Litecoin
Litecoin is a peer-to-peer cryptocurrency that strives to provide fast and low-cost payments by leveraging the unique properties of blockchain technology. Litecoin is widely considered to be the first alternative cryptocurrency, created in 2011 as a fork of the Bitcoin blockchain. A spinoff of Bitcoin, Litecoin is seen as the “silver to bitcoin’s gold” and designed to improve upon several of Bitcoin’s perceived limitations, such as slow transaction processing speeds. It features a faster block generation time and a larger maximum supply compared to Bitcoin, making it more suitable for everyday transactions. With substantial industry support, trade volume and liquidity, Litecoin is a proven medium of commerce complementary to Bitcoin.
QUICK FACTS
Litecoin was created in 2011 by Charlie Lee, a former Google employee, who intended Litecoin to be a "lite version of Bitcoin."
Created as a fork of Bitcoin, it features many of the same properties as Bitcoin but lighter in weight.
It was one of the first “altcoins”—a name given to cryptocurrencies other than Bitcoin.
Over the years, Litecoin has maintained its position as one of the most traded cryptocurrencies, with a strong community of supporters and a wide range of merchants accepting it as a form of payment.
Its widespread acceptance among merchants and organisations further contributes to its usability and popularity.
LITECOIN PROS
Faster transaction times.
Litecoin’s blockchain is designed to process transactions faster than bitcoin, with a block generation time of approximately 2.5 minutes compared to bitcoin’s 10 minutes.
Lower transaction fees.
Due to its faster block generation time and larger maximum supply, Litecoin typically has lower transaction fees compared to bitcoin.
Established network.
As one of the oldest cryptocurrencies, Litecoin has a well-established network with a strong community of supporters and developers.
Widespread acceptance.
Litecoin is accepted by a significant number of businesses worldwide, making it easier for users to spend their LTC on goods and services.
LITECOIN CONS
Founder's divestment.
In 2017, Litecoin creator Charlie Lee sold a significant portion of his LTC holdings, citing a “conflict of interest”. This move caused some concern among investors and may have impacted confidence in the cryptocurrency.
Fierce competition.
The cryptocurrency market has seen the emergence of numerous projects offering faster transaction speeds and lower fees than Litecoin.
Limited innovation.
While Litecoin has a strong foundation, some critics argue that it lacks the level of innovation seen in other cryptocurrency projects.