Similar to Bitcoin, Litecoin mining relies on the PoW using computers to solve the nonce, a part of the hash, that helps secure the block. That’s an enormous increase that shows that just because bitcoins are worth thousands of dollars, that Litecoin can’t also be a great store of value. Some, like its creator, would argue that Litecoin has a greater potential as a cryptocurrency because of its better transactional abilities. While that might not necessarily affect its value directly, it could make it What is Litecoin more popular, which in turn creates its own potential for a value increase over time due to demand. Although cryptocurrencies like Litecoin were originally intended to conduct transactions online, much like traditional currencies, their value does increase and decrease based on a number of market factors. Cryptocurrencies however, with their lack of governmental backing, tend to fluctuate far more — that’s why bitcoin and others have seen such an interest from mainstream investors in recent months.
Those calculations get more and more complicated as time goes on, limiting the influx of new Litecoin. There is also a hard limit of 84 million Litecoin, which means there will come a day where no new tokens are created. Those factors create a scarcity which has helped drive up Litecoin’s value over the years, among other factors.
Where to Buy Litecoin
Both appear to believe that Bitcoin aligns with their interests, values, and financial goals, so its price reflects that. While it seems to function very well for what it’s meant for, it’s interesting to consider situations where it could experience massive user adoption and growth. There isn’t much meat on the bones of whatever loyalists are chewing on, but it’s https://www.tokenexus.com/ worth noting that it could only be a matter of time before more people start to add Litecoin into their portfolios. Litecoin originally started gathering attention during its explosive growth in November 2013, where it saw a near 15x spike in price. This jump in price, however, was short-lived and Litecoin hovered around the $4 per LTC range for about two years.
It wasn’t until May 2017 that it started to pick up steam again during a time where generally all cryptocurrencies experienced massive growth. The cost of sending any denomination of LTC costs around $0.02, whereas Bitcoin currently hovers around $0.35. The costs are all but negligible currently, however, during peak traffic, Bitcoin transaction costs appear to rise quite dramatically.
The Role of Segregated Witness (SegWit) in Litecoin’s Evolution
However, it is still one of the most traded cryptocurrencies, maintaining a position within the top 15 coins out of the more than 10,000 tracked by CoinMarketCap. This demonstrates that it is still a popular cryptocurrency but doesn’t have the investor interest that Bitcoin and some newer coins have. Like Bitcoin, the creation of Litecoin tokens involves a process called mining. For participating in the act of mining, miners are rewarded with Litecoin. A Litecoin halving refers to an instance of halving the amount of Litecoin rewards that miners are given for each block.
Litecoin, while less volatile than some altcoins, still showcases significant price fluctuations. It’s essential to analyze market trends, adoption rates, and technological advancements within the Litecoin ecosystem. Created by Charlie Lee in 2011, Litecoin was envisioned as a lighter, faster alternative to Bitcoin, focusing on reduced transaction times and fees. Litecoin is an open-source software project released under the MIT/X11 license.