Since Bitcoin was created by Satoshi Nakamoto, it not only created a coin that will one day dominate a whole finance segment of the universe but also gave rise to a whole new ecosystem. The birth of Bitcoin has given rise to numerous altcoins; for example; Ethereum, Litecoin, Bitcoin Cash and so many more!
Looking back at how the crypto space started its journey, from Bitcoin to Litecoin to all others; it really compels us to appreciate the chain of possibilities that BTC brought with it. Some of the altcoins have their own blockchain mechanism while there are many more that have built themselves on a smart-contract platform like Ethereum.
As we are on the subject of altcoins; let us take a deep dive into Litecoin, shall we?
What is Litecoin?
The design, based on which Bitcoin was created by Satoshi Nakamoto proved to be an excellent method that many tried to follow later, but failed to meet the needs. Among the first set of altcoins, Litecoin was the one that stood out.
Charlie Lee’s Litecoin, meeting the needs of the mechanical parameters of Bitcoin, came into existence in 2011. Even though Litecoin and Bitcoin are very much similar to one another, Lee incorporated some modifications onto the parameters of Bitcoin.
According to Litecoin.org, “Litecoin is a peer-to-peer Internet currency that enables instant, near-zero cost payments to anyone in the world. Litecoin is an open-source, global payment network that is fully decentralized without any central authorities.” The definition might look familiar. It is so because Litecoin and Bitcoin are quite similar. This altcoin came into being to not replace digital gold, but to compliment Bitcoin, like how silver compliments gold. “Litecoin features faster transaction confirmation times and improved storage efficiency than the leading math-based currency. With substantial industry support, trade volume and liquidity, Litecoin is a proven medium of commerce complementary to Bitcoin.”
Similarities between Bitcoin and Litecoin
|Concept||Digital currency (gold)||Digital currency (silver)|
|Market Cap||$ 1 trillion (2021)||$ 18.6 billion (2021)|
|Total supply||21 million||84 million|
|Founder||Satoshi Nakamoto||Charlie Lee|
|Release||January 2009||October 2011|
|Mining||Processor Intensive||Memory Intensive|
What differs Litecoin from Bitcoin?
Litecoin’s difference from Bitcoin lies in the design front. Some of the important differences are as mentioned below:
|A Proof of Work mechanism that uses the scrypt hashing function.|
|4 times faster block time.|
|Litecoin has a total supply of 84 million!|
|Difficulty changes every 3.5 days.|
10 things you should know about Litecoin (LTC)
|Litecoin can be addressed as Bitcoin’s sibling.|
|LTC works on a P2P basis.|
|Litecoin is born from the same node like Bitcoin.|
|Miners are welcomed in the LTC community.|
|Litecoin’s Hashing Protocol.|
|The elaboratenesses of mining LTC.|
|LTC’s 4x volume, compared to Bitcoin.|
|Litecoin is among the Top 10 cryptocurrencies.|
|LTC has a faster transaction speed than BTC.|
|Litecoin has a swap buddy: Verticoin.|
Future of Litecoin:
Litecoin has been in existence as long as Bitcoin and has established solid grounds for itself. There is already enough buzz around future developments within the ecosystem. The main advantage that the LTC community has over BTC, is the public presence of Charlie Lee and his active participation in the crypto community. The anonymous Satoshi Nakamoto, the founder of Bitcoin, is not present to push the crypto giant into a different aspect or make improvisations.
Though the decentralised nature of cryptocurrencies do not let any individual take a decision on their own. It is, however, very beneficial, to have a vocal leader present, to guide technological progress within a community. Especially when there is a need for change or a major disagreement. The impressive bit is that Litecoin, in a way, can serve Bitcoin to see how these changes go, if need be.