Litecoin, in essence, is a Cryptocurrency… just like Bitcoin. And, it also came to the market as a competitor of the king of Crypto. However, due to a less-promising prominence, it failed to make any kind of impact like Bitcoin.
At least, that’s how it was since the beginning of this year. Due to the massive downfall of Bitcoin, the popularity of Litecoin is growing pretty quickly. But, does it really make a decent investment prospect for you? Let’s find out.
How Does Litecoin Work?
Well, Litecoin works like almost any other Cryptocurrency module available in the market. It is based on a decentralised network, like everyone else. And, it gets transferred through the coveted blockchain technology. And, because of that, it’s capable of –
- Creating a permanent transaction timeline in the ecosystem in blocks.
- Enabling excellent transparency in the currency flow through the network.
- Disapproving transaction edits and preventing hackers from stealing currency.
Furthermore, it’s also decentralised. So, not a single person or entity is capable of managing the system or taking care of it. However, if you want, you can access or trade through a site or platform like immediate edge. Just ensure that it’s secure enough. That’s all.
The Difference Between Litecoin And Bitcoin
Even though both Litecoin and Bitcoin work on the same decentralised platform, they’re still quite different from each other. Let’s keep reading this section to know more about it.
|It’s the most valuable currency available in the current market.||It isn’t as popular or pricey as Bitcoin, but still has some sort of cost to be relevant.|
|Bitcoin, as of now, is showing somewhat consistent growth. But, it might reduce in the future.||Litecoin’s growth was stopped due to the massive popularity of Bitcoin. But, since the year of 2020, it’s been growing continually.|
|The transactions related to Bitcoin are quite expensive due to the forthcoming scarcity of coins.||Litecoin-based transactions are inexpensive to some extent. And, the price isn’t going to increase anytime soon at all.|
|Usually, a Bitcoin-based transaction tends to move a little slower than usual. Sometimes, it might take around two-three hours to be done with a single payment procedure.||Litecoin moves pretty fast through a blockchain-based ecosystem. In some cases, it’ll be completed within a minute or two.|
Why Should You Choose Litecoin?
As we’ve said before, the popularity of Litecoin is increasing quite steadily since 2020. And, now, we’re going to reveal the reasons behind such a phenomenon.
Reason 1 – The Level Of Stability
The stability level of Litecoin is quite impressive, especially when looking at it from a general viewpoint. It usually doesn’t increase or drop by a massive amount. Therefore, if you want to stay away from the volatility of Bitcoin, it might be ideal for you to choose Litecoin instead. Just do a little bit of research, and you’ll be fine.
Reason 2 – Affordable Pricing
The pricing of Litecoin is quite affordable (currently USD 59.00). Therefore, even if you are a student, you can easily afford at least one coin with your savings. However, as the price of the same is increasing, we’ll ask you to make your investment a bit quicker. Or else, you might end up paying a huge amount of money to make the purchase.
Is There Any Risk Associated With It, Though?
Well, yes. Almost any kind of investment available out there comes with some sort of risk, and the same can be said against Litecoin too. Let’s keep reading to know more about it.
- Litecoin is quite consistent as a whole. But, it doesn’t show adequate promise when it comes to growth. So, we don’t think it’ll wow any prominent investor.
- The overall scalability of Litecoin is quite low as well. Hence, if you want to look for a worthy competitor for it, we’ll ask you to choose Stellar Lumens.
The Bottom Line
If we’re being honest, Litecoin can, indeed, be a smart investment from every point of view. However, we’ll still ask you to be wary about the prospect as much as possible. Just doing a little bit of research can help you go a long way too. You may also talk to an investor to know more about it. Hopefully, it’ll help you out accordingly.
If you are interested in even more business-related articles and information from us here at Bit Rebels, then we have a lot to choose from.