Many people know that Bitcoin is called "digital gold", but did you know that there is also "digital silver"? That's what Litecoin was called at the peak of its popularity. Why exactly, and how Litecoin differs from other cryptocurrencies - read on.
The main idea of LTC
Litecoin was created on the basis of bitcoin, and was supposed to solve some of the problems of the first cryptocurrency. It is essentially a hybrid relative of Bitcoin that boasts faster transactions while maintaining the open source principle.
Both cryptocurrencies use the Proof-of-Work (POW) model. A minute of fun facts: this model was originally invented to overcome the problem of spam in our mail. Now it is actively used in the field of cryptocurrencies. POW is a cryptographic algorithm used by the blockchain to add a new block and verify transactions.
One of the advantages of Litecoin is the speed of creating a block — only 2.5 minutes. For comparison, Bitcoin takes 10 minutes. Why is this important?
The main idea of LTC was to create a cryptocurrency for daily payments. That is, you can go to the store, buy an energy drink with a bun and easily pay at the LTC checkout without creating a queue behind you. Although BTC and LTC use the same mechanism, the Litecoin blockchain is different. It is more accessible for potential miners: any of us, if we have a computer, can generate new coins. In the case of Bitcoin, mining digital coins requires expensive hardware known as ASICs.
And although LTC is based on accessibility and efficiency, it has not gained wide popularity outside the cryptoindustry. At the same time, it is consistently among the top 20 cryptocurrencies by market capitalization.
History of LTC creation
In order to better understand this cryptocurrency, you can learn more about its creator.
Charlie Lee is a graduate of MIT (Massachusetts Institute of Technology), a former Google employee, a scientist and a great crypto enthusiast.
"I believe that cryptocurrency will absorb fiat and become a reserve currency", he wrote on Twitter.
He was also one of the first to create his own digital assets, because LTC appeared on the market back in 2011. He wanted to create something that would "complement" Bitcoin. In 2013, he took the position of Director of Development at Coinbase (the largest American cryptocurrency exchange), which gave push to the popularity of LTC. He, like Elon Musk, was criticized for tweets that manipulate the market. Due to accusations of a conflict of interest, Charlie sold all his Litecoins. Not everyone appreciated this act. Some claimed that it was a thoughtful move, because LTC was sold when the cryptocurrency reached its peak.
The main pros and cons of Litecoin
Where to buy LTC?
Litecoin, like other altcoins, can be purchased on exchanges or exchangers. One of the fastest and most convenient options is the Any.Cash crypto wallet. This is a chatbot in Telegram, in which the purchase takes place in 3 clicks. If you decide to buy, then follow the link. Check how simple and affordable crypto can be.
