Cryptocurrency trading, also known as Digital Currency trading is increasing in popularity. Among the cryptocurrencies, Litecoin is gaining ground. Potential traders, vendors, and investors should consider the advantages of Litecoin.
Charlie Lee, an MIT graduate, and former Google engineer, launched it in 2011, following the earlier currency, Bitcoin. Today, Litecoin is “silver to Bitcoin’s gold.” Litecoin uses an open source platform of global payments network not controlled by any central authority. Read further why you can consider Litecoin as a significant investment.
Litecoin Is Cheaper to Maintain Than Bitcoin
“Mining” refers to the generation of public ledgers that store all necessary transaction information using a cryptocurrency. These public ledgers are called “blockchains.” Individuals or groups comprise these “miners” who provide power and hardware. Vendors and merchants pay them physically with freshly minted cryptocurrency. It means that cryptocurrencies, in general, incur costs for the blockchain.
Litecoin miners produce blockchains four times faster than that of Bitcoin using the same resources. Thus, one of the advantages for Litecoin is the lower transaction cost to create the blockchain. For an investor or trader, savings on transaction costs make the difference, especially with high volume.
Litecoin Is More Sustainable
Bitcoin wiki compares popular cryptocurrencies across several parameters like advancements, power supply and algorithm used. With most cryptocurrencies having a cap of 21 million coins, Litecoin has 84 million.
When cryptocurrency demand expands maximally, Litecoin can provide coins fourfold. In effect, everyone will turn to Litecoin if all the other cryptocurrencies run out of coins. This stability is the second and long-term advantage of Litecoin over other cryptocurrencies. It means Litecoin is likely to survive the market over time.
Litecoin Is Easier to Mine
Mining Bitcoin nowadays is no longer as easy as it was 6 or 7 years ago. Hobbyists now use application-specific integrated circuit (ASIC) as hardware. With Litecoin a more straightforward algorithm than Bitcoin, mining uses fewer resources and requires less power; you can even use your home PC.
Several websites can offer tips if you are a starter and would like to earn by mining Litecoin. Graphics processing unit (GPU) card in PCs is the popular hardware used in mining since the early days of cryptocurrencies. This ability to mine with just your home PC is undoubtedly the third of the many other advantages of Litecoin.
Bitcoin and other cryptocurrency trading remain as an attractive investment alternative for traders, fund managers, banks, and regulators. For a starting investor, it is always good to weigh its cost and sustainability.
Litecoin offers a faster and simpler blockchain algorithm that uses lower resources. It means lower transaction costs and four times the Bitcoin cap; it is more sustainable than the others. You should take a long look at the advantages of Litecoin.