Litecoin vs Bitcoin: Comparing The 2 Most Popular Crypto Currencies
Bitcoin is the world’s very first crypto currency, which was introduced in 2009. Other crypto currencies were developed, but Bitcoin remained as the most preferred digital currency. In 2011 however, another crypto currency called Litecoin was introduced. Over the years, Litecoin proved to be a strong contender against Bitcoin. They have several notable differences, and that is why investors need to know more about Litecoin vs. Bitcoin.
The proof of work algorithm is probably the most obvious difference between these crypto currencies. The algorithm that Bitcoin uses is the SHA-256 algorithm while Litecoin uses scrypt as its proof of work algorithm. This algorithm has similar features to SHA-256, but scrypt has a more serialized calculations. It is important to note that mining litecoins requires less energy and resources compared to bitcoins.
When comparing litecoin vs. bitcoin in terms of the time need to confirm transactions, litecoin is more advantageous because it only take 2.5 minutes. Merchants who opted for bitcoins, on the other hand, need to wait at least ten minutes for their transaction to be confirmed. However, it is important to remember that having an excessively high volume of litecoin transactions will cause the number of orphaned blocks to increase.
The value of bitcoin is still higher than litecoin with the former’s value increasing fifty-folds between January 1, 2013 and January 1, 2014. However, you should also know that the value of litecoins also increased 328 times around the same period. In fact, the coin limit of litecoin is 84 million. This is four times bigger than the number of coins produced by the bitcoin network, which only have a coin limit of 21 million.
An increasing number of investors now prefer to use litecoins because they are easier to mine, and the turnaround time of transaction is also faster. This factor is also the reason why the reward is also significantly different when comparing litecoin vs. bitcoin. Since litecoin has a faster transaction turnaround time, people could get a block reward of 50LTC. Meanwhile, people who joined the bitcoin network only get 25 BTC block reward.
People who are investing in crypto currencies should weigh their options carefully in order to maximize profit. Needless to say, getting the right device is also important to ensure that the crypto currencies could be acquired, stored, and used efficiently. At the moment, one of the companies that people trust when it comes to crypto currency mining hardware is GAW Miners. GAW Miners has made it a possible for anyone to get started in mining crypto currencies with little or no technical knowledge whatsoever. The best part is GAW Miners offers hardware that can be used to mine both Litecoin and Bitcoin.
Most investors only set their eyes on Bitcoins and Litecoins because other crypto currencies are more volatile. Considering the fact that the technologies they use have similarities, it is still hard to determine which crypto currencies would perform better in the next few years. Regardless of who wins between litecoin vs bitcoin, with GAW Miners digital cloud miner, you can get started mining for as little as $9.95.
Here is the link for GAW Miners Home Page where you can find Bitcoin and Litecoin mining hardware and accessories.
This video gives a quick overview of GAW Miners Hashlet