Litecoin Cryptocurrency (LTC) Overview

Today we are going to talk about the digital silver of the blockchain industry, the cryptocurrency Litecoin. It is one of the first forks of bitcoin and is often seen as a major competitor to the patriarch of the blockchain industry. This is only partly true. Of course, any cryptocurrency used as a means of payment can be considered a competitor to bitcoin and all other digital assets. But the developers of Litecoin have always said that their coin was not created to displace bitcoin from the virtual coin market, but to facilitate the transfer of value and become a global payment network.

Bitcoin serves both to store value and to transfer value, as it did with gold. The maximum number of bitcoins is limited, as is the amount of gold on Earth. This is why bitcoin is widely referred to as digital gold. Both bitcoin and gold have limitations as payment methods for everyday use. Thus, there is an emerging demand for another digital currency.

The historical parallel between Bitcoin and LightCoin is the transformation of the monetary system from the gold standard to gold/silver bimetallism. Gold was a good store of value, but could not meet the economy’s need to transfer value. So silver became an alternative to gold, but that doesn’t mean that no one needs gold at all. It was very convenient to keep it in bank vaults and use it as collateral or a reserve fund, but it was easier to pay for small purchases with silver coins.

What is Litecoin (LTC)

Litecoin is an alternative cryptocurrency that is a fork of Bitcoin. Litecoin is also a payment peer-to-peer system through which transactions and transfers can be made from one user to another.

The cryptocurrency can be used to transfer funds into Bitcoins, as well as to buy goods and pay for services at merchants that officially accept payment in the cryptocurrency. The system was developed by Chalz Lee, who until recently was an employee of Google.
The coin first appeared in 2011 as an alternative to Bitcoin. The creator of Litecoin said that the feature of his cryptocurrency was the open source code, which would allow anyone to change or copy it. Litecoin, as well as Bitcoin, has the status of a decentralized currency, that is, it doesn’t belong to a certain bank and is owned by the person who gets the coin by mining or converting another currency into it.

Its official website: https://litecoin.org

The official Litecoin website was launched almost immediately after the creators experimentally deduced that the cryptocurrency was gaining popularity. On this website, you can find tabs such as:

Communities, where users can communicate with each other and share their ideas on effective cryptocurrency mining, access social media groups dedicated to Lightcoin;
Resources where LightCoin can be purchased, statistics on exchange rate changes;
Information about rewards for users who mine the cryptocurrency;
A wallet, which can be started by any user to store the cryptocurrency, convert it to other currencies and use it as a means of payment.
Among the useful statistics on the website is the level of difficulty of the LightCoin network, where users can see how difficult it is to mine this cryptocurrency as of a certain date.

This can be done using the service: https://bitinfocharts.com/ru/comparison/litecoin-difficulty.html.

The technical part of Litecoin (LTC)

As of today, Litecoin has the following values:

Characteristics and Indicators Values
Market capitalization of the cryptocurrency $12.5 billion
Number of mined coins as of October 2022 68,741,470
Number of transactions per day 60,482
Commission fee (average) 2 cents
Total number of blocks 2 139 493
Blockchain size 52.69 GB
Reward per block mined (data from official website LightCoin) 12.5 LTC
Cryptocurrency mining difficulty level 11.19 (M)
Litecoin peaked in 2017, after which the value of a single coin gradually began to change in a positive direction. Three years ago, the coin was worth $267. As of 22.10.2022, its value is measured at $190.

Litecoin (LTC) cryptocurrency mining

Litecoin mining is the process of mining a cryptocurrency using special equipment. It is important for users who are just about to do this to know the current models for the year 2022.

Special equipment

The use of a piece of equipment has a direct impact on a miner’s earnings. For the year 2022, the most profitable models are as follows:

Antminer L7 9500/9160 Mh
Innosilicon A6+ LTC Master
Antminer L3++

ASIC devices have a distinct advantage over video cards because they have a faster payback period and the user doesn’t need to spend money to build a farm. Such devices can only be advised to people who see mining as their only source of income because a professional approach is needed to this equipment.

LTC mining brings quite a tangible income. Even an outdated Antminer L3++ model can earn $6.98 per day, not including power costs. And the new ASIC Bitmain Antminer L7 9500Mh almost 16 times more ($111.27). You can connect to the Nicehash platform and withdraw your earnings in bitcoin or fiat currency.

Bitcoin and Litecoin comparison

While there are many similarities between these cryptocurrencies, they have significant differences:

Blocks. Litecoin has the same block formation as Bitcoin. The difference is that different hash lookup functions are used. LightCoin uses Scrypt and Bitcoin uses SHA-256.
Mining. LightCoin’s hash lookup function has its own feature of “serializing” the computation, which is not the case for Bitcoin. As a result, the script needs more RAM, as the computational ability alone is insufficient. As a result, the hardware race in the case of LTC is not as massive as that of Bitcoin.
Addresses. In the case of LiteCoin, all transactions are conducted using addresses, which are based on the use of a private and public key type. The difference lies in the number of characters, as LightCoin has 33 and they all start with the number 3 or the Latin letter L. Bitcoin can have between 27 and 34 digits, and they all characteristically start with either the number 1 or 3.
Transaction rate. Experienced miners claim that it takes an order of magnitude longer to create a block in Bitcoin than it does in Lightcoin. In the former case, it may take about 10 minutes, whereas in LightCoin the process takes a maximum of 2.5 minutes.
Number of coins. Bitcoin has a total of 21 million coins created, whereas Lightcoin has 84 million.
Atomic transactions on the network. In 2017, the first transactions between Litecoin and a number of other cryptocurrencies were carried out, proving that different kinds of transactions between different types of blockchain can be conducted using P2P technology.

Buying Litecoin (LTC)

To purchase a cryptocurrency, you need to use specially created services (exchanges). The price of Litecoin on each of them may vary slightly due to the fact that different exchanges charge different percentage fees for transactions.

It is possible to purchase cryptocurrency using an online exchange. As an example, we recommend Matbi service, where you can easily and simply make all necessary transactions.

In the work of Matbi service can highlight the following advantages:

Competent support service,
Requests are processed in an accelerated mode,
Attractive exchange rates for the user,
The service supports various cryptocurrencies,
High level of security (SMS, Google Authenticator and PIN codes are used to confirm transactions),
Possibility to track transactions and their status,
Wide choice of deposit and withdrawal options,
A built-in online wallet for storing cryptocurrencies.
A key feature of this service is that user funds can be left in Matbi for safekeeping. In addition to Litecoin, Bitcoin, Dash and Zcash can also be purchased here with ease.

Cryptocurrency exchanges to buy Litecoin (LTC)

Currently, the most popular and frequently used exchanges are the following:

Binance
Coinbase Exchange
Huobi Global
FTX
Gate.io
Bitfinex
KuCoin
Kraken
Bitstamp

Binance. It is the world’s #1 exchange in terms of trading volume. The commission for buying Lightcoin is as low as 0.1%, which is why the exchange is constantly attracting new customers. Currently, the exchange is the leading exchange service with its own cryptocurrency, BNB. The exchange is capable of processing up to 1.4 million orders per minute.

Available trading pairs:

LTC/USDT
LTC/BTC
LTC/BUSD
LTC/ETH
LTC/USDC
LTC/BNB

Where to track Litecoin (LTC) transactions

If you send LTC and you want to make sure you have not encountered any difficulties with transferring, it is smart to use block explorer. This is a special service that allows you to get all the public information about transfers and addresses in the blockchain network.

An example of such a service is Blockchair. It provides the ability to search seventeen different blockchains at once, so there is no need to go to different websites in order to keep track of information about certain coins. Everything is brought together in one place.

The LightCoin Observer is located at https://blockchair.com/litecoin.

On the page you see information such as:

LTC’s value, market capitalisation and dominance in the cryptocurrency market.
Total number of blocks, transactions and exits on the network.
The number of LTCs in circulation.
The current complexity of the network.
The total size of the Litecoin blockchain.
Statistics of changes during the last 24 hours.
Mempool status – the number of transactions in it, their speed, recommended commission.
Also here are graphs and charts for a visual representation of the blockchain’s recent activity.

Now, to check a specific transaction, type its hash (txid) into the search box at the top of the page. Here you will see all possible technical information, both important and auxiliary:

The ID of the block in which the transaction is included.
The number of miners’ confirmations, if any.
The time and date when the payment was sent.
Volume (in LTC or USD).
The commission fee.
The sender’s and recipient’s addresses.

Details can be downloaded in PDF format.

In this way, Blockchair acts as a search and analytics engine, providing up-to-date and accurate information about all events occurring in any of the seventeen supported blockchains. It also provides users with the ability to batch export data.

Blockchair is supported by a large number of wallets and services such as WestWallet, Coin Wallet, Cryptonator. But the site itself does not provide wallet or transaction provider services. Please note that Blockchair only offers search and analytics services, so will not be able to help with slow or hovering transactions. Low fees may be the reason for a delayed payment.

Advantages and disadvantages of Litecoin (LTC)

Litecoin (LTC) has the following advantages:

Litecoin has the necessary scalability to create fiat, which is money that will be used to pay for goods and services;
Compared to many other cryptocurrencies, LightCoin has a faster generation process, in as little as 2.5 minutes;
LightCoin’s mining process is several times easier than Bitcoin and some other cryptocurrencies, so it doesn’t require a lot of investment to mine;
Litecoin is more flexible when compared to Bitcoin, i.e. it is more amenable to adjustments and changes.

Litecoin (LTC) has the following disadvantages:

Linking LTC to silver is questionable as much as Bitcoin is to gold, many miners are not willing to equate these cryptocurrencies to precious metals;
LightCoin’s high level of mining can lead to miners spending exactly as much as they earn;
More vulnerable to hacking and unauthorised hacking;
Compared to other cryptocurrencies, LightCoin is not popular on the global stage;
Compared to 2017, the value per Litecoin coin has decreased significantly.

Litecoin (LTC) outlook

Litecoin cryptocurrency has held steady in the top 100 cryptocurrency rankings, although it has been gradually pushed from the top by young, ambitious projects recently. This year, Litecoin has been overtaken by coins such as Solana, Cardano, Dogecoin and even Shiba Inu. However, the popularity of the latter two tokens is temporary.

When the crypto rally is over, those who deserve it will stay on top, and LTC has survived more than one crypto winter. If new models of ASICs for Scrypt algorithm are being released, it means there is demand for them. Developers should think about how else to increase bandwidth and actively seek partners in the real economy. Incidentally, recently AMC Theatres, one of the largest cinema chains in the US, began accepting LTC cryptocurrency as payment for cinema tickets. And in early October, fake news flashed online that the LTC coin would be accepted in shops at Walmart, the world’s largest wholesale and retail platform. The market reacted with a sharp surge in the exchange rate and if the news was true, LightCoin probably wouldn’t have fallen below $200. So it all depends on Litecoin Foundation’s marketing policy and the overall situation in the digital currency market.

The main thing is that the authorities in Western countries do not decide to follow the example of China and Turkey. When crypto-yuan is followed by official cryptodollars and crypto-euros, some will think about it. However, distributed networks can exist parallel to state-owned cryptocurrencies, just as they have successfully co-existed with conventional fiat.

Conclusion

The success of the fork in the long run is questionable, as it will always have far fewer holders due to the undeniably higher popularity of Bitcoin itself. Despite its advantages, LightCoin’s performance will always be inferior to Bitcoin, primarily due to its low cost per coin.

However, LightCoin mining is a more affordable procedure compared to Bitcoin mining, so it makes sense for miners to transfer funds directly into BTC after mining LTC.

If Western governments decided to follow the example of their Chinese counterparts and declare war on the blockchain industry, 90% of current digital coins would disappear within a year. But so far, no one is going to ban cryptocurrencies, which means that LTC has prospects. But you shouldn’t put all of your money into one project. Although, by and large, LTC was created to be spent. The more people start using the cryptocurrency for mutual settlements, the faster it will be accepted as a payment in trade and services. If everyone stashes their Lightcoins in their wallets, eventually the network will stop working and the digital silver will become a useless hash code. You need to set aside some for a rainy day and put the rest of the tokens into circulation. And then the investment will be profitable.

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