Differences Bitcoin And Litecoin
Compared to the equation, the factors that distinguish Bitcoin and Litecoin are actually much more.
let's discuss the four most basic differences of the two crypto currencies.
1. Market Capitalization
Bitcoin's market capitalization growth has made impressive progress, especially considering its value of just $ 42,000 in its early days. By 2015, about 6 years after its release date, Bitcoin's capitalization has reached 4 billion Dollars. Meanwhile, Litecoin only recorded achievements in the range of 75 million Dollars in the same period.
2. Number of Coins
As is known in various discussions about Bitcoin, the amount of money in circulation will not exceed 21 million. So even though this new Bitcoin can still be mined, the activity will not yield anything when the Bitcoin quota on the market has been fulfilled. Currently, the creation of a new Bitcoin has been halved system which slows down the rate of Bitcoin manufacture in any given period.
Meanwhile, although new Litecoin can also be obtained in the same way (mining),
3. Speed of Transaction Process
Although technically Bitcoin and Litecoit transactions take place instantaneously, there is a time lag necessary to confirm transactions to other network users. According to Blockchain data, the average time it takes Bitcoin to complete the transaction confirmation is about 10 minutes. On the other hand, Litecoin transactions do not take that long. In fact, the confirmation time to process transactions with Litecoin only takes about 2.5 minutes.
Such contrasting distinctions are obviously very influential for the appeal of Bitcoin and Litecoin. The online merchants who have business interests will obviously be more interested in the efficiency of Litecoin transaction time, considering for them, "time is money".
4. Technology Mining
Bitcoin uses a complex SHA-256 algorithm and demands super-powered technology to complete its work. On the other hand, Litecoin relies on a cryptographic algorithm named Scrypt. Although relatively new, Scrypt is simpler than SHA-256 and can be processed with a simpler device than Bitcoin mining technology.
Conclusion
To determine which one is better between Bitcoin and Litecoin, first it needs to be tailored to your needs first. If you plan to use crypto currency as a medium of exchange in the transaction process, then Litecoin is a better option. But if you want to make digital currency a long-term investment asset, Bitcoin is more reliable.