Created in 2011 by former Google employee Charlie Lee, Litecoin was launched as an alternative to Bitcoin. Lee, in Litecoin, aimed to shorten the long-time process at Bitcoin and make litecoin mining easier than BTC mining.
Lee explains, “My vision is to make litecoin a tool that you can buy something every day. It’s just a choice between your payment methods.” If Bitcoin is gold, litecoin was also introduced in 2011 to be the cryptocurrency with the silver value of the market. After reaching the highest market value after Bitcoin, the production limit for Litecoin is 84 million, while for Bitcoin this limit is 21 million. While there are 16.7 million BTCs in circulation, there are about 54 million of Litecoin.
Differences between Bitcoin and Litecoin mining
Like Bitcoin, Litecoin is a crypto currency produced by mining. Litcoin was founded in 2011 by former Google employee Charles Lee.
The main purpose of the establishment is to be inspired by Bitcoin’s open-source software. The biggest difference between Litecoin and Bitcoin is that the mining algorithm allows for continuous mining with personal computers. It takes 10 minutes to create a block in Bitcoin and 2.5 minutes in Litecoin.
In terms of mining, Litecoin has a much more significant difference than Bitcoin.
Bitcoin uses the SHA-256 hash algorithm, which contains greatly accelerated computations in parallel processing. This is also a feature that causes intense competition in ASIC technology and leads to an increase in Bitcoin’s level of difficulty. Litecon uses an algorithm called scrypt. In this way, it is possible to process even the standard GPU processors of normal computers easily and to generate new coins. The Scrypt algorithm also includes the SHA-256 algorithm, but its calculations are much more robust than SHA-256’s in Bitcoin.
To emphasize the difference in the hash power of Bitcoin and Litecoin, the total hash rate of the Bitcoin network is Terra Hash, which is over 20 thousand at the moment, while the Litecoin is 95,642 Mega Hash at the most.