|Function||Currency – LTC (Ł)|
|Block completion time ave||2.5 minutes|
|Circulating supply||62.4 million|
|Supply limit||84 million|
Litecoin shares similarities in fundamental characteristics as Bitcoin because it was one of the very first altcoins
altcoinsBitcoin was the first of the cryptocurrencies. The thousands of cryptocurrencies to appear on the market since then are categorised as altcoins. programmed for wider use after the Bitcoin revolution.
Litecoin, like many other cryptocurrencies on the market, was developed leveraging much of the revolutionary technology of Bitcoin with a few minor changes.
Both Litecoin and Bitcoin have a public ledger utilising blockchain technology, and both rely on miners to validate transactions.
But the cryptocurrencies’ very minor differences are designed by Litecoin’s author, Charlie Lee, to make Litecoin perform and function in the same way as Bitcoin, but with what he believes are slight fit-for-purpose improvements.
The concept of Litecoin was to create a ‘lighter’ version of Bitcoin, enabling more efficient use.
For instance, Litecoin transactions are around four times faster than Bitcoin, thanks to Lee’s vision of implementing a simpler system relying on less complicated algorithms.
This means miners can more easily complete the complex mathematical equations required to validate and confirm transactions.
This also means the power required to run the rigs solving these problems is far less than that required from the Bitcoin network.
These types of cryptocurrencies are like forks in that they are simply the same as the original cryptocurrency their designs are based on, with slight deviating features.
However, Litecoin is technically not a fork of Bitcoin.
Litecoin’s code is forked from Bitcoin, but the two cryptocurrencies do not share a common blockchain.
Despite the code being the same, Litecoin’s blockchain is completely new, rather than a continuation on a new path of Bitcoin’s original blockchain.
The other significant point of difference between Bitcoin and Litecoin is the amount of Litecoin available for circulation limit of 21 million, of which just over 18 million has already been released for distribution through mining.
Litecoin has a supply limit four times that of Bitcoin at 84 million, of which 62 million is currently in supply.
Many liken the relationship between Litecoin and Bitcoin to that of gold and silver.
Bitcoin has been called ‘digital gold’ because it shares many of the same properties, particularly its independence from other assets and commodities and its limited distribution.
Litecoin, like silver, is the little brother with a greater supply and a lower value.
Litecoin, like many other cryptocurrencies on the market, was developed leveraging much of the revolutionary technology of Bitcoin with a few minor changes designed to offer slight fit-for-purpose improvements.
Litecoin transactions are around four times faster than Bitcoin, thanks to a simpler system relying on less complicated algorithms. Miners can more easily complete the complex mathematical equations required to validate and confirm transactions.
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