These days we live, the cryptocurrencies have taken over part of the trading market. The first currency and the king of them is Bitcoin. But other altcoins followed in the footsteps of Bitcoin. Litecoin is one of those coins that I want to talk about and whether we should invest in this or not?
A computer scientist named Charlie Lee developed the Litecoin. Lee previously worked for Alphabet’s Google (NASDAQ: GOOG, NASDAQ: GOOGL) and now works for Coinbase (NASDAQ: COIN).
Why invest in altcoins?
Investors in digital currency consider different factors for buying and investing their desired tokens. For example, is this currency stable? What is its profitability over time? What is the risk to reward? What is its efficiency and what is its advantage over its counterparts?
What is different between Bitcoin and Litecoin?
The founder of Litecoin made it look like Bitcoin, except that it takes about ten minutes to build a block in Bitcoin, but it happens 4 times faster in Litecoin, in 2.5 minutes. Also, transactions in Litecoin are much cheaper. The average transaction cost in Litecoin is only 2.6 cents, but this amount is about $ 4.38 in Bitcoin, so it is definitely a better choice for transferring large amounts of Litecoin.
Another difference between Litecoin and Bitcoin is the number of coins produced, so Bitcoin eventually produces 21 million coins, but Litecoin produces 84 million coins, which is currently more than 70 million coins for Litecoin.
There is another difference between bitcoin and decimal numbers, but Litecoin is only used as a unit, which is more pleasant for traders.
Litecoin is an open-source, decentralized application. It has high security.
Does Litecoin have a good future?
If you want to invest in Altcoin instead of Bitcoin, Litecoin is a good offer. Let’s not forget that many low-value altcoins, but with different uses and features, may one day outperform bitcoins.
Last year, following the announcement by Walmart (US retail giant) would be accepted as payment in this collection, we suddenly saw the coin grow to around $ 260, but after announcing that the message was fake, its price fell.
But in the future, it is not clear whether large companies will not use this coin due to its high capabilities, low transaction and good speed, and if this happens, we will see a significant increase in its price.
Is Litecoin a better investment than Bitcoin?
Litecoin may have been created to replace bitcoins, but in the world of cryptocurrencies, the brand has a special place and branding is a difficult task for any of them. Most investors consider Atrium to be a replacement for Bitcoin, but Litecoin also has a good chance and is among the top 20 currency numbers, and due to its greater efficiency and speed, it can replace Bitcoin.
Disadvantages of Litecoin:
One of the disadvantages of Litecoin is that it has lost much of its market share and has turned its uptrend into a downtrend.
Another point is that Mr. Lee sold his shares so that they could not tell him that he was manipulating the LTC market. One of the reasons for his sale was because of the benefits he had while tweeting while he had assets in LTC. Although his intention was benevolent, the fact that the creator of a coin sold all his property in this currency is a negative point for this currency.
Should I buy Litecoin?
If you want to think outside the box, Litecoin is an attractive investment option. Sure, Bitcoin and Etherium are in a better position for their core assets, but if you want to expand your investment portfolio, LTC is a good investment option because its use has proven and is constantly improving.