A Beginner’s Guide to Litecoin (LTC) – What it is, Where to Buy it, and Where to Store it

Litecoin is an open-source project and cryptocurrency, known as LTC, that enable users to send and receive funds on a peer-to-peer (P2P) basis. Usually referred to as the silver to Bitcoin’s gold, Litecoin is a smaller crypto project than Bitcoin.

Still, when it comes to the end-to-end transaction process, it operates better: while BTC transactions take ten minutes to confirm, LTC only takes around 2.5 minutes. Litecoin is also capable of scaling more transactions at 56 per second compared to the seven transactions possible with BTC.

That said, if you’re considering investing in Litecoin for the future, we would suggest reading this short guide. Within it, we’ll discuss what Litecoin is, how it works, where to buy it, as well as places to store it.

What is Litecoin?

Established back in 2011, Litecoin was among the first cryptocurrency projects to compete with Bitcoin’s existing state. Its founder, Charlie Lee, wanted to develop a blockchain protocol with the same features as Bitcoin, such as decentralized blockchain, a transparent ecosystem, peer-to-peer transactions, and tight security, but make it much better.

Therefore, Lee carried out a fork of the Bitcoin blockchain, which means that it used the same basic code, but implemented some changes en route. Notably, Litecoin​ is a great improvement on how you buy Bitcoin with blockchain on two main fronts.

First of all, Litecoin​ transactions only take 2.5 minutes to confirm instead of the ten minutes that Bitcoin needs. Litecoin​ is also capable of scaling more transactions, as we already mentioned; while Bitcoin is restricted to only seven transactions per second, Litecoin​ can scale 56. On the downside, this is still much lower compared to other cryptocurrency protocols in the industry, with the likes of Ripple capable of scaling 1,500 transactions per second.

Nonetheless, Litecoin​ has risen to exponential heights since its creation in 2011. When it was first established on a tradeable exchange platform in 2013, users could have bought a single Litecoin​ for $4.30.

Entering the crypto-craze of late 2018, the very same Litecoin​ was worth $350 – this represents a 2013-2018 growth of more than 8,000 percent. Still, much like the rest of the cryptocurrency scene, Litecoin​ also fluctuates in price and is usually worth just a fraction of its unprecedented high price.

Where to Buy Litecoin Online?

If you consider investing in Litecoin​ and want to buy it for the first time, you will need to use a third-party exchange. These platforms usually enable you to use everyday payment methods such as debit or credit card, which is excellent if you have no previous experience of purchasing cryptocurrencies. With hundreds of cryptocurrency exchange platforms out there, you will be able to find one that suits your needs.

Where Can I Store My Litecoin?

Unless you want to invest in Litecoin​ via a CFD (contract for difference) – a hugely popular financial method that allows you to speculate on the price of an asset without needing to own it – you will have to consider where to store your Litecoin​.

This is vital, as the cryptocurrency industry is filled with dreading stories of hacks. In case of such an event, there’s nobody that can help you get back your Litecoin​, so choosing an excellent wallet for your individual needs should be your main focus.

​Wrap Up

If you have read our short and simple guide on Litecoin​, you should have a firm idea of what the cryptocurrency is, where you can purchase it and what to do with it after you buy it. Crucially, you should evaluate whether a cryptocurrency exchange is best for your needs by looking at metrics, including fees, payment methods, and user-friendliness. Also, make sure the wallet you want to store your Litecoin​ on has tight security and is easy to use.

Previous ArticleNext Article

Leave a Reply

Your email address will not be published. Required fields are marked *