How Litecoin Is Different
Bitcoin was the first. Since its release in , it's become the most famous, established and valuable cryptocurrency. But it's not the only game in town. Litecoin followed in Created by Charles Lee, an engineer who later helped build Coinbase , the leading cryptocurrency exchange, Litecoin is based on the same code as bitcoin but with a few tweaks designed to address two of its predecessor's limitations: transaction speed and access to the mining process.
And in , Ethereum made its debut, incorporating bitcoin's basic blockchain premise and Litecoin's pursuit of faster transaction speed, but adding a few of its own twists -- including the ability to process little chunks of code, called "smart contracts" -- and on its virtual peer-to-peer network as opposed to a dedicated server or mining rig.
Coinbase's support for bitcoin, Litecoin and Ethereum -- as well as Bitcoin Cash , a new branch of the bitcoin blockchain created in August -- helped install and keep them among the most visible and well-capitalized cryptocurrencies.
For the purposes of introducing some of the prevailing concepts behind the growing population of cryptocurrencies, we'll take a closer look at the technologies behind Litecoin and Ethereum, how they compare to bitcoin and what they each bring to the table for prospective investors, miners and traders. Litecoin is closely based on bitcoin -- they're built on the same underlying code -- but with a few distinctive tweaks.
The central difference is that Litecoin is mined using the Scrypt algorithm , which is rooted in mathematical computations that are simpler than those used by bitcoin's SHA algorithm.
And because Scrypt is less mathematically complex than SHA, Litecoin mining is way faster than bitcoin mining. A Litecoin block takes only 2. So Litecoin transactions are also faster to process and confirm. Like Litecoin, it's based on the same fundamental blockchain concept as bitcoin, with blocks and hashes and such , but Ethereum adds its own distinctive twist. This collective, distributed computing network, called the "Ethereum Virtual Machine," can be, in a sense, rented out.
Participants who consume computing power pay for it with tokens, called Ether; those who contribute processing power can earn them. Of course, buyers and sellers can simply trade Ether independently of these activities. Consider that bitcoin mining is akin to thousands of chefs feverishly racing to prepare a new, extremely complicated dish -- and only the first one to serve up a perfect version of it ends up getting paid. In the Ethereum kitchen, miners serve as the restaurant's landlord, compensated for providing the infrastructure so that Ether chefs can invent new types of cuisine.
In fact, a group of companies and universities has formed a nonprofit expressly to legitimize Ethereum; promote it as an open-source platform and not a commercial enterprise per se; and develop and support those applications that run on it. And these are not rinky-dink startups -- we're talking about major technology players like Intel and Microsoft and financial behemoths like JP Morgan and Credit Suisse.
Bitcoin remains the most visible and frequently traded cryptocurrency. If only it was that easy. No one knows whether any cryptocurrency will increase in value -- or even be around in a year's time though we think the ones outlined in this article will check both of those boxes. None of them are regulated yet and only individuals with the highest capacity for risk should get into the cryptocurrency market.
That noted, there are significant differences among these three that could be used to form a rational basis for investing in or mining one over another. Bitcoin is the mainstream choice. If you're looking for a cryptocurrency with first-mover advantage, unmatched popular visibility and the highest market capitalization, it's a no-brainer. On the downside, it's now nearly impossible to mine profitably, incredibly energy-intensive and, after rising more than 1, percent over the past year, could have expended most of its potential for growth.
This is debatable. No one knows anything. Litecoin offers its own advantages. Its creator is a known and active entity in the cryptocurrency community. It has a capacity for faster transactions -- a potential advantage in and of itself, which also provides for a different set of use cases than bitcoin. And it still offers the potential for profitable mining, unlike bitcoin. The Enterprise Ethereum Alliance brings together Fortune companies, research institutions and tech companies and startups.
Ethereum has the backing of some boldface names -- which could be a benefit or drawback, depending on your opinion of the modern financial industrial complex. It has the potential for intrinsic value like Litecoin or bitcoin but also more obvious commercial applications as well. And, like bitcoin, it has spawned hundreds of other coins that have been built using its underlying blockchain technology.
Regardless of which sounds the most appealing to you, do your research before investing in any of these cryptocurrencies. Buying and selling bitcoin : A quick and dirty introduction to trading cryptocurrency.
Initial coin offerings, explained : How can this possibly be a legitimate way to raise money? The Smartest Stuff : Innovators are thinking up new ways to make you -- and the world around you -- smarter. Be respectful, keep it civil and stay on topic. We delete comments that violate our policy , which we encourage you to read. Discussion threads can be closed at any time at our discretion.
Don't show this again. Bitcoin, Ethereum or Litecoin: Which is best for you? A primer on the most visible cryptocurrencies. Justin Jaffe. Bitcoin has spawned hundreds of cryptocurrencies. Ripple Coinbase's support for bitcoin, Litecoin and Ethereum -- as well as Bitcoin Cash , a new branch of the bitcoin blockchain created in August -- helped install and keep them among the most visible and well-capitalized cryptocurrencies.
Litecoin And because Scrypt is less mathematically complex than SHA, Litecoin mining is way faster than bitcoin mining. Ethereum Ethereum. Which cryptocurrency is the most valuable? Which one's the best for you? Now playing: Watch this: Bitcoin: A beginner's guide. Discuss: Bitcoin, Ethereum or Litecoin: Which is best for you?
Sign in to comment Be respectful, keep it civil and stay on topic.
What is Ethereum?
When you click through to the Coinpayments website to purchase your CCRB, you will then be asked which currency you want to use to make the purchase. They also have an app too that enables you to purchase your desired cryptocurrency. Who Is Investing in Cryptocurrency? The future of cryptocurrency mining and how you can play your part. Consumers, businesses and investors can purchase CCRB at the market rate, then whenever they spend it on our platform, they get rewarded with a much higher value for their CCRB on almost everything they buy - around 4x higher than the market rate, or a fixed baseline, whichever is higher. In order to make this financially feasible, each retailer chooses the amount of CCRB they wish to accept for payments for their goods on the platform, as a maximum percentage of the total purchase price, at any given time. Retailers do.
What is Litecoin?
Ethereum vs Litecoin: Which cryptocurrency to invest in? Disclaimer: The opinion expressed here is not investment advice — it is provided for informational purposes. It does not necessarily reflect the opinion of U. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose. You should expect volatility — all in all, things work this way.
The wisest thing you can do is to diversify your portfolio because Bitcoin has a fever, and there are many worthy cryptocurrencies. But which alternatives are preferable? You should consider having Ethereum and Litecoin among your favorites — they are both worthy crypto assets. Which one is a better investment solution?
Both Ethereum and Litecoin are listed on Coinbase. This platform allows purchasing and selling currency at its real-time price. Litecoin and Ethereum process transactions quicker than Bitcoin, what to buy bitcoin ethereum or litecoin different approaches are used. Optimal processing speed makes these currencies stay on top.
Ethereum is mostly used by developers who deploy the blockchain and its smart contracts for the creation of dApps. Aside from having long-term applications, Ethereum also helps to store data, transfer value, and organize communication. This open-source hard fork that helps to perform transactions. There is no ETH limit — it can be mined over an indefinite period of time. Only 84 mln tokens are to be emitted.
The contracts can automate payments. For example, when goods and services are transferred, payments are sent instantly. The idea of smart contracts can eliminate all kinds of middlemen in both cyber environments for instance, in crowdfunding websites and real life for example, in the sphere of real estate trading.
Ethereum simply continues evolving the idea of cryptocurrency decentralization that started with Bitcoin. It has a lot of space for further development. It was created by a former Google developer, which adds reliability and trustworthiness. Charlie Lee, one of its founders, has shown great leadership qualities over time and is tight-lipped about its creation.
You can easily exchange it for BTC. Chinese crypto enthusiasts are fond of Litecoin — what to buy bitcoin ethereum or litecoin represent a large community of potential users. Although Bitcoin was the only means of payment in this sphere, recently other cryptocurrencies have also gained traction.
Competition on the darknet is very stiff, and within a short time, Litecoin has turned into the preferred cryptocurrency among dark web users.
People get tired of high Bitcoin fees and switch their attention to Litecoin instead. Will they grow in price this year? Although Ethereum faced hard times as other cryptocurrencies did init is here to stay. The Ethereum blockchain is too genius to disappear and be underrated. What does its price depends on? First, it depends on how many platforms will adopt and use it. Ethereum is already being used by many Fortune companies and continues gaining traction. New technical releases.
ConstantinopleCasper, and other upcoming renewals will further boost the demand for smart contracts and promote Ethereum. The market bull run is to come.
The bearish tendency seems to have subsided, and the cryptomarket will be more stable in What do experts think? We might even go one step further and say that Ethereum is not like one asset, but an asset to replace all currency that exists. Jeff Reed, a cryptocurrency writer, states that Ethereum will overrun Bitcoin :. The market is ever-changing, but if the demand stays on the same level, it is not hard to hit those imagined numbers in the long-run. He said that Litecoin can rise even higher than Bitcoin.
According to the atomicwallet. The further — the better. According to steemit. Good times are to come for Litecoin! Luckily, no one else supports this view. Therefore, it must be the right choice for short-term investments: you can reap returns on investment within a few months easily. Due to the bearish tendencies on the crypto market, many cryptocurrencies have seriously gone down in price, and one of the current biggest concerns is whether tokens what to buy bitcoin ethereum or litecoin retain their value.
Having appeared inLitecoin is one of the most stable altcoins on the market. Besides, it has a strong recall value, which is great considering there are hundreds of alternative cryptocurrencies. That also makes it a great long-term investment. Another factor what to buy bitcoin ethereum or litecoin considering is that Litecoin has a maximum supply of 84 mln LTC, which means no more coins will be emitted at some point in the future. The limited number of tokens could mean that Litecoin will become more valuable down the road.
Ethereum was introduced to the market inthough it quickly gained interest among potential crypto users. Increasing interest made Ethereum recognizable: it enjoys the growing support from exchanges. Although Ethereum is not commonly used as a payment method, the situation can change in the future.
It already changed when Ethereum left Litecoin behind in At the moment, Ethereum seems to be the best store of value: it has bright prospects moving ahead.
Despite its young age, its smart contracts and blockchain are being widely used for the creation of dApps. Its growing recognition makes ETH easier to purchase, access and spend. Ethereum is likely to disappear from the market only if all cryptocurrencies sink into oblivion. Cryptocurrencies were designed to serve as decentralized digital money, i.
So, how do Litecoin and Ethereum perform from this standpoint? It has a confirmation time that 4 times faster, with the average block time of 2 minutes 19 seconds. Considering the growing number of online users exploiting cryptoLitecoin is great for online transactions. You can have several transactions processed within a minute or even. Mainly for this reason, Ethereum has become the most traded cryptocurrency on the globe with millions of transactions performed on a daily basis.
For comparison, Litecoin processes 50, transactions daily, and Bitcoin — abouttransactions. Both Litecoin and Ethereum are relevant as means of transactions: while Litecoin transactions are cheaper, users still prefer Ethereum — its instant block time is simply unbeatable. Both Ethereum and Litecoin are top cryptocurrencies on the market — they have strong technological foundations, and both are supported by the crypto community. Ethereum continues being number one more info for the creation of decentralized applications and more than.
Litecoin is a greater alternative to Bitcoin, so we may witness how it will start replacing BTC in regular payments. So, which cryptocurrency to choose?
The market is volatile and you never know for sure which cryptocurrency will fail and which will grow. What is clear is that Litecoin and Ethereum are here to stay and, most likely, you will double your investment in a couple what to buy bitcoin ethereum or litecoin years or even months. We do not recommend investing money you cannot afford losing.
Alex Dovbnya aka AlexMorris is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from what to buy bitcoin ethereum or litecoin analysis to Blockchain disruption. Alex authored more than 1, stories for U. Today, CryptoComes and other fintech media outlets. In order to do that, MyKingz relies on steganography, the practice of hiding one file within another file that dates back to the times when Leonardo da Vinci included secret messages in his paintings.
Sponsored by Celsius. Alex Dovbnya. Cover image via u. About the author Alex Dovbnya.
Should you buy Bitcoin, Litecoin or Ethereum now?
Buy Litecoin with Credit Card or Debit Card
If you're looking to invest in Litecoin, it's important to remember that Litecoin is a currency. Am I supposed to do something else with it now or do I bitocin wait a couple years and see what the coin is worth at that time and sell? Blockchain technology is being used to create applications that go beyond just enabling a digital currency. For each transaction they put in the block, they will be rewarded with a transaction fee. More developers joined ranks and Ethereum had momentum and a growing community of high-tech enthusiasts. This collective, distributed computing network, called the "Ethereum Virtual Machine," can be, in a sense, rented. The offers that appear in this table are from partnerships etherem which Investopedia receives compensation. So, we believe bitcoln you should invest in both as they both bring in exciting possibilities.