Litecoin is an alternative cryptocurrency with a quicker transaction confirmation time than Bitcoin, forked off of it and employing its own unique cryptographic algorithm.
Litecoin has become known as “the Silver to Bitcoin’s Gold.” Created by an ex-Google employee in 2011, Litecoin currently trades against USD.
Litecoin is a peer-to-peer payment network
Litecoin (LTC-USD) is an open-source peer-to-peer cryptocurrency designed to allow fast and easy payments around the globe. As with Bitcoin (BTC-USD), Litecoin operates as a decentralized digital currency verified by blockchain transactions; however, transaction fees tend to be less and confirmation times faster, often making Litecoin seen as “Silver to Bitcoin’s Gold”.
Mining Litecoin requires using specialized computers called “mining rigs.” These computers solve complex equations to verify and record new transactions on the blockchain, using electricity as fuel; miners receive compensation in return for their work in form of coins.
The Litecoin community is currently working towards adding enhanced privacy features via a soft fork, to better protect those using it for commercial transactions. This upgrade will take effect during its next halving in 2022 – any new positions won’t be possible to open during that period.
It is a digital currency
Litecoin is a decentralized digital currency with peer-to-peer payment network functionality. Utilizing the Bitcoin blockchain for verification of transactions, and boasting four times faster mining, Litecoin has gained immense popularity among traders and investors as an “lighter” version of Bitcoin.
Charlie Lee, an Massachusetts Institute of Technology graduate and former Google engineer, created Litecoin to be an alternative cryptocurrency that would rival Bitcoin’s appeal for point-of-sale transactions and microtransactions. It aimed to be easily accessible yet low-cost for point-of-sale transactions.
Litecoin’s maximum supply is 84 million LTC and three-quarters have already been distributed. You can purchase it on various exchanges using your bank account, credit card, or debit card; spread betting and CFD trading also allow investors to speculate without owning actual coins themselves; CMC Markets advises clients only trading cryptocurrencies that they feel comfortable trading due to risk involved with this form of investing.
It is a crypto asset
Litecoin (LTC) is a digital cryptocurrency similar to Bitcoin but faster. Litecoin was created as an alternative Bitcoin blockchain in 2011, two years after the original coin had launched, by former Google engineer Charlie Lee of MIT University – intended to address issues like slow transaction speeds and transaction fees on the Bitcoin network.
Like Bitcoin, Litecoin mining employs a proof-of-work process which involves computers performing complex equations to verify and record new transactions on the blockchain. While previously desktop PCs were powerful enough for this job, today specialized mining rigs may be necessary.
Investors can purchase LTC on crypto exchanges like Binance, where prices are updated in real time. Before beginning to trade, traders need to create an account and undergo identity verification. Once confirmed, traders can select their payment method of choice to buy LTC with funds they already possess. When starting this journey it is essential that traders read up on security features, fees structures and buying procedures carefully in order to maximize success when making their investment decisions.
It is a utility token
Litecoin is a peer-to-peer digital currency designed for transactions between peers. Based on the Bitcoin codebase, but offering greater scalability and faster transaction processing speeds as well as having a simpler algorithm than its original crypto coin counterpart, Litecoin provides users with peer-to-peer transactions.
Its swift online payment processing enables it to make online transactions swift and effortless, which has already proven popular with businesses such as travel companies, convenience stores and property agencies. Litecoin payments have become a preferred payment option among many merchants including travel companies, convenience stores and property agencies.
As with other cryptocurrencies, Litecoin can increase in value over time. CMC Markets provides you with the chance to trade Litecoin spread bets and CFDs at competitive rates without owning actual cryptocurrency – your positions are exposed to price volatility just like all FX and CFD markets with guaranteed stop losses and take-profit levels to help protect your capital.
