What is Litecoin and how does it work?

DEFINITION of 'Litecoin'. Launched in the year 2011, Litecoin is an alternative cryptocurrency based on the model of Bitcoin. Litecoin was created by an MIT graduate and former Google engineer named Charlie Lee. Litecoin is based on an open source global payment network that is not controlled by any central authority.

How many Litecoins are there?

There will ultimately be only 84 million litecoins in circulation and not one more. Every 2.5 minutes (as opposed to 10 minutes for bitcoin), the litecoin network generates a what is called a block – a ledger entry of recent litecoin transactions throughout the world. And here is where litecoin’s inherent value derives.

Is Litecoin a fiat currency?

Litecoin is one of the few cryptocurrencies with a wide variety of fiat trading pairs, and can be exchanged for U.S. dollars (USD), Korean won (KRW), euros (EUR) and more when you buy Litecoin. Some of the most prominent names include Huobi Global , Binance , Coinbase Pro , OKEx and Kraken .

What is Litecoin blockchain?

Litecoin Blockchain It is a decentralized peer-to-peer cash system which removes the need for a 3rd party to carry out a transaction. Just like Bitcoin, Litecoin has a Proof of Work consensus protocol and its hashing algorithm is called Scrypt.