Litecoin is one of the most talked cryptocurrencies. It is not the trendy cryptocurrency like Bitcoin or Dogecoin but it has significant value to it and might have a potential, about which we will be talking about later. Litecoin was introduced in 2011, in the month of October approximately 9 to 10 years ago. It is one of the altcoins that were made as an alternative of Bitcoin. It has a lower market capital than of course Bitcoin, Ethereum and Binance but also lower than Tether and XRP too. On the contrast, it has a price of $229.15 which makes it one of the most valued Cryptocurrency right now. Although it has a lower circulating supply than the other cryptocurrencies. It is a stable cryptocurrency and a safe one till a certain extent. Litecoin was created by Charles lee a renowned billionaire who was formerly a google engineer back in the days.
Litecoin might be an altcoin of bitcoin but these two are almost similar in many ways. First of all, Litecoin has the same decentralized system as the bitcoin so there wouldn’t be an Authoritative Entity in the transaction process. The network is completely linear between two users and this peer-to-peer network assists in increasing security of transactions to reduce scam and double spending that is a common problem in digital cash situations and exchanges. It is easier in internet peer-to-peer network, to manipulate data and digital currency can be manipulated to be illegally added in favor of scammer or hacker. These practices are pretty normal in the digital world to manipulate digital data and bankrupt someone else for own gains. Litecoin on the other hand is one of the secure cryptocurrencies that has high end security system to help stop double spending of data during single transactions. In Litecoin mining it is important to solve its algorithms and try to come up with the remedy to rectify that algorithm to get a reward with the tokens of Litecoin as payments. Mostly Litecoin is mined through ASIC miner that is a circuit device that uses electricity. Before cryptocurrency was blooming it was easier for simple CPU’s to carry out the solutions for algorithms but after the escalation of crypto it was necessary to have separate circuit devices for these applications to mine algorithms. To which mining process became very expensive for miners to mine. So, they started looking for investors to invest in cryptocurrencies in exchange for a sum of Litecoin or any cryptocurrency mined. Usually, blockchain itself cannot stop double spending. It is usually done when a transaction is request between two users. In a Hypothetical situation, User A requests transaction from a User B. The transaction is than added in the chain as a block in a ledger if there is a transaction that is already recorded in blockchain, the request is cancelled and the transaction is aborted. This is how the transaction is verified and secured by the Ledger and the blockchain. The data that is requested is recorded in the ledger in the form of block of chains and thus, making it a blockchain.
The Litecoin uses Scrypt Algorithm to carry out processes of extra-ordinarily large memories. It is a Password-based function that is derived from a key. It is known as Key-Derivative Function or KDA. These functions are formulated to be compatible and manageable enough for heavy functioning computers to carry out large processes of heavy applications. The Scrypt basically helps increase the demands of the resource and prolonged resource demand gives time to Scrypt, to delay the attack so that it can be processed. It is a very costly procedure and function and requires special IT skills and expertise for it to be implemented and maintained. It is one of the very secure ways to keep the exchanges and the system protected. This hash function generates numbers swiftly and readily. Litecoin although has a costly hash function. It creates blocks faster than any other any other blockchain which makes it faster than many cryptocurrencies. It is the first cryptocurrency created after bitcoin and is known as the silver and Bitcoin was considered Gold. It is important to see which of these two cryptocurrencies should one invest in. It is obvious that Bitcoin is the clear winner in Market Cap, Trading, and value than any other cryptocurrency. It also comes with the fact that if bitcoins value falls in the market the investor or trader has to face a lot of issues and the dip in bitcoin is just as great as its value. Which makes it one of the most valued and toppling cryptocurrencies. Same is the case with the Ethereum, it’s market capital and value are although lower than Bitcoin. It has significantly greater value than any of the other cryptocurrencies. Investing in it could be risky. Bitcoin has less amount of coins to be mined than Litecoin. There are around 84 million Litecoin that have been mined and only 21 million Bitcoins and 18.5 million Bitcoins have been mined which makes the Litecoin quite stable cryptocurrency than Bitcoin. Only 3 million Bitcoins are left whereas there are around 16 million Litecoin left to be mined. Litecoin has 2-minute Block Generation time. Bitcoin has 100 minutes so it shows that Litecoin is faster than Bitcoin. Litecoin is more for transactions and payments and is for individuals with small businesses. Bitcoin and Ethereum are more preferred by Bigger Businesses and corporations to make transactions or request data etc. Litecoin has smaller value in the market and the spike in its value can yield great amount of money for the user when the stocks go up. It is stable because it has lower value in the market so the loss will be less too and easily repairable. For individuals with low income and small businesses should prefer Litecoin over Bitcoin. When they reach a certain amount cash the money and earn the profit.