Bitcoin is no doubt the most popular cryptocurrency in the world today. There are other cryptocurrencies like it among which is Litecoin.
Litecoin is one of the closest cryptocurrencies to Bitcoin in terms of longevity and model. If you have heard about a certain Bitcoin’s silver, then you should know Litecoin.
Many crypto projects have had their end since their launch, but that’s not for Litecoin. Although it is still far away from Bitcoin despite its attempt to be better, LTC has had its fair share of success.
In this post, we’ll learn about Litecoin and its investment opportunities. Before then, let’s have a sneak peek into the world of cryptocurrency.
What is Cryptocurrency?
Cryptocurrency is a digitally encrypted, decentralized currency that is not linked to or regulated by any government or central bank.
It is based on blockchain technology, which is a distributed ledger framework. Blockchain is a distributed ledger that is managed by a network of computers. It maintains an exact copy of the database and updates its records by consensus based on pure mathematics.
Bitcoin is the first cryptocurrency created which has led to the creation of others alike known as altcoins.
Cryptos are categorized as virtual or digital currencies. They were originally developed to provide an alternative mode of payment for online transactions.
However, cryptocurrencies have not yet been generally adopted or legalized by many nations and are too unreliable to be used as payment methods.
What is Litecoin (LTC)?
Litecoin is a cryptocurrency designed to initiate easy transactions between parties. It is also created to remove the presence of ambiguities and enhance efficiencies at a lower rate.
LTC was created in 2011, two years after Bitcoin debuted. Litecoin was founded by Charlie Lee, an early cryptocurrency adopter.
LTC was created in the image of BTC but better in transaction fees and block form. Litecoin is useful in transferring coins without any central authority.
Its main benefit comes from its speed and cost-effectiveness. Litecoin transactions are typically confirmed in just minutes, and transaction fees are nearly negligible. This makes it an attractive alternative to Bitcoin in developing countries, where transaction fees may be the deciding factor on which cryptocurrency to support.
What is Litecoin’s (LTC) Worth in the Crypto Market?
LTC is no doubt one of the most popular and older coins in the cryptocurrency market. Although it is created to be better than BTC, it is, however, twenty places below it in the ranking table. According to CoinMarketCap, LTC is currently ranked 21st among thousands of crypto projects.
As of writing, the price of LTC is $59.78 USD with a 24-hour trading volume of $597,460,549 USD. LTC is up 8.20% in the last 24 hours and has a live market cap of $4,249,407,060 USD. It also has a circulating supply of 71,078,656 LTC coins and a max. supply of 84,000,000 LTC coins.
Things to Know About Litecoin
- Litecoin is lighter and faster than Bitcoin- Although Litecoin promotes itself as silver to Bitcoin’s gold, it is very much lighter and faster. It was originally designed to solve the shortcomings of Bitcoin. LTC processes transactions four times faster, which makes it the choice for crypto traders and investors. LTC’s supply is also four times more than BTC’s. Litecoin has a supply of 84million to Bitcoin’s 21million which some have argued to be better for small transactions.
- Litecoin is widely available – Litecoin’s availability for a decade has made it to be considered one of the more established cryptos. As such, you can get it from most major cryptocurrency exchanges/platforms. LTC hasn’t seen the dramatic price jumps of BTC or ETH over the years. It is however a volatile asset like other cryptos. As there is a promise of potential big profit, there is also uncertainty.
- You should be aware of the development of Govcoins– Anyone considering buying digital currencies needs to be aware of the so-called ”Govcoins”. These are proposed government-run digital currencies e.g Nigeria recently launched its E-Naira, a digital currency backed by the central bank. Cryptos such as Litecoin are not centralized, over 60 countries are therefore considering launching their government-run digital currencies (centralized). Govcoins are to solve the problem of value fluctuation in cryptos just like stablecoin (cryptos that are pegged to something like the dollar or price of gold). The growth of both Govcoins and Stablecoins could have a huge impact on cryptos like Litecoin. These may include sending decentralized coins out of the market, especially if governments introduce stricter crypto regulations at the same time.
Litecoin is one of the most popular and oldest cryptocurrencies today. It has features which make it a good option for investment. However, if you must invest in Litecoin, you must make your own research and study the market.