Litecoin and Bitcoin are two of the top pioneers of cryptocurrency. Both coins have plenty in common, including consensus mechanisms and use cases. However, which of the two is faster?
Lets find out more below.
Is Litecoin Faster Than Bitcoin?
Yes. Litecoin is faster than Bitcoin.
Currently, Litecoin supports up to 54 transactions per second on their network. Also, it takes 2.5 minutes to confirm blocks on Litecoin.
On the other hand, Bitcoin manages an average of 4.6 Transactions per second and has a maximum block time of 10 minutes.
What Affects The Speed Of A Coin?
Several elements determine the speed of a coin. Let’s look at the four main ones.
Each blockchain network have a unique block size. So, consensus mechanisms with smaller block sizes will have faster transaction speeds.
Block time is the period a network takes to confirm a new block on the network. For instance, it takes 10 minutes to mine a block on the Bitcoin network. Litecoin does this in just about 2.5 minutes.
Traffic is another key factor. A huge number of transactions on a blockchain network can slow down network speeds. On the other hand, when the network jam reduces transactions, you can now enjoy faster transaction speeds.
What Is The Fastest Crypto?
Techpay Coin boasts of the fastest blockchain speeds. It can click up to 300,000TPS and has a finality transaction period of 1.15 Seconds.
Techpay Coin is the brainchild of Sumit Sharma and Vishal Garg. It uses the Proof of Stake (PoS) consensus mechanism, and runs on the Sirius protocol, which is EVM compatible.
What Is The Slowest Crypto?
Bitcoin is the slowest cryptocurrency, at the time of this writing.
Bitcoin has can run an average of 4.6 transactions per second and has a block mining time of 10 minutes. Since its inception, Bitcoin continues to struggle with its TPS even as the halving makes it more challenging to mine blocks on the network.
Bitcoin is the first coin to explore the Proof of Work consensus mechanism.
Can Litecoin Surpass Bitcoin?
The origins of Litecoin date back to 2011, when it forked from Bitcoin to start a separate blockchain.
As of this writing, there’s nothing to indicate that Litecoin can surpass Bitcoin in terms of adoption, market size and market share.
However, Litecoin remains a potential replacement for Bitcoin, if some factors are right.
For instance, Litecoin has a much larger coin supply limit than Bitcoin. Litecoin has 84 million coins, while Bitcoin has 21 million. As it gets harder to mine Bitcoin, and once its coin limit is reached, users may turn to Litecoin which has a larger coin supply.
Also, Bitcoin is the gold of cryptocurrency. It works better as a store of value than an actual currency. Since Litecoin was built to support transactions, it has better practical use than Bitcoin. This might make it more valuable in future.
Learn more: Is Litecoin Obsolete?
What Is Common Between Them?
Litecoin and Bitcoin have several things in common.
The two cryptocurrencies use an identical consensus mechanism known as Proof of Work (PoW). In both, users must perform complex mathematical equations using industry-standard computers to produce a block.
Although Litecoin and Bitcoin have different coin supply limits, both are capped. Litecoin maintains its supply cap at 84 million coins, while Bitcoin has a supply limit of 21 million.
Litecoin and Bitcoin offer an avenue for participants to store value in two. You can buy, trade, and hold cryptocurrency and watch them grow in value. Despite the difference in market prices, you will still earn a profit when either of the cryptos surges in price.
Litecoin and Bitcoin have come under backlash for consuming lots of energy. The primary factor behind this is their PoW consensus mechanism. You need supercomputers to mine Litecoin or Bitcoin. These computers use lots of electricity to produce a single block.
What Are The Applications Of Litecoin?
Litecoin has two prominent use cases in the real world:
Transfer of funds
Litecoin’s main reason was to make transactions faster than Bitcoin and to allow users to make convenient transactions. Today, you can send and receive funds on Litecoin between businesses or individuals.
Store of Value
The other primary use for Litecoin is to store value. As an investor, you can mine or buy Litecoin and receive rewards in the future when the market value appreciates.
What Are The Applications Of Bitcoin?
Bitcoin has one main application in the real world: storing value. However, there are more creative ways of using Bitcoin.
Due to high volatility in the cryptocurrency industry, Bitcoin is among the few coins you can trade on forex markets.
Today, you will find sites that allow you to open accounts and trade Bitcoin against other cryptos like Ethereum. Also, you can trade Bitcoin against other fiat currencies and earn profit from the bid and ask prices.
Purchase Goods or Services
Bitcoin plays a significant role in changing how the world views money. It lets you buy many things online and offline that would otherwise need fiat money.
Such items include cars, subscriptions, real estate, and more. Companies like Starbucks, Tesla, and Microsoft are welcoming the idea of payments in Bitcoin.
Several platforms offer Bitcoin owners a chance to gamble or play games and pay online using Bitcoin. Excellent examples of these platforms include; RoyalBitcoin and SatoshiDice.
Which Is More Valuable?
Bitcoin is more valuable than Litecoin.
As of this writing, Bitcoin’s market capitalization is more than 100 times larger than Litecoin. Also, Bitcoin has higher volume trades per 24 hours than Litecoin.
Bitcoin is the leading cryptocurrency in terms of market prices. Its price often exceeds Litecoin by more than 40 fold.
Can Litecoin Run Out?
Litecoin has a limited number of coins for its users.
Since its inception, Litecoin has had 70,797,993 LTC in circulation and caps the circulation at 84,000,000 LTC.
How To Invest In Litecoin?
By now, you may wish to know how to tap into Litecoin as an investor. Although unregulated, here are the best investing methods for you to be part of the Litecoin community.
Despite its complexity, mining is the first way to own LTC. To mine Litecoin, you need competent computers to help you solve the complex math puzzles, then produce a block which later is a reward for your participation.
Today, investors can trade crypto like Litecoin online with even greater adoption of cryptocurrency tech. You can use derivative or spot trading strategies to trade LTC online.
Here, you stand to benefit from the in-between swings in prices. It’s more profitable because the cryptocurrency market is highly volatile.
Buy and Hold LTC
If you’re seeking to invest in cryptocurrencies long-term, buying and holding LTC is an excellent way to invest in Litecoin. You can buy your LTC and store it in your crypto-wallet and wait for the market price to climb, and you can sell the same quantity of LTC at a profit.
Litecoin is faster than Bitcoin because it has a higher TPS and faster block times. Apart from that, Bitcoin and Litecoin have more in common.