What is Litecoin (LTC)

Litecoin (LTC) is a cryptocurrency that was created as a peer-to-peer digital currency in October 2011 by Charlie Lee, a former Google engineer. It was designed to be a decentralized alternative to Bitcoin, offering faster transaction confirmation times and a different hashing algorithm.

Similar to Bitcoin, Litecoin operates on a blockchain, which is a public ledger that records all transactions. However, Litecoin uses a different proof-of-work algorithm called Scrypt, which allows for faster block generation times compared to Bitcoin. This results in quicker confirmation times for transactions and a higher maximum supply of coins.

One of the key features of Litecoin is its aim to be “silver” to Bitcoin’s “gold”. It was intended to complement Bitcoin rather than compete directly with it. Litecoin shares many similarities with Bitcoin in terms of its technology and overall structure but offers a few distinct differences.

Litecoin is widely accepted by various merchants and exchanges, and it can be used for various purposes, including online purchases, remittances, and investments. It has also been integrated into various payment processors and wallets, making it more accessible to users.

Resource

White paper

Official website

Litecoin (LTC) blockchain explorer

How does Litecoin (LTC) functions?

Here’s a breakdown of how Litecoin functions:

• Blockchain: Like Bitcoin and many other cryptocurrencies, Litecoin operates on a blockchain, which is a distributed and publicly accessible ledger. The blockchain records all transactions made with Litecoin, ensuring transparency and security.
• Consensus Mechanism: Litecoin uses a proof-of-work (PoW) consensus mechanism to validate and add new transactions to the blockchain. Miners compete to solve complex mathematical puzzles using computational power, and the first miner to solve the puzzle successfully adds a new block of transactions to the blockchain. This process is known as mining.
• Scrypt Algorithm: Litecoin utilizes a different hashing algorithm called Scrypt, which differs from Bitcoin’s SHA-256 algorithm. Scrypt is memory-intensive and designed to be resistant to specialized mining hardware (ASICs). This was done to promote wider participation in mining and make it more accessible to individual miners using regular computer hardware.
• Transaction Confirmation: Litecoin aims to provide faster transaction confirmation times compared to Bitcoin. It generates blocks approximately every 2.5 minutes, which is significantly faster than Bitcoin’s 10-minute block time. The shorter block generation time allows for quicker confirmation of transactions on the network.
• Maximum Supply: Litecoin has a maximum supply limit of 84 million coins, which is four times higher than Bitcoin’s limit of 21 million coins. The increased supply is intended to allow for wider distribution and greater potential circulation.
• Integration and Use: Litecoin can be used for various purposes, including online purchases, remittances, and investments. It is accepted by numerous merchants and exchanges, providing opportunities for users to exchange it for goods, services, or other cryptocurrencies.
• Development and Upgrades: Litecoin has an active development community that continues to work on improving and upgrading the protocol. It has implemented upgrades such as Segregated Witness (SegWit) and has explored technologies like Confidential Transactions (CT), Atomic Swaps, and the Lightning Network to enhance privacy, scalability, and interoperability.
• Wallets and Exchanges: Litecoin can be stored in digital wallets specifically designed for cryptocurrencies. These wallets enable users to manage their Litecoin holdings securely. Additionally, various cryptocurrency exchanges support Litecoin, allowing users to trade it for other cryptocurrencies or traditional fiat currencies.

What makes Litecoin unique?

Faster block generation: Litecoin generates blocks approximately every 2.5 minutes, compared to Bitcoin’s 10 minutes. This results in faster confirmation times for transactions.

Increased maximum supply: Litecoin has a maximum supply limit of 84 million coins, which is four times higher than Bitcoin’s limit of 21 million coins. This means that Litecoin has a greater potential for circulation and wider distribution.

Different hashing algorithm: Litecoin uses the Scrypt algorithm, which is memory-intensive and designed to be resistant to specialized mining hardware (ASICs). This was intended to allow a broader range of users to mine Litecoin using regular computer hardware.

Strong community support: Litecoin has a dedicated and active community of users and developers who continue to contribute to its development and adoption. It has gained popularity over the years and is often considered one of the leading cryptocurrencies.

How to buy Litecoin (LTC) on XT.COM?

Litecoin (LTC) can be purchased directly from XT.COM by using a debit or credit card. Litecoin (LTC) can also be traded for other cryptocurrencies on the XT.COM Crypto Exchange. Live Litecoin (LTC) price is updated in real-time on XT.COM. Buy Litecoin (LTC) on XT.COM in four simple steps:

1. Create your free XT.COM account
   Sign up or download the XT.COM appand start the sign-up process. Provide your email address, country of residence and secure your account with a strong password.
2. Secure Your Account
   Ensure stronger protection of your account by setting Google 2FA code and anti-phishing code.
3. Choose how you want to buy the Litecoin (LTC) asset.
   Click on the “Buy Crypto” link on the top left of the XT.COM website navigation, which will show the available options in your country.
4. Buy Litecoin (LTC)
   Use a variety of payment options to buy Litecoin (LTC) on XT.COM.