What is Litecoin? 5 facts about Litecoin trading you should know

There are constant doubts and confusion about trading and investing in the right crypto. The first altcoin ever, Litecoin, is one such cryptocurrency. It was created in 2011 by former Google engineer Charlie Lee just 2 years after the advent of Bitcoin. It was named Litecoin for being a lighter version of Bitcoin.
Litecoin is similar to Bitcoin in many ways:

  • It is also a decentralized cryptocurrency based on an open-source global payment network and is not governed by any central authority.
  • Litecoins are also created by the process of mining, which consists of processing a list of Litecoin transactions.
  • The stock of Litecoins is fixed at a total supply of 84 million Litecoins. As per an Investopedia report, around 16 million Litecoins are left to be mined by November 2021.
    • The Litecoin network generates a new block, meaning a ledger entry of recent Litecoin transactions around the world, every 2.5 minutes.
    • The block is verified by mining software and made visible to the miner.
    • After a miner verifies it, the next block enters the chain, which is a record of every Litecoin transaction ever made.
    • The miner earns 12.5 Litecoins for successfully verifying a block, unlike 6.25 blocks in Bitcoin.

Litecoin was created with an agenda to address the constraints of Bitcoin and compete with it at the same time.
Here’s looking at 5 trading facts about Litecoin that make it distinct from Bitcoin

  1. Litecoin has a much faster block generation rate. It has a way faster transaction speed than Bitcoin and confirms a transaction every 2.5 minutes, compared to 10 minutes taken by Bitcoin.
  2. The higher total stock of Litecoin at 86 million also makes it a profitable choice of investment.
  3. It can be used with ease for purchasing goods in everyday transactions, and for making payments, wherever they are accepted.
    1. Litecoin can also be used to send money overseas instantly and securely.
  4. Litecoin transactions can be completed without intermediaries, which makes its transaction fees lesser than Bitcoin and many other cryptocurrencies.
  5. It was built on the Scrypt algorithm proof-of-work (PoW).
    1. This makes it ASIC-resistant and makes mining more accessible to regular users. This also makes Litecoin more centralized.

How to buy Litecoin online on Indian crypto exchanges?
Litecoin is a lucrative choice among cryptocurrencies, being ranked 18th, with a market cap of nearly Rs 10 as of December 21, 2021. You can buy Litecoin on a reputed and legitimate exchange like ZebPay :

  • Firstly, you should download the app and create an account after fulfilling kyc norms and registering your phone number.
  • Then the bank account needs to be linked for buying Litecoin or any crypto for the first time.
  • After buying the crypto from the exchange it can be stored safely on the exchange’s wallet itself.

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