Litecoin (LTC), The Partner Of Bitcoin In The Journey To Mass Adoption
I am bullish on only a few altcoins for the long term and one of them is Litecoin. The tech of Litecoin is similar to Bitcoin except for a few changes. LTC is using another mining algorithm and the block time is 2,5 minutes instead of 10. This makes Litecoin transactions 4 times faster. The maximal block size of Litecoin and Bitcoin are both 1 MB, but because of the difference in block time Litecoin can do 4 times more transactions in the same time (4 blocks of 1 MB in ten minutes where BTC does only 1 block of 1 MB).
Bitcoin is by far the best store of value, but failed to be a good payment method in the previous months. Litecoin is able to deliver that service, but it will get way more interesting…..
The Bitcoin and Litecoin networks will be connected
Bitcoin and Litecoin are no competitors, they are partners. Because both Litecoin and Bitcoin have Segwit implemented they are able to create secure Lightning Networks and these networks can be connected to each other.
By combining the Lightning Networks with atomic swaps it will even be possible to send BTC to someone that accepts LTC and opposite. Also BTC users can use the LTC blockchain to make a BTC transaction when the BTC blockchain is busy and transactions are delayed or more expensive. The capacity of the two blockchains and Lightning Networks combined will make mass adoption possible!
HERE is an article where Charlie Lee explains how the Litecoin network can function as an extra lane when the Bitcoin network is busy and congested. This is how Charlie explained it in his own article:
LTC is faster to implement new technologies
Because the Litecoin network is smaller and more centralized than Bitcoin it is easier to push new technologies trough. Segwit for example was earlier implemented in Litecoin than in Bitcoin and this will happen with many more updates.
This means Litecoin will benefit because they can copy / paste new tech that is created by Bitcoin devs (the best of the world) and Bitcoin will benefit because the new tech can be tested in a real world environment. Since the mining algorithm is different (so they don't compete for hashing power) and they complement each other on innovation it is clear that Bitcoin and Litecoin are partners and not competitors!
The flappening: LTC is heavily undervalued or BCH is overvalued
Litecoin and Bitcoin Cash (Bcash) are competing to be the best medium of exchange when BTC doesn't scale fast enough to fill this function. Bcash has the advantage that extremely rich figures in the community (like Roger Ver and Jihan Wu) are promoting it. However, Litecoin is backed by real strong fundamentals and is doing it way better in the real world.
THIS site compares the price, market cap, amount of transactions and trading volume of LTC and BCH. As you can see: LTC has twice as many transactions per day and the volume is 5 times higher, while the market cap of LTC is only half of what the market cap of BCH is. This site is called ‘flappening’, because the fundamentals reveal that LTC should be way more valuable than BCH.
Besides that the block time makes LTC 4 times faster and that is exactly what the selling point of Bcash is right? Also Bcash is not upgraded with Segwit, so it will not be connected to Bitcoin as described above.
To make a long story short: Bcash is a hyped shitcoin and Litecoin is an innovative and fundamentally strong cryptocurrency. This will eventually be reflected in the price and that will mean FLAPPENING!!
Infrastructure of Litecoin is expanding
Recently the launch of Litepay and Litepall are announced. These two services will greatly expand the infrastructure and make it easier for merchants to accept Litecoin and easier for users to spend it. Also merchant adoption is increasing with recently cheapair.com announcing that they will now also accept Litecoin (were accepting Bitcoin already). Travel around the world and pay with Litecoin!
Investing in Litecoin
In my opinion Litecoin is an unique altcoin that can be held for the long term because it will cooperate with Bitcoin and not compete. It can also function as an insurance on your BTC HODLings because if something bad happens to Bitcoin or Bitcoin doesn't move fast enough the value can flow over.
Also for the short term Litecoin could give great returns because scaling Bitcoin doesn't happen within a day and Litecoin is the best candidate to fill this demand. I recently increased my LTC holdings to 4 LTC for every BTC. Since the total supply of LTC is 4 times bigger than the supply of BTC I own now an even part of the total supply of both coins.
Disclaimer:
This is not investing advice, everyone is responsible for his own trades / investments.
Previous post:
https://steemit.com/komodo/@michiel/komodo-kmd-the-hidden-pearl
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great article thanck you , keep going
Thank you!
no probleme , keep sharing , i just discover your blog awesome ;)
I want to know what coin will win to be the silver Litecoin or Bitcoin cash both are forks of btc and both have interesting features and community. Regards
I go for Litecoin. The fundamentals are way stronger, track record is longer and the tech is way better (Bcash is an old version of Bitcoin).
Good point @michiel and i want to see this fight :) but yes i prefer ltc i mean it has more advantages and global support. Regards
Very informative article. I have been a big fan of Litecoin for over four years now. I've always liked it better than Bitcoin, to be honest. It's been undervalued since the beginning. I appreciate your comparison with Bitcoin Cash. I actually didn't realize that LTC and BCH were competing for the same niche in the cryptospace, but that makes a lot of sense now that you mention it. Thanks again!
This is exactly what i think of this, nice comment!
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Woow good post @michiel
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Great article you post
I think a very relevent point this week is how safe and steady Litecoin has been in the midst of some rollercoaster movement in the market. Litecoin has held up well with little varience. No ownder its the coin of choice for many people transferring Steem in and out of Steemit. Great in depth article, and more importantly for thickos like me, easily understood :-) Best wishes.
yup, always loved Litecoin!
The most famous crypto inventor today - Bitcoin - is trying to build a "peer-to-peer electronic cash system". This has been tried many times before, but the main point of difference between Bitcoin and previous attempts like Digicash is that it is fully decentralized. Without a comprehensive entity controlling the currency, the notion of trust will be removed from the system.To combat double spending, the main disadvantage of all the digital cash systems of the time, the inventor of Bitcoin, Satoshi Nakamoto, proposed a revolutionary technology known as blockchain to record all transactions made with its currency.For any balance, transaction, or change to the network to be performed, there will be consensus among those validating the network - the miners. Since the invention of Bitcoin, many other programmers have tried to use the model and tweak it to give what they perceive as a more functional form of digital cassette.Other cryptocurrencies include Litecoin, Monero, Ether, and New Economy Movement. Many of these efforts are adjusting their currency for specific purposes. Speed, price, and privacy, including the most common. Nice @michiel
great post