What is Litecoin?
Litecoin (LTC) is a cryptocurrency launched in 2011 based on Bitcoin's code. Its creator positioned it as 'silver to digital gold': technically similar, but a lighter asset for transactions.
How it works
The network uses Proof-of-Work mining with the Scrypt algorithm. Blocks are formed four times faster than Bitcoin (every 2.5 minutes), with a maximum supply of 84 million coins. Litecoin traditionally serves as a testbed for technologies later implemented in Bitcoin, including privacy solutions for transfers.
Pros and cons
- Pros: long history of reliable operation, fast and cheap transfers, wide support from exchanges and payment services.
- Cons: limited ecosystem development, declining market share amid new networks, volatility.