Litecoin is known as the “Bitcoin Silver”. Litecoin was born with the purpose to speed up transactions of cryptocurrency (especially where the microtransactions are concerned). It could be considered a copy of Bitcoin, optimized for this purpose. Unfortunately, that is not how it works in practise. It is used more as a subject of speculation or as executor of transactions between exchanges. However, if its potential is not utilized now, it can be in the future. If there is a possibility to pay using Bitcoins in some shops, there is usually also an option to pay using the lighter version, Litecoin.
Cryptocurrencies BTC and LTC vary in the adjustments of the mining algorithms. That is the reason why Litecoin is less demanding (the change of algorithm to so-called script). The number of emitted Litecoins is limited to 52 439 632 — three times more than Bitcoins. At the same time, transaction confirmations are four times as fast at Bitcoin’s. You could have notices Litecoin’ s favourable situation especially in the last few months, before the split of Bitcoin and lock up od Segwit, which led to the increase of duration and fees in the Bitcoin network. Because of this situation, price of Litecoin significantly increased.
On May 8, 2017 Litecoin locked the segwit core implementation (got to be known on the market as a BTC update factory). Segwit could be presented as a sort of a network update. It should make authentication and confirmation of transactions easier and therefore the network should be faster. The same way as it was with the lock of the Segwit of Bitcoin, the price of Litecoin significantly increased. The process of Segwit integration in Litecoin was easier because of its lower popularity and lesser number of persons interested. Thanks to Segwit, the development of the Lightning Network technology is underway. For users, this technology means negligible fees and even greater speed up of transaction, that will become almost instant. the greatest potential is however Atomic Swap technology, which should enable the possibility to exchange Bitcoin for Litecoin straight in the network.
Litecoin is very technologically interesting cryptocurrency with a great potential. If just for a one reason — that it tries to be strong where Bitcoin is weak. There is a great chance, in the future, that Litecoin becomes a payment option and not only a tool of speculators. Its price is not much volatile, but nevertheless, we notice a strong and long-term growth. Litecoin is therefore a safe harbour for many people, who want to keep their wealth save and with good interest. Its payment utilization can be tried out in many places in the Czech Republic. You can buy some refreshment or expensive electronics for it.