in the next few years, and what impact this could have on value.
Supply: there is a finite number of Litecoins available to be mined (84 million). Availability can also fluctuate depending on the rate at which the coins enter the market.
Press: prices of Litecoin can be affected by public perception, security, longevity, and the prices of other cryptocurrencies such as bitcoin.
Adoption: Litecoin hasn’t currently been adopted by businesses or consumers as a method of payment. But, some see potential in blockchain technology and think this could become more widely adopted in the future.
By understanding these factors, LTC price prediction can be estimated and done with adequate information.
What Are the Differences Between Litecoin and Bitcoin?
While there are many similarities between bitcoin and Litecoin, some of the subtle differences include:
While Litecoin requires more sophisticated technology to mine than bitcoin, blocks are actually generated up to four times faster. Litecoin also processes financial transactions a lot quicker, and can also process a higher number of them over the same time period.
NUMBER OF COINS
Both bitcoin and Litecoin have a finite number of coins in circulation. Bitcoin has 21 million coins available, while Litecoin has 84 million available – four times more than bitcoin.
Litecoin has a much smaller market cap than Bitcoin, but is still one of the most traded cryptocurrencies.
Miners must successfully solve hash functions in order to add new blocks of a cryptocurrency to the blockchain. Litecoin and bitcoin use different mining algorithms, with Scrypt being the hash function used for Litecoin, and SHA-256 the hash function used for bitcoin.
Binance listed LTC on its trading platform by generating its counterpart pegged-token called "Binance-Pegged Litecoin" on its network. Binance-Pegged Litecoin is 100% backed in its value by the reserve of native LTC.
LTC address (BSC): 0x4338665cbb7b2485a8855a139b75d5e34ab0db94
LTC address (HECO): 0xecb56cf772b5c9a6907fb7d32387da2fcbfb63b4
Why Should You Buy Litecoin?
Is Litecoin a Good Investment at the Moment?
Litecoin's consistent position in the top 15 cryptocurrencies by market cap makes it reasonably stable when compared to other altcoins launched around the same period. Major supporters of Litecoin believe that increased use and acceptance on a larger scale will eventually boost its value. Since last May, the value of Litecoin has increased at a faster rate than that of Bitcoin.
If you want to invest in a technology that allows for quick and low-cost borderless transactions, Litecoin is a fantastic choice. Because of its low cost and reliability, Litecoin is a great choice for individuals seeking to invest in alternative cryptocurrencies. In contrast, although Litecoin is presently trading for less than $200, a single Bitcoin costs more than $36,000.
While there is no solid investing basis for Litecoin, it may be a decent bet for someone who isn't concerned with these things and is just interested in price movement. Invest in your Binance-pegged LTC today with ARKEN.
Litecoin Use Case
What is Litecoin Used For?
Litecoin advertises itself as a “cryptocurrency for payments—based on blockchain technology.” Its primary focus is to act as a medium for transacting payments without a bank or other third-party intermediary. Litecoin uses a very similar technology to Bitcoin, but with the ability to conduct transactions faster than Bitcoin.
How Much Faster?
According to Litecoin, it takes two-and-a-half minutes to “process a block” compared to Bitcoin’s ten, making the currency four times faster than bitcoin. The tradeoff is that a transaction done in Litecoin may not be as secure as a transaction done in bitcoins. But of course, many people are interested in Litecoin as a potential long-term holding, not just as a means to process transactions. Similar to making a purchase of any type of currency, the hope is that the new currency will increase in value relative to the base currency.
Therefore, many speculators looking into a cryptocurrency like Litecoin are generally speculating that the currency will build relative wealth over time. However, there are always risks with speculative plays like currency.
Binance-Pegged LTC Use Case
Litecoin-pegged Token provides volatility and fluidity to the native token. With more trading platforms available, it is more possible for investors to do farming and lending of the token on various choices of platforms.
- Charlie Lee
Historical Data for LTC Price
|Jan 15, 2023||$88.2600||$88.6600||$85.4000||$86.8100||$574,298,821||$6,289,653,588|
|Jan 14, 2023||$87.4100||$88.5000||$85.8700||$87.5600||$1,307,463,071||$6,327,304,069|
|Jan 13, 2023||$84.7700||$90.5800||$84.7700||$87.3200||$755,466,357||$6,218,154,640|
|Jan 12, 2023||$85.4600||$85.9700||$83.9300||$84.1000||$1,016,633,573||$6,195,785,661|
|Jan 11, 2023||$82.8800||$85.5000||$82.3600||$84.9500||$713,161,752||$6,066,667,562|
|Jan 10, 2023||$82.1000||$83.0700||$80.2600||$81.6900||$625,840,487||$5,818,365,995|
|Jan 9, 2023||$81.7300||$82.3800||$80.0200||$81.2000||$892,417,536||$5,898,953,185|