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Litecoin (LTC)

Trading Term

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Litecoin was developed in 2011 as a faster and lower-cost alternative to Bitcoin. It is issued through mining and has a capped supply of 84 million coins. Litecoin is often used for quicker peer-to-peer payments, as well as for making business transactions such as at online electronics retailer Newegg, or at AMC Theatres’ virtual box office and concession stand. Litecoin holders can also use their coins at physical retailers like Whole Foods via payment networks such as Flexa.

For example: LTC can be used to make fast, small transactions, such as paying someone 10 LTC for an online subscription. Litecoin’s blockchain confirms transactions roughly 4X faster than Bitcoin, using Scrypt hashing instead of SHA-256, which effectively makes mining and transaction confirmation faster.

Some investors view Litecoin as an established payment-focused asset with a relatively long operating history. Clearing and settlement occur on the Litecoin blockchain, typically within 15 to 30 minutes.

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