Litecoin (LTC) is a digital currency created in 2011 by Mr. Charlie Lee, a graduate of the Massachusetts Institute of Technology, as a replica of Bitcoin. Litecoin, an open-source software project released under the MIT/X11 license, operates as a decentralized peer-to-peer cryptocurrency. Drawing inspiration from Bitcoin, Litecoin emerged as one of the earliest altcoins, launching in October 2011. From a technical perspective, the Litecoin main chain is built upon a slightly modified Bitcoin codebase.

Litecoin Exchange Rate

LTC by TradingView

Since its "debut," the coin has become a multipurpose coin as it is mineable and even used for peer-to-peer payments. However, it failed when it was initially launched as enterprise miners were acquiring the lion's share of its mining. Litecoin has since improved on these shortcomings and become a better coin.

What is Litecoin?

Litecoin, or LTC, is a cryptocurrency crafted to facilitate swift, secure, and cost-effective transactions through the utilization of blockchain technology's distinct attributes. Emerging from the Bitcoin (BTC) protocol, Litecoin diverges in aspects such as hashing algorithm, hard cap, block transaction times, and other factors. With a mere 2.5-minute block time and remarkably low transaction fees, Litecoin emerges as a fitting choice for micro-transactions and point-of-sale payments.

Unveiled through an open-source client on GitHub on October 7, 2011, Litecoin took its first strides as the Litecoin Network went live on October 13, 2011. Since then, it has experienced a surge in both adoption and recognition among merchants, consistently maintaining a position among the top ten cryptocurrencies by market capitalization.

Litecoin Maximum Supply

Like Bitcoin, Litecoin has a maximum supply that can be in circulation. However, its supply is designed to reduce over time to maintain the coin's value. When the coin was released into circulation, there were about 150 pre-mined coins and a total of 84 million coins. This ensured newcomers were able to get the coins and trade with them.

Litecoin currently has a block generation time of 2.5 minutes. As of January 2024, it had over 9.8 million Litecoins (LTC) left to mine.

Litecoin Halving

As said earlier, there are lots of similarities between Litecoin and Bitcoin. One of these similarities is Halving. Halving is the process by which the reward of a block's hash is reduced while other necessary parts of block creation remain the same. The transaction information within each block remains the same, and the block creation process remains the same. With Halving, the Litecoin reward that miners get after validating each block is reduced by half the value of the previous reward. This process reduces the rate at which new coins are created.

Litecoin has had several halvings in the past. Here are the dates where Litecoin has halved:

  • 50 to 25 LTCs - Aug. 25, 2015
  • 25 to 12.5 LTCs - Aug. 5, 2019
  • 12.5 to 6.25 LTCs - Aug. 23, 2023 (expected)

Litecoin Hashing Algorithm

As much as Litecoin has mirror similarities with Bitcoin, it also has clear differences from it. One of such differences is in its hashing algorithm. Unlike Bitcoin, Litecoin uses a different hashing algorithm called Scrypt. Compared to Bitcoin's SHA-256, Scrypt requires a higher amount of memory. The cryptocurrency community initially rejected the Scrypt algorithm until 2011. In 2011, the Tenebrix project modified it to work with regular CPUs for mining.

Due to the large memory requirements for Scrypt, application-specific integrated circuits (ASICs) have also been difficult to develop. However, the ASIC-resistant setup was not long in living as the world's first Litecoin ASIC miner was released in 2016.

Litecoin Developments

Litecoin has experienced steady development since its release into the cryptocurrency market. It has moved from its initial mining ecosystem dominated by individual miners to a setup more advantageous to corporations. In this corporate setup, high-profile tech firms run the large mining pools. These firms account for the majority of the mining of Litecoin.

Compared to more popular coins, Litecoin's market capacity is much smaller. Nonetheless, it remains one of the most traded cryptocurrencies, maintaining a position among the top 20 cryptocurrencies on CoinMarketCap (a platform that tracks more than 18,000 cryptocurrencies). This indicates that it is still a popular cryptocurrency. However, it isn't as popular as Bitcoin and some newer coins.

How is Litecoin Different from Bitcoin?

There are clear differences in the administration of Litecoin and Bitcoin. Here are some of these differences:

  • There is a difference in the maximum supply capacity of Litecoin and Bitcoin. For Bitcoin, it has a supply capped at 21 million coins. On the other hand, Litecoin has a supply capped at 84 million coins.
  • Also, Bitcoin uses a different hashing algorithm from Litecoin. Bitcoin uses the SHA-256 hashing algorithm while Litecoin uses Scrypt. The present version of scrypt Litecoin is modified to generate more coins.
  • The distinction in these algorithms has implications on how these coins process transactions and the speed at which those transitions are processed. At the moment, Litecoin processes and confirms transactions four times faster than Bitcoin. However, Litecoin suffers more from this "speed lap" as the coin's security is endangered. This is because the algorithm does fewer verification rounds on transactions in the blocks.
  • Bitcoin takes roughly 10 minutes to confirm transactions. In contrast, Litecoin's confirmation time is 2.5 minutes, which is ideal for merchants who do not want or need super-secure transactions.
  • Bitcoin has a larger market capitalization than Litecoin. Although Litecoin has a significantly smaller market cap than bitcoin, it still ranks among the most traded cryptocurrencies.

How is Litecoin Used?

Due to its high liquidity, Litecoin is a cryptocurrency that is easier to trade than other cryptocurrencies. As a result, several crypto exchanges accept Litecoin, including Newegg, Sling TV, and even non-profits like the American Red Cross.

You can even make payments using LTC through digital currency applications like BitPay or CryptoPay. If you need to transact with people, you can opt for a peer-to-peer merchant like Binance.

LTC pros and cons

Advantages of Litecoin

The major advantage Litecoin has over cryptocurrency market leaders is its transaction speed. Litecoin, without any additional layers of technology added to its blockchain, is a faster and more affordable cryptocurrency than Bitcoin.

Litecoin also has low transaction costs. As of May 6, 2022, Litecoin transaction fees were approximately 0.06% per transaction, compared with Bitcoin's 3.92%.

Disadvantages of Litecoin

One of the major disadvantages Litecoin has had is its low investor affinity. The reason for this is not far-fetched. After divesting most of his Litecoin holdings due to a conflict of interest, Litecoin creator Charles Lee caused a bit of a panic among cryptocurrency investors, and many also withdrew their stakes in the coin. The CEO and co-founder of SeedOn has this to say, "Something that caught the investor's eye and had an impact on the investor's confidence is that in 2017, Charles Lee, Litecoin's founder, has sold his stake in Litecoin,"

A researcher at 21 Shares observes that the Lightning Network, while designed to have higher transaction throughput than bitcoin, has sped up Bitcoin transactions and has diminished Litecoin's use case as a faster payment network.

Additionally, newer cryptocurrencies offer faster transaction processing rates. For example, EOS has 4,000 TPS, XRP has 1,500 TPS, and Cardano has 257 TPS.

Will Litecoin Have a Future?

For now, no accurate assessment shows how the market will move or adjust to the demand of investors, traders, and the government. However, as the days go by, more cryptocurrencies are created. Each of these cryptocurrencies will build on the shortcomings of present coins and improve them.

Also, the cryptocurrency market is very volatile, and governments are doing everything to clamp down on digital currencies. Therefore, it is difficult to predict a future for Litecoin this way.

Is Litecoin Still a Good Investment?

With the unpredictability of the market, it is difficult to make a bold statement on how Litecoin will behave going forward. However, suppose you want to continue investing in Litecoin. In that case, it is advisable to get a professional advisor to help you determine if Litecoin is a good investment.

What Factors Affect Litecoin's Price?

There are several factors responsible for the volatility in the price of Litecoin in the market and at crypto exchanges. Some of them are:


Digital currencies are decentralized currencies, meaning they are not regulated by a central authority. With Litecoin being unregulated, there is no authority to take measures to keep its price stable.


There are large amounts of Litecoins in circulation today. As a result, the coin's price can also be determined by the rate at which it enters the market.

Public perception

The price of Litecoin can also be affected by how the market views the coin and the market leaders like Bitcoin and Ethereum.


The price of Litecoin is also affected by the number of high-profile enterprises, investors and consumers that adopt it as a means of payment. Although it hasn't done much as a payment method, some businesses still view blockchain technology as a technology that can be adopted in the future.

What’s Better, Litecoin or Ethereum?

Litecoin was built basically as a payment method for P2P transactions. However, Ethereum is built as an ecosystem for other cryptographical technologies. Although it is built as a global virtual machine, it has a token called Ether (ETH) for transactions and payment methods. Ether is ranked as one of the top 5 valuable cryptocurrencies and has a larger trading volume when compared to Litecoin.

The better digital currency, however, will be based on your interest, needs, and goals.

How to Exchange Litecoin

To exchange Litecoin among 1600+ different cryptocurrencies, and at the best deals from 15 instant exchanges, visit Swapzone, a cryptocurrency exchange aggregator. Read trusted reviews, check out different parameters from instant exchanges, and choose the best offers.

Where to buy Litecoin?

You can buy Litecoin on Swapzone, an instant exchange aggregator. Swapzone provides users with the option to choose from 15 different exchanges, allowing them to complete the Litecoin exchange with the best offers.

Frequently asked questions

Is there a future with Litecoin?


According to analysts on the renowned website, it is anticipated that Litecoin will attain $500 by 2030, with the growth trajectory becoming more exponential post-2025. Anticipate gradual and consistent growth until 2025, followed by a notable surge over the subsequent five years, as indicated by experts at Coinpedia.

Can Litecoin reach $10,000?


Is a $10,000 milestone possible for Litecoin? There is currently minimal optimism regarding Litecoin's potential to reach $10,000 in the foreseeable future. Many remain unconvinced that there are sufficient incentives to propel LTC prices and its market capitalization to such levels.

How high will Litecoin be in 5 years?


Trying to answer this question, Swapzone team prepared a research on Litecoin future price. Read our Swapzone Blog, to find out what price will Litecoin be in 2024, 2025, and 2030.

Is it safe to invest in Litecoin?


Investing in Litecoin carries risks due to cryptocurrency market volatility. Like all digital assets, Litecoin's value can experience rapid fluctuations, posing potential financial risks. It's crucial to research thoroughly, considering factors such as market conditions, regulatory developments, and technology. Assess your risk tolerance and financial goals before investing, and consider consulting financial experts for personalized advice. Keep in mind that the cryptocurrency market can be unpredictable, and only invest what you can afford to lose.

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