Why Litecoin is Called the Digital Silver

Bitcoin is the gold of the digital world. Although cryptos are volatile in nature, Bitcoin has kept quite a stable value compared to its past worth. With a price that skyrocketed in 2017, a single Bitcoin reached a towering height of $19,783.06 with the market cap reaching $334 billion. In 2019, Bitcoin was stable in the way that it continued to go up, only dropping at a very small per cent with a price of $3,717 to $9,350.53.

There is no doubt that buying even a single Bitcoin at the start of 2019 was a great investment, making it the digital gold of today. On the other hand, a smaller yet more convenient kind of currency is available for new and old investors.

What is Litecoin?

Litecoin is one of the earliest cryptos that was born after Bitcoin was released into the world. It shares most features with Bitcoin, except one thing: its price.

●      Decentralized

Like Bitcoin, Litecoin has a decentralized nature. It is an open-source software which means that it is open to the public. Anyone can access the tech and even tweak it. Since it uses a peer-to-peer network, a record of transactions can easily be viewed by anyone in the system.

This means that anyone can also make use of the technology used by Litecoin. It can be helpful for other developers. On the other hand, if there is a problem in the system, people can easily spot it and fix it easily.

●      Cheap Transactions

This also means that the exchanges and crypto work apart from banks and other third parties. Dismissing the use of these, the fees are lowered and the red-tape processes are skipped.

Usable anywhere with the internet, Litecoin allows instant and extremely cheap exchanges to wallets anywhere in the globe.

●      Secure

Cryptocurrencies are made to be transparent and secure. With tons of developers and groups perfecting the system, Litecoin’s own security can easily fend off hacks and other malware. Litecoin’s security is many times stronger than other altcoins.

Although available to the public, Bitcoin's technology is very hard to copy exactly. It also requires a ridiculous amount of money and technology to undermine the system, making the cost bigger than what he could possibly get from the hack.

In the worst-case scenario, Litecoin can easily fork away from the anomaly, making its coins unusable.

●      Resources

Unlike other cryptos, the number of Litecoin and Bitcoin is finite. This means that there is a limit to how much can be mined and how much of these coins can be circulating in the market. Having pre-defined resources makes the two really valuable.

●      Mining

Litecoin uses a different software algorithm (Scrypt) in mining. The use of this makes Litecoin more accessible to miners. This makes mining faster and easier, compared to Bitcoin.

Since launch, Litecoin has undergone significant developments that have continuously boosted its services and kept the crypto’s price rising.

Litecoin and Bitcoin Relationship

Here are ways of how digital gold and silver differ from each other:

• Speed

Litecoin boasts a fast transaction speed in comparison to Bitcoin. This means that you can fulfil more processes than if you use the gold crypto.

• Mining

Because of the Scrypt, miners do not only use computer power to mine Bitcoin but also computer memory, making the process easier to bear for miners, cheaper, and faster.

• Security

Litecoin has less hash power than Bitcoin but it has never faced any threat to its security since it had been made.

• Bitcoin and Litecoin prices move together

The crypto economy works in a way that many cryptos worth move up and down together. The boost of Litecoin helps Bitcoin’s price rise and vice versa.

• Easy Conversion of Litecoin to Bitcoin

Because Litecoin is more practical to use in the digital world, it would make sense to use it. Investing in it is also easier since it is cheaper and can easily be mined.

However, Bitcoin is used more as a payment. As a tip, investors convert their Litecoin (instead of fiat) to Bitcoin at the right time.

With fast transaction speed, a secure network, and cheap costs, LTC is a great alternative to the crypto world’s gold. When investing, make sure to take advantage of your data on Litecoin, Bitcoin and other cryptocurrencies. 

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