A Lite Coin created by google employees Charlie Lee, is set to be as powerful as bitcoin. In the cryptocurrency world, today bitcoin is said to be gold. LTC is believed to be the silver as against BTC. Litecoin currently has a market volume of about 5.20 Billion dollars and the current price sells at $183.34. Every 2.5 minutes LTC creates new blocks, which is four times faster than Bitcoin. LTC wallets can be downloaded on available mobile stores. Lees has created trust wallets for LTC. The cryptocurrency uses a script algorithm.
Differences between Bitcoin and Lite coin
To start trading LTC, there is a need to understand its differences from Bitcoin;
SHA-256 and Script Algorithm
The lite coin uses a different algorithm from Bitcoin. While Litecoin uses a script algorithm, Bitcoin uses the SHA-256 algorithm. Script and SHA-256 are used as mining algorithms for crypto-currency. While the SHA-2526 has been in use for crypto-currency, the Script algorithm was first used in Lite coin. Script algorithm when would makes mining more tasking for miners while the SHA-526 would be more RAM and CPU friendly.
Market Cap of Lite Coin and BitCoin
Currently, Bitcoin has a market capitalization of $600 billion and LTC a market cap of $12 billion. There is no intense competition between LTC and BTC. Bitcoin is next by Ethereum. The fact remains that BTC is bigger than any cryptocurrency in the world. Since the launch of Bitcoin in July 2009, BTC has known a very fast growth rate.
Bitcoin is the most popular cryptocurrency while Litecoin is less popular. Bitcoin has garnered lots of supports from considerable percentages of the world population. Including billionaire Ellon Musk’s Tesla investing a huge 1.5billion amount on Bitcoin in the cryptocurrency, towards the end of 2020. Meitu a big brand in China that bought a huge $22.1 million.
Litecoin has a faster transaction speed in comparison to Bitcoin. Litecoin has a faster transaction speed than BTC. This is due to the complexities of the algorithm Bitcoin uses. Although the differences have really not much impact on businesses. Most blockchain investors are really investing in BTC compare to LTC.
Level of Acceptance
Acceptance, being the first cryptocurrency Bitcoin has more acceptances amongst the world populace. With lots of Bitcoin ATMs in the United States and Canada. Although some countries are currently due to some factors not supporting cryptocurrencies. China and Venezuela for example are seriously cracking down on miners. The Russian government has not regulated cryptocurrencies but BTC is commonly used as a means of exchange amongst the populace. Litecoin is growing gradually but it has not grown to the level that it’s accepted generally the way people have been supporting Bitcoin.
Generally, the BTC has been on the moving high than its lows since the beginning of this year with billionaires like Elon Musk, investing in BTC. LTC also has been trying as the silver of cryptocurrency.
Lite coin and Bitcoin. The Challenges
Here are some of the factors and challenges mitigating against general acceptance of cryptocurrency;
The number one major drawback for cryptocurrencies is majorly cybersecurity. As an online and electronic means of transaction lite coin or Bitcoin is not safe from cyber-attacks. Some investors have already been experiencing cyber hacking issue
s with investors losing lots of money. With strong security infrastructure, one could actually build strong walls around this issue.
Many criminally minded individuals have been taking advantage of online payment to launder money. There are even no proofs that politicians have not been using this medium to facilitate the fraudulent movement of money. Since anyone could easily steal money from government coffers and invest such funds in lite coin or Bitcoin. Cryptocurrencies could also aid white-collar crimes.
Lack of Regulation for both Lite Coin and BitCoin
Since there is no known regulation body in charge of cryptocurrency. It usually draws people back from investing. It’s only when lite coin or BTC have been adopted and regulated by governments, there will be 100 percent confidence. Government refusal to adopt and regulate cryptocurrencies may cause potential investors to hold back on investing.
The price of a lite coin, Ethereum, and Bitcoin are volatile. The price is not stable in any form. And are actually what users visualize them to be.
As time goes on there would be an improvement in the way we use cryptocurrency. To better secure one against hackers hijacking wallets. You should use a strong wallet that could be difficult to hack. Visit this post to read about Amazon Sage maker. You can also check the market cap for litecoin here.