Litecoin is a cryptocurrency and it’s considered the “silver of the crypto-world”. It is based on a P2P network and an open source software project under the MIT license.
Like other currencies, it is based on a decentralized network of global payments, which allows transactions to any part of the world without problems and is governed by a Scrypt algorithm. LTC can be used to purchase goods and services online. It has an electronic portfolio that contains all its monetary units.
Litecoin is a clon of Bitcoin, so they have practically the same structure, however it has some improvements. The objective of its developers, was to create a more efficient version of the BTC for smaller scale trade.
It was created on October 13, 2011 by Charlie Lee; former Google engineer and Director of Engineering at Coinbase. He founded Litecoin when he became interested in this world and saw its benefits. Litecoin has a similar relationship to Bitcoin and other currencies of this crypto-world.
The price of Litecoin was $ 0.07 in its first days of release.
What differentiates Litecoin [LTC] from other crypto-currencies?
Particularly Bitcoin differs from its system. Litecoin is designed to process more transactions in less time than BTC. These transactions in this network are processed with a block time of 2.5 minutes while in Bitcoin it is 10 minutes.
This means that if you expect 5 confirmations of the blockchain in Bitcoin, you would have to wait almost 50 minutes, whereas in LTC it will be reduced between 10 and 15 minutes. Therefore, transactions are processed more easily and their mining is more inclusive. In addition to scalability, BTC is limited to 21 million Bitcoin while Litecoin is restricted to 84 million LTC.
Ethereum differs in its security algorithm, since it is subject to a protocol called “Ethash” and Litecoin uses Scrypt. Also the main function being ETH a platform for executing smart contracts and decentralized applications, and LTC a decentralized payment system. It should be noted that ETH issues an amount of 18 million cryptocurrencies per year, being inflationary.
How to use Litecoin
Using Litecoin provides a simple system, you only have to download a purse or wallet from the official website https://litecoin.com, where you will find portfolios for all systems such as Linux, Windows, Mac OsX, Android, iOS, Electrum, Litevault, LiteAddress and even Blackberry. Once the download is complete, you can start sending and receiving payments at a address with a single click.
How to obtain Litecoin [LTC]
Litecoin Mining: To mine it is necessary to have a specialized computer equipment (RIG) that meets the typical requirements for the mining of cryptocurrencies.
Purchasing Litecoin: It can be obtained through Exchange sites using all types of currencies, through purchase transactions and/or currency exchange; having it assigned to a digital wallet with a unique Litecoin address, similar to a bank account number. In this regard the currency can be found under the symbols of LTC or XLT. It can also be done through cryptocurrency changes and the transaction can be made in wallets.
Another option is to invest in Litecoin using contracts for difference; that is, a service offered by secure and regulated brokers. In this way, the currency itself will not be obtained, but instead invested in the posibility that the price will increase or decrease.
How does the Litecoin platform work?
Litecoin uses Scrypt, an algorithm that incorporates SHA-256 functions, but with much more serialized calculations. The processing resources of this algorithm takes advantage of RAM memory.
Its functional structure is managed in a P2P network, which allows using methods to share digital information regardless of time, place or software.
The Litecoin block chain is capable of managing a greater volume of transactions because the generation of blocks is done more frequently.
As a result, traders get confirmations faster and at the same time have the possibility to wait for more confirmations when selling more expensive items.