Bitcoin And Litecoin - What's The Difference?
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But Bitcoin is just the first of many digital currencies – known as cryptocurrencies due to their use of sophisticated computer encryption which prevents them being spent more than once, hence giving them their intrinsic value.
In fact, there are now well over 1,000 cryptocurrencies, with more emerging all the time. One of the most popular and enduring is Litecoin. But how is it different from Bitcoin and other cryptocurrencies? Here’s my overview of the currency that is often considered the silver to Bitcoin’s gold.
Before we dive in, as always, remember that investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.
What is Litecoin?
The code used to create Bitcoin was released into the public domain – or made open source - by the mysterious creator, Satoshi Nakamoto. This means that anyone can take it, modify it and use it to launch their own cryptocurrencies. Which many people have done – and Litecoin was one of the first to gain traction.
Although it was originally based on the same code, Bitcoin and Litecoin transfers are recorded on entirely separate blockchains, effectively meaning they are different currencies.
">Most people have heard of Bitcoin by now – the digital currency which has made headlines in recent years thanks to its phenomenal rise (and occasional crash) in value.
Adobe Stock
But Bitcoin is just the first of many digital currencies – known as cryptocurrencies due to their use of sophisticated computer encryption which prevents them being spent more than once, hence giving them their intrinsic value.
In fact, there are now well over 1,000 cryptocurrencies, with more emerging all the time. One of the most popular and enduring is Litecoin. But how is it different from Bitcoin and other cryptocurrencies? Here’s my overview of the currency that is often considered the silver to Bitcoin’s gold.
Before we dive in, as always, remember that investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.
What is Litecoin?
The code used to create Bitcoin was released into the public domain – or made open source - by the mysterious creator, Satoshi Nakamoto. This means that anyone can take it, modify it and use it to launch their own cryptocurrencies. Which many people have done – and Litecoin was one of the first to gain traction.
Although it was originally based on the same code, Bitcoin and Litecoin transfers are recorded on entirely separate blockchains, effectively meaning they are different currencies.
