5 Ways That Litecoin (LTC) Could Be Superior To Bitcoin (BTC) Soon

Both Litecoin and Bitcoin share some commonalities. To start with, Litecoin is an off-shoot from Bitcoin, as it forked itself to become an alternative currency. Secondly, both types of digital coins have an emphasis on use for p2p transfers, and each has a limit on the number of coins that can be generated.

Although Litecoin and Bitcoin share similarities, there are some important differences between the two that should be realized. These differences are important enough that one day, Litecoin could surpass Bitcoin both as a store of value and means of exchange.

1. Charlie Lee Is Fully Committed To Litecoin

Charlie Lee, who was the original developer of Litecoin, had started his career working at Coinbase. As such, it could be said that he has the right industry experience and connections to make Litecoin an enormous success.

Charlie Lee has made strides in an effort to target merchants and other exchanges, with the view to bring Litecoin into the public consciousness. To put it simply, Charlie Lee’s passionate and dedicated leadership style gives LTC a distinct advantage over Bitcoin.

2. Litecoin Uses Segwit

Another deviation between the two coins is that Litecoin makes use of the Segregated Witness update. This change happened in May, and is another important difference to Bitcoin. This update helps to speed up transaction speeds of its blockchain, especially settlement time for trades and lowers network fees.

3. Proof Of Work Algorithm

Instead of following Bitcoin’s application-centric devices with higher processing costs, Litecoin makes use of a different proof of work algorithm. This means that mining LTC can be utilized by using a computer’s graphics card instead of one’s CPU. This algorithm is more decentralized than its neighbor, and could make it a more profitable venture for miners.

4. A Faster Block-Processing Rate

Litecoin creates blocks far quicker than Bitcoin: every 2 ½ minutes, Litecoin creates a block, and then rewards its miners. In comparison to Bitcoin, which makes a block every 10 minutes. This means that Litecoin can process transactions far quicker than its alternative, as well as make it easier for miners to generate cashflow.

5. The Principle Of Large Numbers

Last of of all, investors can leverage what’s called the “Law of Large Numbers”, when they decide to invest with Litecoin.

To put it simply, the total market capitalization of Litecoin is four times as large, and blocks are created four times as fast. It allows for more transactions per second, and many consider it a safer investment choice because of these facts.

In summary, for those who are looking to put all their eggs in to the “next bitcoin”, they may have already found their golden goose with Litecoin. It carries many of the advantages of BTC without the costly mining, high fees, and slow transaction times that the network suffers from, and this is only the beginning for LTC.