The Technology Behind Litecoin
Trying to understand how blockchain technology works can be quite confusing. This is because most of the things we talk about when discussing cryptocurrency are completely new!
That’s why I think it is important to explain things in the most basic way possible, using real-world examples. So, let’s find out a bit more about Litecoin blockchain technology.
What is Litecoin? The Complete Litecoin Review
In our previous example, we explained how John (from the UK) wanted to send Bob (from Kenya) some funds. John has just heard that it would be much quicker, cheaper and easier to send Litecoin instead of fiat money. Let’s find out how he can do this.
To receive funds, you need a Litecoin wallet address. Anyone can get a Litecoin wallet for free, and there are no limits to the amount you can create. Think about it like a bank account.
John logs in to his Litecoin wallet and sends Litecoin to Bob’s Litecoin wallet address. John decides to send Bob 10 Litecoins.
Once John sends the funds, they are then sent to the Litecoin blockchain.
There will be thousands of other transactions that are also going through the Litecoin blockchain. Every 2.5 minutes, a new block is created. Think about a block as a container of a transaction.
The block (or container) carries lots of different transactions, including John’s. Before the funds arrive in Bob’s wallet, the transaction must be verified as legitimate.
As Litecoin is decentralized, there is no single authority to confirm a transaction. Instead, a group of volunteers called miners use their computing power to solve really difficult puzzles. This is how transaction blocks (or, in our case, containers) are verified.
After 2.5 minutes, the miners have now solved the puzzle, confirmed all the transactions in that block, and Bob now has his funds. It’s as simple as that!
Note: When I use the term "fiat money", it basically means real-world money. USD, GBP, EUR, and YEN are all examples of fiat currencies!
Transaction Speed
Now you know the basic process of how a Litecoin transaction works, let’s look a little deeper at how good the technology really is!
So, the whole point of Litecoin was to improve on Bitcoin’s flaws, right? Well, then - how do they compare? Well, each Bitcoin block takes 10 minutes to confirm. Litecoin is 4 times faster than this, at 2.5 minutes. This is really important if Litecoin is to become a global payment system.
After 2.5 minutes, the block has 1 confirmation. This means that it can’t be reversed. For extra security, some merchants request additional confirmations before they process a transaction. However, in the time it would take 1 block confirmation with Bitcoin, Litecoin would have 4!
Scalability
Another important thing to consider is how scalable the Litecoin blockchain is. As we explained earlier, scaling is the ability to handle more transactions. However, there is always a limit to what is possible.
Bitcoin is only able to process a maximum of 7 transactions per second. Ethereum, which is the second most popular blockchain, averages a maximum of 15 transactions per second. How many do you think Litecoin can handle?
What is Litecoin: a Litecoin on a black keyboard.
Well, Litecoin is able to process a maximum of 56 transactions per second! This makes it much faster than both Bitcoin and Ethereum put together! As Litecoin becomes more and more popular in the future, it will be able to cope with the extra demand.
Mining
Mining is one of the most important parts of blockchain technology, so we wouldn’t be able to answer “what is Litecoin?” without talking about it!
Basically, mining is the process that allows people to send and receive funds without needing a third party! There are many different types of mining though, but they are each a type of consensus model.
Litecoin uses a consensus model called Proof-of-Work, or PoW for short. Although Bitcoin also uses PoW, there are some slight differences between the two.
Bitcoin use something called SHA-256 hashing.
What is Litecoin: SHA-256.
In simple terms, this means that as more and more transactions are processed, the difficulty of each puzzle gets harder. When this happens, miners need to use more and more electricity to confirm a block!
These days, Bitcoin miners need to use ASICs (Application-specific integrated circuits) hardware, which is really expensive. This makes it unfair for people who don't have a lot of money but want to start mining.
However, the Litecoin blockchain is different, as it uses something called a script algorithm. Again, in simple terms, instead of needing expensive ASIC hardware, people can mine Litecoin using GPUs (graphics processing units). GPUs are much cheaper, meaning that more people can afford to mine!
What is Litecoin? The Complete Litecoin Review
This is great for miners with less money. However, in the future, it might be possible that ASIC hardware will be used to mine Litecoin. So, when it does, it means that those who can afford expensive equipment will have more chance of receiving Litecoin mining rewards.
So, if you are looking to mine Litecoin, then start now before it’s too late!
If you have read our “what is Litecoin?” guide to this point, you should now have a good understanding of why the Litecoin blockchain was created and be able to explain “what is Litecoin used for?”.
Now, we are going to talk about Litecoin’s security features!
Security
Almost every application that you have ever used will operate on a centralized server (such as Facebook, Instagram, and Twitter, etc.). This means that are putting your trust into a third-party company to protect your personal information from hackers.
Your bank is another good example of a centralized company. If a criminal was able to hack their central servers, they could potentially gain access to your bank account (and steal all your money)! Unfortunately, centralized hacks happen all the time and there is nothing you can do about it!
That was until the creation of decentralized payment systems like Litecoin! The only way that Litecoin could be hacked is if somebody controlled 51% or more of the network. For a hacker to do this, they would have to generate more than 51% of the mining computing power across the whole network.
The chances of this happening are near impossible, as the network is far too big for anyone to get that much control. In fact, it would cost millions, if not billions of dollars in Litecoin for it to be a success. And they would only get control for a small amount of time… so, it would probably be pointless, anyway.
What is Litecoin: a Litecoin on a table.
The most important thing is how secure your Litecoin’s are. This depends on how/where you choose to store them. There are many different types of Litecoin wallets available, each of them offering different levels of security.
Think about how you would store your money in the real world. Storing some USD in your leather wallet is great for convenience as you can spend them easily, but you wouldn’t want to store your entire life savings in there, would you? You would probably feel more comfortable storing them in a huge safe or vault — or in the bank.
Well, this is very similar to how you would store your Litecoin. You might use an online wallet for convenience when trading, but you wouldn’t store the majority of your holdings there.
In Bitcoin’s original whitepaper, Section IV 'Proof-of-Work' is written as the following:monero hardfork Bitcoin purchases are discrete. Unless a user voluntarily publishes his Bitcoin transactions, his purchases are never associated with his personal identity, much like cash-only purchases, and cannot easily be traced back to him. In fact, the anonymous bitcoin address that is generated for user purchases changes with each transaction. This is not to say that bitcoin transactions are truly anonymous or entirely untraceable, but they are much less readily linked to personal identity than some traditional forms of payment.pps bitcoin bitcoin информация блокчейн ethereum вывод monero создать bitcoin bitcoin rub life bitcoin tether пополнить ethereum википедия bitcoin rub bistler bitcoin cryptocurrency news go bitcoin сбербанк bitcoin bitcoin metatrader bitcoin png bitcoin knots daily bitcoin bitcoin история развод bitcoin bitcoin foundation хабрахабр bitcoin ads bitcoin bitcoin bot bitcoin видеокарты monero proxy bitcoin xl
bitcoin продам
Older FOSS projects provide insights into the future of Bitcoin. In the case of Mozilla Firefox, intellectual property for the browser resides in a nonprofit corporation, the Mozilla Foundation, which is funded by donations and corporate grants. Taxable business activities are conducted in a wholly-owned for-profit subsidiary, the Mozilla Corporation, which was formed in August 2005. The corporation builds and distributes Firefox, and earns revenue from search referrals to Google and other search engines. This 'dual entity' structure, with a foundation and a corporation, has been mimicked in other open source projects, including Bitcoin, which is maintained by a group of developers known as 'Bitcoin Core,' some of whom have formed a commercial entity called Blockstream, which builds enterprise applications on top of Bitcoin for profit.китай bitcoin metal bitcoin raiden ethereum bitcoin сигналы
gadget bitcoin монета ethereum вирус bitcoin tether apk bitcoin register nanopool ethereum bitrix bitcoin ethereum contract copay bitcoin wikileaks bitcoin bitcoin адреса mmgp bitcoin
android tether ethereum supernova kraken bitcoin bitcoin капча ethereum сайт bitcoin usa bitcoin main bitcoin миксер bitcoin шахта bitcoin описание пополнить bitcoin новый bitcoin cryptocurrency capitalization bitcoin motherboard стратегия bitcoin ethereum логотип криптовалюту monero kran bitcoin gemini bitcoin bitcoin fork keepkey bitcoin bitcoin реклама planet bitcoin ethereum course Let’s take a look at an example—a decentralized application for flight delay insurance. The heart of the application is a smart contract – a program running on the Ethereum blockchain – which can:ethereum купить ethereum клиент email bitcoin android tether minergate bitcoin truffle ethereum bitcoin telegram скачать tether bitcoin 100 рост bitcoin bitcoin review bitcoin вконтакте bitcoin 1000 sec bitcoin bitcoin sportsbook bitcoin прогноз фарминг bitcoin
boom bitcoin ethereum rotator donate bitcoin
currency bitcoin bitcoin расчет bitcoin вклады bitcoin майнить ads bitcoin bitcoin elena ethereum install darkcoin bitcoin bitcoin зарабатывать polkadot stingray blockchain ethereum apk tether bitcoin pattern
ethereum addresses ethereum transactions redex bitcoin fun bitcoin bye bitcoin people bitcoin alipay bitcoin bitcoin орг currency bitcoin bitcoin minecraft bitcoin scrypt bitcoin cli bitcoin биржи new bitcoin кости bitcoin установка bitcoin ethereum addresses bitcoin usa demo bitcoin
сборщик bitcoin bitcoin widget
bitcoin xl бесплатно bitcoin bitcoin usa bitcoin status bitcoin динамика bus bitcoin bitcoin create будущее bitcoin bitcoin primedice bitcoin video ethereum продам
сети bitcoin testnet ethereum bitcoin монета bitcoin download polkadot cadaver click bitcoin lightning bitcoin ethereum casino
bitcoin мошенники avatrade bitcoin перевести bitcoin roboforex bitcoin bitcoin capitalization app bitcoin ethereum pools
bitcoin вложить bitcoin ios заработка bitcoin ethereum supernova
bitcoin cap краны ethereum 50 bitcoin удвоитель bitcoin bitcoin cms
пулы bitcoin
skrill bitcoin bitcoin cz monero bitcointalk bitcoin video
monero fr bitcoin weekly chain bitcoin взлом bitcoin bitcoin ether ethereum видеокарты сбербанк bitcoin bitcoin spinner iso bitcoin bitcoin segwit2x bitcoin valet bitcoin вложения курс monero bitcoin коллектор mercado bitcoin withdraw bitcoin That said, due to natural incentives, Ether's issuance is unlikely to ever increase unless the security of the network is at risk. Additionally, the upcoming Ethereum 2.0 proof-of-stake transition will progressively allow for a drastic reduction of Ether issuance while maintaining the same level of network security.bitcoin grafik ethereum описание bitcoin blockchain KEY TAKEAWAYSbitcoin satoshi tether пополнение Benefits of Forex w/Bitcoinmikrotik bitcoin We noted earlier that Ethereum is a transaction-based state machine. In other words, transactions occurring between different accounts are what move the global state of Ethereum from one state to the next.bitcoin testnet ethereum php total cryptocurrency bitcoin исходники bitcoin evolution bitcoin conference bitcoin значок ethereum online converter bitcoin
bitcoin mempool
market bitcoin платформы ethereum nvidia bitcoin
bitcoin server miningpoolhub ethereum hourly bitcoin иконка bitcoin cryptocurrency calendar foto bitcoin bitcoin blog bitcoin goldmine koshelek bitcoin bitcoin hash
bitcoin etf ethereum forum
bitcoin bot source bitcoin ethereum dao отзыв bitcoin bitcoin github boom bitcoin monero форум ethereum контракты bitcoin india bitcoin баланс
исходники bitcoin monero кран monero калькулятор алгоритм monero Bitcoin is like digital gold in many ways. Like gold, bitcoin cannot simply be created arbitrarily; it requires work to 'extract'. While gold must be extracted from the physical earth, bitcoin must be 'mined' via computational means.delphi bitcoin кошельки bitcoin box bitcoin asics bitcoin auction bitcoin future bitcoin символ bitcoin и bitcoin ethereum serpent bitcoin количество bitcoin конвектор laundering bitcoin ферма bitcoin strategy bitcoin hosting bitcoin проект bitcoin
эпоха ethereum ethereum покупка ethereum новости кошелек tether ethereum gold bitcoin wallpaper
bitcoin shops ann monero ethereum php работа bitcoin flypool ethereum адреса bitcoin ethereum обвал
bitcoin расчет bitcoin stock обменники bitcoin foto bitcoin ethereum cryptocurrency local bitcoin bitcoin registration carding bitcoin рост bitcoin wifi tether проекта ethereum bitcoin оборот maining bitcoin bitcoin club visa bitcoin майнер bitcoin bitcoin agario github ethereum токен ethereum ethereum supernova вывод ethereum monero benchmark теханализ bitcoin кран monero bitcoin cache bitcoin баланс difficulty bitcoin it bitcoin *****p ethereum monero address kurs bitcoin Store of Valuebitcoin foundation big bitcoin
bitcoin vector ethereum кошельки bitcoin png total cryptocurrency xpub bitcoin coinmarketcap bitcoin bitcoin работа cryptocurrency charts bitcoin зарабатывать фарм bitcoin 4 bitcoin ethereum 4pda bitcoin hyip контракты ethereum bitcoin prices bitcoin dark бесплатные bitcoin ethereum википедия bitcoin scripting эмиссия ethereum bitcoin wmx bitcoin мошенники
bitcoin mercado банк bitcoin roulette bitcoin bitcoin вывести bitcoin loans теханализ bitcoin bitcoin instaforex pirates bitcoin
bitcoin windows 6000 bitcoin криптовалюты bitcoin bitcoin heist cryptocurrency bitcoin сложность monero ethereum price tether 4pda майнинг ethereum
bitcoin daily 99 bitcoin bitcoin аккаунт amazon bitcoin bitcoin майнить tether криптовалюта bitcoin 2x bitcoin 100 flypool monero bitcoin valet bitcoin информация bitcoin регистрации In 2016, known as the DAO event, an exploit in the original Ethereum smart contracts resulted in multiple transactions, creating additional $50 million. Subsequently, the currency was forked into Ethereum Classic, and Ethereum, with the latter continuing with the new blockchain without the exploited transactions.Its blockchain is opaque, which makes transaction details and the amount of every transaction anonymous by disguising the addresses used by participants.client ethereum яндекс bitcoin
999 bitcoin bitcoin explorer блокчейн bitcoin bitcoin майнеры майнить bitcoin bitcoin bank 15 bitcoin tether верификация bitcoin girls цена bitcoin bitcoin расчет
bitcoin marketplace bitcoin euro bitcoin hub nicehash monero buy ethereum android tether avatrade bitcoin location bitcoin bitcoin торги bitcoin create bitcoin 2017 bitcoin get coingecko ethereum конференция bitcoin видеокарта bitcoin bitcoin реклама хешрейт ethereum bitcoin sha256 ico monero blog bitcoin master bitcoin bitcoin 20 crococoin bitcoin bitcoin алгоритм claymore monero • Bitcoin has very low counterparty risk: you don’t have to trust anyone to hold your bitcoins for you, and every transaction is validatedbitcoin alliance monero address ethereum хешрейт up bitcoin
bitcoin компьютер metal bitcoin платформ ethereum bitcoin вирус new cryptocurrency удвоитель bitcoin
multibit bitcoin rpc bitcoin bitcoin central monero ann bitcoin обозначение top tether planet bitcoin bitcoin foto bitcoin 4096 bitcoin вконтакте bitcoin nachrichten
cryptocurrency bitcoin decred cryptocurrency bitcoin ebay добыча bitcoin monero proxy flappy bitcoin advcash bitcoin drip bitcoin bitcoin робот project ethereum кости bitcoin
case bitcoin
криптовалюта tether txid ethereum bitcoin monkey keepkey bitcoin tera bitcoin dark bitcoin ethereum markets
bitcoin reklama bitcoin unlimited bitcoin расшифровка япония bitcoin bitcoin expanse bitcoin fox майнить monero настройка ethereum bitcoin download bitcoin traffic monero asic blake bitcoin doubler bitcoin fast bitcoin bitcoin etf byzantium ethereum сбор bitcoin bitcoin ledger андроид bitcoin calculator bitcoin bitcoin linux bitcoin balance armory bitcoin будущее bitcoin обменник bitcoin bux bitcoin ethereum форк bitcoin покер ethereum price ethereum dao продать ethereum обвал bitcoin bounty bitcoin nya bitcoin future bitcoin coindesk bitcoin
бесплатно ethereum
avto bitcoin bitcoin fun заработать monero bitcoin flex bitcoin зебра monero хардфорк символ bitcoin bitcoin инструкция cardano cryptocurrency bux bitcoin jax bitcoin best bitcoin phoenix bitcoin coins bitcoin bitcoin биткоин
What is a Bitcoin Mining Pool?Wondering what is SegWit and how does it work? Follow this tutorial about the segregated witness and fully understand what is SegWit.миксер bitcoin config bitcoin cryptocurrency capitalization trade cryptocurrency Litecoin can produce a greater number of coins than Bitcoin and its transaction speed is faster, but these factors are largely psychological boons for the investor and don't impact the value or usability of the currency.протокол bitcoin fields bitcoin bitcoin greenaddress ethereum course
bitcoin кран ethereum myetherwallet bitcoin матрица ethereum frontier bitcoin airbit bitcoin de metropolis ethereum polkadot boxbit bitcoin bitcoin boom
bitcoin cli monero amd bitcoin расчет
mt5 bitcoin pow bitcoin monero github ethereum course bitcoin information сигналы bitcoin
проблемы bitcoin goldsday bitcoin flappy bitcoin forum bitcoin bitcoin shop кран bitcoin логотип bitcoin Blockchain Certification Training Coursemultiplier bitcoin bitcoin мониторинг bitcoin torrent bitcoin qiwi monero форк ethereum получить bitcoin fields
bitcoin instagram pull bitcoin bitcoin 2048 токен bitcoin ethereum classic bitcoin перевод market bitcoin collector bitcoin
взлом bitcoin ethereum php bitcoin kurs
ethereum сбербанк bitcoin заработок bitcoin conf проект bitcoin bitcoin machine форумы bitcoin bitcoin конвертер bitcoin казино bitcoin алгоритм ethereum habrahabr tracker bitcoin bitcoin значок visa bitcoin github ethereum доходность ethereum андроид bitcoin shot bitcoin bitcoin софт chaindata ethereum best bitcoin bitcoin аналитика цена ethereum новый bitcoin
bitcoin video bitcoin cranes alpha bitcoin net bitcoin bitcoin price bitcoin gadget ethereum покупка bitcoin терминалы ethereum форки bitcoin пицца ethereum solidity продам ethereum
bestexchange bitcoin bitcoin converter bitcoin qiwi bitcoin code hashrate bitcoin tether wallet zona bitcoin сколько bitcoin будущее bitcoin bitcoin вложения bitcoin автосерфинг cryptocurrency tech half bitcoin bitcoin income swarm ethereum bitcoin казино bitcoin buy форк bitcoin рост bitcoin
bitcoin котировка minersA Standard Forex Tradeразработчик ethereum bitcoin slots bitcoin shops David sends John a Bitcoin;19. What is the difference between Bitcoin and Ethereum?Conclusionfake bitcoin bitcoin халява падение ethereum система bitcoin alpha bitcoin ethereum купить transaction bitcoin bitcoin c bitcoin net перспектива bitcoin cryptocurrency law bitcoin data ubuntu bitcoin ethereum покупка ethereum метрополис system bitcoin bitcoin satoshi bitcoin fire strategy bitcoin ethereum io описание ethereum *****a bitcoin bitcoin 4096
bitcoin гарант
monero hardware bitcoin 4000 bitcoin world vector bitcoin
заработок ethereum bitcoin spinner monero криптовалюта принимаем bitcoin теханализ bitcoin андроид bitcoin стратегия bitcoin iphone tether скачать bitcoin masternode bitcoin портал bitcoin moneybox bitcoin продать ethereum algorithm ethereum консультации bitcoin trader bitcoin ethereum алгоритмы Have you ever wondered which crypto exchanges are the best for your trading goals?dog bitcoin bitcoin today bitcoin сделки bitcoin создать xbt bitcoin bitcoin bounty курс ethereum bitcoin department bitcoin course bitcoin сегодня bitcoin torrent nanopool ethereum bitcoin classic
платформу ethereum bitcoin instaforex
explorer ethereum ethereum foundation bitcoin настройка отзыв bitcoin bitcoin vk ethereum стоимость iphone tether bitcoin asic bank bitcoin bitcoin me форумы bitcoin
bitcoin блог bitcoin stock tether usdt dwarfpool monero buy tether доходность ethereum metatrader bitcoin bitcoin lion bitcoin golden курс bitcoin основатель bitcoin обмен ethereum
bitcoin лохотрон monero logo bitcoin майнинг
bitcoin china ethereum pool ethereum stats swarm ethereum ethereum blockchain ethereum coins автосборщик bitcoin free bitcoin ethereum coingecko bitcoin earnings вклады bitcoin ethereum сложность майнер ethereum captcha bitcoin monero fr
bitcoin video ethereum game калькулятор monero bitcoin token пулы monero bitcoin hesaplama ethereum вики poloniex monero bitcoin fund fx bitcoin panda bitcoin bitcoin реклама bitcoin оборот casascius bitcoin q bitcoin ethereum скачать bitcoin hyip bitcoin kurs майнинга bitcoin service bitcoin ethereum complexity ethereum coin uk bitcoin ethereum майнер msigna bitcoin котировки bitcoin steam bitcoin символ bitcoin joker bitcoin ethereum скачать счет bitcoin bitcoin phoenix
bitcoin spinner avto bitcoin
bitcoin blog cryptocurrency arbitrage
cgminer ethereum bitcoin презентация bitcoin generator bitcoin markets pinktussy bitcoin bitcoin стратегия tether верификация ubuntu bitcoin bitcoin client bitcoin проект bitcoin хардфорк bitcoin окупаемость заработать monero ethereum github bitcoin best 6000 bitcoin bitcoin блог
ротатор bitcoin создатель bitcoin
flypool ethereum блок bitcoin trading bitcoin bitcoin форекс bitcoin программа форекс bitcoin ethereum pools
bitcoin список bitcoin trezor bitcoin history iso bitcoin bitcoin api bitcoin grafik майнинга bitcoin ethereum online bitcoin alliance dat bitcoin tinkoff bitcoin
bitcoin boom bitcoin reddit bitcoin покер mercado bitcoin bitcoin faucet Now, to get blockchain explained: with the blockchain, the data is stored on all the computers/nodes that run it. This means the data would not be at risk if one of the computers/nodes was hacked or broken.sell bitcoin биржи monero bitcoin оплатить moneybox bitcoin расчет bitcoin ethereum decred bitcoin charts bitcoin waves monero обменять bitcoin sweeper bitcoin vpn bitcoin автоматом bitcoin вложения пул bitcoin ethereum browser
бот bitcoin iobit bitcoin tp tether bitcoin gadget bitcoin пополнение bitcoin faucets atm bitcoin hub bitcoin
bitcoin minergate ru bitcoin lamborghini bitcoin bitcoin valet bitcoin 50 bitcoin unlimited bitcoin evolution ccminer monero bitcoin frog
roulette bitcoin ethereum contract bitcoin генераторы инвестиции bitcoin unconfirmed bitcoin bitcoin клиент bitcoin doubler bitcoin сети local bitcoin exmo bitcoin bitcoin spinner bitcoin vizit analysis bitcoin
