Litecoin (also known as LTC) is one of the biggest alternatives to Bitcoin. This might be because of the fact it is based on the original Bitcoin code. At the same time, there are some differences that you need to know about – like the number of Litecoins that are going to be created. We’re going to go over the basics of Litecoin so you have a better idea of whether or not you want to get involved.
LiteCoin and the Media
One indicator that Litecoin is going to be around for a while is all the media attention it’s been getting lately. While Bitcoin definitely gets more press, big media corporations are beginning to take notice of Litecoin. Additionally, Wall Street and others in the financial world are wondering whether Litecoin is going to be the successor to Bitcoin eventually.
Current LiteCoin Value
Currently, Litecoin is second only to Bitcoin when it comes to market capitalization. The cryptocurrency currently has a total market value of $551 million USD. This data was true on January 29th, 2014, but as with other virtual currencies (and physical currencies) there’s no telling what the value is going to be in the future.
Litecoin vs Bitcoin
Next, let’s take a look at some of the major differences (and similarities) between Bitcoin and Litecoin. While Litecoin is based on Bitcoin software, it’s setup so that there will be a total of 84 million coins created and released into the world. When it comes to dividing a single LTC, it works the same as Bitcoin with each LTC being able to divided to eight decimal points.
Another difference is that Litecoin is trying to clear a block every 2.5 minutes rather than every 10 minutes like Bitcoin. Also, Litecoin uses scrypt for its proof-of-work algorithm, which is different than Bitcoin’s method. They chose this route to help make LTC mining more fair. This is done by making it easier for those who are just using a normal computer CPU to be able to compete with other miners.
To learn even more about crytocurrencies, we recommend you check out our Bitcoin ebook. It has a lot of useful information about Bitcoin, including how it came into existence, how to get bitcoins of your own, as well as where this virtual currency might be headed in the future. The electronic book is a great for anyone who is new to Bitcoin and wants to learn more.