What is Litecoin?
This blog post will cover:
- What is Litecoin?
- Where did Litecoin come from?
- What are the advantages of Litecoin?
- What are the disadvantages of Litecoin?
- How to buy Litecoin on SimpleSwap?
What is Litecoin?
Litecoin is a type of decentralized cryptocurrency based on open source cryptographic protocol. Nowadays Litecoin is known as silver of the cryptocurrency world.
Where did Litecoin come from?
Litecoin was released in 2011 by a Google employee, Charlie Lee. He is known as an active participator of a cryptocurrency community. His main goal was not to replace Bitcoin, but to make transactions faster. So in the year 2017 there was the first transaction that happened less than in 1 second. Although Litecoin is very similar to Bitcoin, it has a number of differences. It was a fork of the Bitcoin Core client, differing primarily by having a decreased block generation time (2.5 minutes), increased maximum number of coins, different hashing algorithm (scrypt, instead of SHA-256), and a slightly modified GUI (Graphical User Interface). In November 2013 it started to experience a massive growth. In the year 2017 Litecoin became one of the first cryptocurrencies to adopt Segregated Witness. It seems that Charlie Lee is not going to stop. And Litecoin is changing to the better.
What are the advantages of Litecoin?
In comparison with Bitcoin Litecoin has a number of advantages.
- It is an open source project
That means that it can easily implement technological improvements.
- It is fast
Litecoin confirms 4 times faster than Bitcoin.
- It is expected to produce 84 million coins, which is much more than Bitcoin
- It is built upon Scrypt
That makes mining on ordinary computers easier than for Bitcoin.
- Low transaction fee
What are the disadvantages of Litecoin?
However, there are a few things that can make you think twice before using LTC.
- Since there is no authority that controls transactions, your savings are at risk
If it's stolen or lost, nobody can help you to find it.
- Mining is too centralized
Although Litecoin is a decentralized cryptocurrency, recently introduced the Litecoin mining machine takes about 50% of the total network.
- It doesn't offer absolute anonymity
How to buy Litecoin on SimpleSwap?
Let’s say you want to buy Litecoin. What should you do? We suggest you go to the SimpleSwap homepage and follow the instructions below:
- Choose the currency you want to exchange (e.g. BTC) in the first drop-down list. Enter the amount you would like to swap.
- Select LTC in the second drop-down list. You will see the estimated amount that you will receive after the exchange.
- Enter the Recipient’s Address. Litecoin will be sent to this address. Be careful and make sure you use the correct address.
- Check all the information you have entered. If everything is correct click the Exchange button.
- You will see the Bitcoin deposit address. You need to transfer the necessary amount of BTC to this address to start the exchange.
This is everything you need to know to buy LTC.