Litecoin is a Bitcoin-like Cryptocurrency that was founded in 2013 by ex-Googler, Charlie Lee. It has often been referred to as “the silver to Bitcoin’s gold,” the crypto asset is up nearly 1500% this year. Litecoin is currently the 5th largest currency, and has a market cap of over USD$3 billion.
We are excited about Litecoin. Here are a few reasons why.
The Silver to Bitcoin’s Gold
I am perfectly fine with that statement.
Litecoin was the result of a fork from Bitcoin, thus the two are technologically similar. Of course, a fork typically occurs when a group of developers have an alternative vision for a project and decide to break off from the parent project to start a new one based on the same code.
Litecoin has some notable differences from Bitcoin’s platform that make it attractive to us. Here are a few:
It is Functional
Litecoin was designed to be a functional cryptocurrency - meaning it was made to be spent. It’s close relation to Bitcoin has helped Litecoin become a proven, stable cryptocurreny that is relevant in today’s markets. An ecosystem has begun to form around Litecoin, including companies like UQUID and Coinsbankwho offer Litecoin debit cards.
Litecoin’s payment confirmations are faster, resulting in it being able to handle higher transaction volume than Bitcoin. This feature makes it attractive to the lucrative B2C market.
- Litecoin transactions = 2 mins.
- Bitcoin transactions = +100 mins.
MAST, Privacy and the Prospect of Smart Contracts
Litecoin developers are currently working on implementing MAST technology into the cryptocoin. MAST should enhance Litecoin’s scalability and privacy, paving the way for the future introduction of smart contracts, which have been made popular by Etherium. When evaluating a cryptocurrency we like to think in terms of function and future use cases. We think the introduction of MAST to Litecoin will add long term value to the cryptocoin.
Potentially Lucrative for Miners
Miners are currently awarded with 25 new litecoins per block, an amount which gets halved roughly every 4 years (every 840,000 blocks).
The Litecoin network is scheduled to produce 84 million litecoins. That is 4X as many coins as Bitcoin.
Banking on the Future of LTC
Trading at just over USD$58, we’re optimistic about the long term growth of Litecoin. Where we think the ship has sailed for Bitcoin mining opportunities we think Litecoin is ripe for mining right now. We think the highly functional crypto has a lot of application’s that will drive its value up over time.
Check out Litecoin’s 2017 roadmap here.