Difference between Litecoin and Bitcoin
Although Litecoin is a form of fork of Bitcoin. However, they both have a lot of uniqueness that even each other doesn’t have. What are the differences between Litecoin and Bitcoin?
The main difference that Bitcoin and Litecoin have is the number of coins distributed by both. The distribution amount of Bitcoin coins cannot exceed 21 million coins, while Litecoin can hold up to 84 million coins.
The number of distributions of these coins apparently affects the value of each crypto asset. Because the number is limited while the demand continues to increase, Bitcoin is the prima donna of the market cap by having a fantastic price for 1 BTC.
While technically transactions happen instantly on the Bitcoin and Litecoin networks, it takes time for them to be confirmed by other network participants. Litecoin was founded with the aim of prioritizing transaction speed, and it has proven its worth as it grows in popularity.
Based on data held by Blockchain.com, the time it takes for Bitcoin to verify transaction blocks and be added to the blockchain is currently under nine minutes per transaction.
It can even take longer if transactions are made when Bitcoin transactions are increasing. Meanwhile, Litecoin only takes about 2.5 minutes to complete a transaction.
In principle, this difference in confirmation times can make Litecoin more attractive to crypto-asset traders. The reason is, to trade Bitcoin it takes a long time for transactions to be confirmed, in contrast to Litecoin which has a faster duration.
Another difference between Litecoin and Bitcoin is the proof-of-work algorithm used. Bitcoin uses the traditional SHA-256 hash algorithm.
Meanwhile, Litecoin uses a new algorithm called Scrypt. This Scrypt requires less computational power, so the level of complexity is lower.