Ever heard about Bitcoin? If you were interested enough to click on this article, you probably have! Well, there is a lot more to the cryptocurrency market than that, which is very good news for all the enthusiasts out there.
Now you can not only try out your luck investing in one type of coins, but you can also find the best option for yourself.
There are plenty of new cryptocurrencies out there nowadays, and Litecoin is only one of them. Depending on your needs and preferences, however, it might be the ideal choice for you. That is why we are going to take this opportunity to introduce you to it, but we will also try to provide you with an easy guide on how to mine, buy and earn Litecoin!
What exactly is Litecoin?
In 2009, the world was introduced to Bitcoin. Only two years later, Litecoin was launched as well. The public was told that this new cryptocurrency strives at becoming the “silver” to what the company referred to as Bitcoin’s “gold”. Let’s check out some of the basic similarities and differences between the two.
When it comes to cryptocurrencies, one of the most important terms is definitely the “market cap”.
Basically, it is a restriction on the value of the entire network of the cryptocurrency in question. While Bitcoin’s is over $10 billion, Litecoin’s is under $550 million. While that sounds like a huge advantage for Bitcoin, Litecoin is still second best when all the other cryptocurrencies are taken into account as well.
Also, Litecoin has a higher coin limit. While Bitcoin’s is 21 million units, Litecoin’s is a whopping 84 million. Apart from these two, there are several other minor differences. For instance, the algorithm used by Bitcoin is SHA-256, while the one used by Litecoin is Scrypt. Also, while Bitcoin’s mean block time is 10 minutes, Litecoin’s is only 2.5 minutes. There is another important difference, but that is for the following paragraph to discuss, and it has to do with mining.
How do you mine for Litecoin?
When talking about cryptocurrencies, it is hard not to mention mining. Basically, it is a process of getting the coins without giving any of your actual money in return. It involves getting proper hardware, as well as the right kind of software. You can find more than enough options online – do a quick Google search and make a choice. The actual process of “mining” for Bitcoins is pretty straightforward – you let your software do all the work.
But is mining for Litecoin the same as mining for Bitcoin?
Fortunately, unlike some other altcoins, Litecoin can be mined. There is no real difference in the process when compared to Bitcoin, but there are some differences in the results. This is all thanks to the fact that Litecoin uses another type of algorithm – the aforementioned Scrypt.
The difference can be seen in hashing power. While mining for Bitcoing can be done at 20,000 T hashes per second, Litecoin is at just over 95,000 M hashes per second. As a result, Litecoin is slower at generating new coins. This, however, doesn’t mean you will have a hard time getting your hands on it, since there are plenty of other ways to go about doing that.
How can you buy Litecoin?
Litecoin can be bought just as easily as any other cryptocurrency. Check out how simple the process really is. First of all, do a Google search and find the best site for exchanging cryptocurrencies.
When it comes to Litecoin, you will find that Coinbase, BitPanda, Poloniex and ShapeShift are your best choices. You have more options, though. You can also try to make it with the help of one of the many brokerage platforms. These are another completely safe way to get your share of Litecoins. If you want the best, start with Changelly.
When you want to buy some Litecoins, go to Changelly. Once on the site, you will need to enter some personal information.
There is really no reason to worry about this step, since the info you provide will be only used by the company to create and maintain your account. You will need to give them your bank account information, though.
Once you have finished registering, you will only have one more step to go – activate your account.
As you can see, it is all quite simple, especially considering the fact you can do it from the comfort of your home.
How can you earn Litecoin?
But what if you don’t want to spend your money on cryptocurrency? Fortunately for you, there are actually alternatives to investing your own assets. It might sound unbelievable, but sometimes you can get your Litecoins for free. How is this possible, you might wonder. Well, it is actually really simple, since there are sites that organize giveaways. One of such places is Crypto Junction. What they do when they give away free Litecoins almost always comes down to the following two things.
So, sites that let you take their coins for free do it either via forums or via social platforms.
Forums for cryptocurrency enthusiasts, such as BitcoinTalk, are an interesting read so you won’t feel sorry for spending time on them. But apart from being interesting, they could also make you very happy, since the giveaway sites will ask you to post something in a forum thread in order to receive your Litecoins.
The next step is usually contacting people via Facebook and sometimes even mobile.
Either way, if you put some effort into it, chances are you won’t need to pay for the first Litecoins you will own. But the question remains, is getting into all this a smart move.
Is investing in Litecoin a smart move?
It is never easy answering a question like this. More often than not, a person feels like they are being asked to make a prophecy. The fact is no market is stable enough to allow for long-term predictions. But if we needed to make one, we would first analyze the following two things.
First of all, Litecoin has some advantages over other altcoins, including even Bitcoin. Its network is faster and although it doesn’t match Bitcoin’s market value, the company has plenty of room to grow. And second, it can be mined, which is a big advantage in the cryptocurrency world.
In conclusion, Litecoin might be the next Bitcoin, but even if all else fails, they have already fulfilled their promise – becoming the “silver” Bitcoin.