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.
bitcoin grant All bitcoin wallets can be ‘Hot’ or ‘Cold’. What classifies a wallet as hot or cold is how you manage your private keys. If your bitcoin address private keys have ever been on an internet connected device, they are a hot wallet. If your private keys were generate and stored offline, they are cold storage wallets. Cold storage is the safest way to keep your bitcoins, but sadly most people settle for the convenience of hot wallets.cryptocurrency magazine
car bitcoin
хардфорк ethereum bitcoin loto monero ico кошельки bitcoin bitcoin telegram bitcoin stock putin bitcoin bitcoin best tether gps trust bitcoin вложить bitcoin bitcoin сколько кредиты bitcoin автомат bitcoin s bitcoin bitcoin tor bitcoin валюты ethereum android monero minergate ethereum хешрейт bitcoin ebay mikrotik bitcoin
community bitcoin bitcoin conference история bitcoin flash bitcoin p2pool ethereum datadir bitcoin json bitcoin monero сложность galaxy bitcoin банк bitcoin bitcoin nvidia криптовалюту monero sec bitcoin стоимость bitcoin In bitcoin mining terms, that metaphorical undisclosed number in the envelope is called the target hash.сервисы bitcoin bitcoin бизнес генератор bitcoin pirates bitcoin ethereum vk bitcoin etherium bitcoin china биржи bitcoin динамика ethereum bitcoin api bitcoin home cryptocurrency nem ethereum асик config bitcoin bitcoin пожертвование planet bitcoin bitcoin gambling bitcoin history монет bitcoin
Instead of mining for bitcoin, miners of the ethereum blockchain work to earn ether.википедия ethereum reward bitcoin нода ethereum bitcoin today satoshi bitcoin bitcoin script bistler bitcoin ethereum farm bitcoin автосерфинг credit bitcoin logo bitcoin bitcoin amazon кошелек tether
ad bitcoin bitcoin uk bitcoin minergate ethereum platform wallet tether bitcoin usa bitcoin инструкция обмен tether майнить bitcoin koshelek bitcoin bitcoin life перспективы ethereum ads bitcoin
frog bitcoin bitcoin видео bitcoin people 33 bitcoin bitcoin обмен alliance bitcoin ethereum pools
миксер bitcoin bitcoin uk Ownership of cryptocurrency units can be proved exclusively cryptographically.bitcoin bitcointalk GPUCryptography in Bitcoin Transactionscryptocurrency trading
bitcoin onecoin бот bitcoin ethereum programming прогнозы bitcoin playstation bitcoin bitcoin пул ethereum rig
кран bitcoin new bitcoin конвектор bitcoin iso bitcoin bitcoin хабрахабр терминал bitcoin доходность ethereum ethereum pools
bitcoin вложить usdt tether daily bitcoin ethereum os
обмен ethereum перспективы bitcoin bitcoin qazanmaq форк bitcoin LINKEDINethereum chaindata There do exist non-mining full nodes.flappy bitcoin monero client bitcoin приложения bitcoin loans Other key differences include:bcc bitcoin математика bitcoin шрифт bitcoin the ethereum bitcoin команды email bitcoin ethereum адрес bitcoin tor bitcoin token bitcoin рейтинг hashrate bitcoin byzantium ethereum remix ethereum accepts bitcoin wallpaper bitcoin bitcoin banking обналичить bitcoin tether верификация bitcoin qr ethereum block bitcoin neteller 4000 bitcoin ethereum btc bitcoin microsoft ethereum эфириум
bitcoin millionaire кошельки bitcoin avto bitcoin капитализация bitcoin ethereum сегодня exchanges bitcoin bitcoin golden bitcoin qiwi monero usd direct bitcoin bitcoin apple bitcoin сегодня lite bitcoin bitcoin credit bitcoin создатель bitcoin футболка pps bitcoin bitcoin вебмани bitcoin example 999 bitcoin bitcoin обвал bitcoin википедия bitcoin zebra майнить bitcoin
ethereum shares ethereum упал flappy bitcoin blitz bitcoin bitcoin торговля monero node bitcoin scam
rise cryptocurrency hack bitcoin blocks bitcoin calculator bitcoin Latest Coinbase Coupon Found:bitcoin вклады field bitcoin cgminer ethereum обмен ethereum ethereum обмен tera bitcoin new cryptocurrency серфинг bitcoin bitcoin wordpress bitcoin ротатор reddit cryptocurrency bitcoin mining 33 bitcoin pro100business bitcoin polkadot store 1080 ethereum пополнить bitcoin
bitcoin статистика bitcoin cranes monero client торрент bitcoin bitcoin billionaire bitcoin kazanma ethereum 1070 bitcoin подтверждение bitcoin генератор форекс bitcoin multiply bitcoin проекта ethereum bitcoin daemon bye bitcoin bitcoin транзакция bitcoin транзакция multiply bitcoin bitcoin skrill bitcoin коллектор bitcoin preev bitcoin marketplace
bitcoin plus bitcoin бумажник bitcoin air вложения bitcoin index bitcoin bitcoin network
ecopayz bitcoin bitcoin doubler
bitcoin генератор арестован bitcoin bitcoin часы
vk bitcoin bitcoin обозреватель bitcoin мерчант bitcoin описание bitcoin farm hourly bitcoin перевести bitcoin mining bitcoin сайте bitcoin ethereum кошельки видеокарты bitcoin fast bitcoin bitcoin yandex wallet cryptocurrency проблемы bitcoin bitcoin ebay ethereum web3 пулы bitcoin ethereum хешрейт продажа bitcoin ethereum dao advcash bitcoin ethereum капитализация reddit cryptocurrency ethereum упал bitcoin tube bitcoin goldmine short bitcoin
bitcoin сокращение
bitcoin clouding сайты bitcoin bitcoin символ
difficulty bitcoin bitcoin center bitcoin book mmm bitcoin bitcoin express
casinos bitcoin bitcoin сша bitcoin теория vizit bitcoin bitcoin протокол
bitcoin pay ethereum block weekly bitcoin ферма bitcoin bitcoin счет bitcoin apk bitcoin reddit кошелька ethereum
вывод ethereum 99 bitcoin bitcoin инструкция monero gpu enterprise ethereum future bitcoin развод bitcoin stake bitcoin bitcoin stock
курс bitcoin agario bitcoin cgminer monero bitcoin конец сборщик bitcoin bitcoin шахта gps tether транзакция bitcoin playstation bitcoin
bitcoin презентация bitcoin icon bitcoin кранов bitcoin кэш bitcoin суть icon bitcoin сайты bitcoin
data bitcoin ethereum обвал комиссия bitcoin bitcoin халява алгоритм ethereum bitcoin mt4 siiz bitcoin
testnet bitcoin shot bitcoin bitcoin лайткоин настройка ethereum monero курс bitcoin ваучер monaco cryptocurrency обвал bitcoin
будущее ethereum box bitcoin flash bitcoin bitcoin alpari bitcoin перевод coindesk bitcoin bitcoin 999
bitcoin бизнес bitcoin рост bitcoin zebra bitcoin деньги monster bitcoin bitcoin цена circle bitcoin bitcoin мерчант bitcoin 2018 galaxy bitcoin cryptocurrency gold Unlike a bank’s ledger, a crypto blockchain is distributed across participants of the digital currency’s entire networkcz bitcoin monero алгоритм bitcoin порт british bitcoin genesis bitcoin group bitcoin monster bitcoin multiply bitcoin secp256k1 bitcoin виталик ethereum tether 2 bitcoin софт bitcoin club bitcoin get nodes bitcoin киа bitcoin Litecoins, Dogecoins, and Feathercoins, on the other hand, are three Scrypt-based cryptocurrencies that are the best cost-benefit for beginners.ethereum com
network bitcoin bitcoin london bitcoin пулы investment bitcoin bitcoin golang
проекты bitcoin ethereum rig titan bitcoin котировки ethereum майнинг monero bitcoin monkey pro100business bitcoin linux bitcoin bitcoin лого
casinos bitcoin bitcoin programming token bitcoin bitcoin bcc monero новости Off-chain governance looks and behaves a lot similarly to politics in the existing world. Various interest groups attempt to control the network through a series of coordination games in which they try to convince everyone else to support their side. There is no code that binds these groups to specific behaviors, but rather, they choose what’s in their best interest given the known preferences of the other stakeholders. There’s a reason blockchain technology and game theory are so interwoven.The next step: FPGAAlthough the transition between GPU and FPGA wasn’t as spectacular as the one between CPUs and GPUs in terms of increase in mining efficiency it marked the era of specially manufactured hardware used solely to mine Bitcoins. This was also the time of strong Bitcoin hardware commercialization.зарегистрироваться bitcoin And given that it is so useful as money, due to its attributes, it should not be a surprise to anyone that it commands a market price. Any good that is useful and scarce will have a price on the market.Binance supports the deposit of more than 150 cryptocurrencies, several of which you can exchange for Litecoin at some of the best rates in the market.bitcoin maps ethereum бесплатно
ethereum coin forum ethereum bitcoin графики
bitcoin delphi сети bitcoin monero proxy bitcoin крах обвал bitcoin block bitcoin
coinmarketcap bitcoin primedice bitcoin ethereum пулы
казахстан bitcoin
rpg bitcoin bitcoin plus When you buy bitcoin on an exchange, the price of one bitcoin is usually quoted against the US dollar (USD). In other words, you are selling USD in order to buy bitcoin. If the price of bitcoin rises you will be able to sell for a profit, because bitcoin is now worth more USD than when you bought it. If the price falls and you decide to sell, then you would make a loss.статистика bitcoin bitcoin fpga ethereum solidity
bitcoin spinner bitcoin mining the ethereum bitcoin мавроди connect bitcoin bitcoin telegram bitcoin asic bitcoin airbit
ethereum покупка bitcoin установка заработок ethereum Bitcoin offers an efficient means of transferring money over the internet and is controlled by a decentralized network with a transparent set of rules, thus presenting an alternative to central bank-controlled fiat money.1 There has been a lot of talk about how to price Bitcoin and we set out here to explore what the cryptocurrency's price might look like in the event it achieves further widespread adoption.bitcoin png ethereum cgminer bitcoin статистика bitcoin co bitcoin map bitcoin проверить phoenix bitcoin price bitcoin weekly bitcoin bitcoin server bitcoin matrix bitcoin оборудование bitcoin coingecko почему bitcoin bitcoin eth перевод bitcoin
bitcoin scripting What Are Cryptocurrency Custody Solutions? создатель bitcoin сбербанк ethereum
mooning bitcoin people bitcoin пополнить bitcoin получение bitcoin bitcoin машины bitcoin 0 алгоритм monero mercado bitcoin tether перевод buy tether home bitcoin bitcoin биржи bitcoin реклама
bitcoin обменник bitcoin завести bitcoin usa bitcoin fork дешевеет bitcoin bitcoin шрифт monero bitcoin установка bitcoin kazanma etoro bitcoin bitcoin sec
magic bitcoin проверка bitcoin халява bitcoin bitcoin коллектор armory bitcoin bitcoin shop roulette bitcoin алгоритм ethereum cryptocurrency law bitcoin лопнет ethereum supernova p2p bitcoin ethereum rig abc bitcoin сколько bitcoin bitcoin today
ethereum coins mempool bitcoin
okpay bitcoin
системе bitcoin ethereum microsoft tor bitcoin bitcoin новости токен bitcoin testnet bitcoin
bitcoin local торговать bitcoin ethereum контракт bitcoin 3d ethereum info locate bitcoin bitcoin суть bitcoin cryptocurrency график bitcoin arbitrage bitcoin gui monero bot bitcoin bitcoin покупка bitcoin wmx ethereum client
bitcoin минфин форумы bitcoin
ethereum github life bitcoin mini bitcoin проблемы bitcoin zone bitcoin blogspot bitcoin metatrader bitcoin bitcoin server компиляция bitcoin bitcoin бонусы вики bitcoin кошелька ethereum monero free rpg bitcoin locals bitcoin bitcoin tor сайт bitcoin machine bitcoin bitcoin hunter
pplns monero monero прогноз bitcoin проверить bitcoin book bitcoin reklama credit bitcoin video bitcoin bitcoin php usb bitcoin котировки ethereum ethereum курс 2048 bitcoin ethereum акции This is why the future of currency lies with cryptocurrency. Now imagine a similar transaction between two people using the bitcoin app. A notification appears asking whether the person is sure he or she is ready to transfer bitcoins. If yes, processing takes place: The system authenticates the user’s identity, checks whether the user has the required balance to make that transaction, and so on. After that’s done, the payment is transferred and the money lands in the receiver’s account. All of this happens in a matter of minutes.mac bitcoin But if you joined a mining pool with 50,000 other people, every time your pool won, you would get you to share based on your 1 ticket. This is the same with Litecoin mining, where your share of rewards are based on how much power you provide.ферма ethereum
monero алгоритм neo bitcoin bitcoin баланс twitter bitcoin андроид bitcoin bitcoin x bitcoin seed
биржа monero bitcoin информация bitcoin ledger счет bitcoin rise cryptocurrency алгоритмы ethereum
youtube bitcoin blacktrail bitcoin bitcoin 2018 лучшие bitcoin майнеры monero ethereum usd
bitcoin nonce bitcoin софт bitcoin конвектор bitcoin scripting майн ethereum tether программа
mine ethereum android tether bitcoin торги nicehash monero 10000 bitcoin
community bitcoin cryptocurrency dash hosting bitcoin bitcoin фарм bitcoin переводчик платформы ethereum часы bitcoin bitcoin segwit bitcoin взлом bitcoin life ethereum настройка monero кран сложность monero китай bitcoin ферма bitcoin coinder bitcoin bitcoin hype bitcoin чат bitcoin faucets прогноз bitcoin tether 4pda bitcoin linux bitcoin com bitcoin satoshi half bitcoin bitcoin cny bitcoin asic bitcoin weekend bitcoin генераторы bitcoin genesis майнить ethereum bitcoin play bitcoin fire bitcoin bounty форк bitcoin dash cryptocurrency mail bitcoin
lazy bitcoin программа tether us bitcoin testnet bitcoin polkadot su Payment Servicespanda bitcoin bitcoin таблица bitcoin ads
bitcoin coin bitcoin click
matrix bitcoin окупаемость bitcoin bitcoin сети транзакции ethereum trading bitcoin 1080 ethereum bitcoin base
bitcoin planet bitcoin favicon bitcoin multibit bitcoin магазин bitcoin casino monero price создать bitcoin bitcoin 2010 bitcoin принцип protocol bitcoin cold bitcoin bitcoin journal
monero price стоимость bitcoin bitcoin проект bitcoin биржа bitcoin air bitcoin вконтакте buy tether калькулятор bitcoin monero bitcoin пополнить книга bitcoin darkcoin bitcoin card bitcoin ethereum эфириум рубли bitcoin
вики bitcoin ethereum asics bistler bitcoin galaxy bitcoin reklama bitcoin ethereum купить bitcoin вирус
bitcoin майнинг monero hashrate bitcoin block символ bitcoin
пулы monero bitcoin landing bitcoin видеокарта bitcoin chains bitcoin 100 mine ethereum взломать bitcoin калькулятор monero bitcoin gambling ethereum calculator kraken bitcoin bitcoin переводчик покупка bitcoin вклады bitcoin bitcoin технология blender bitcoin символ bitcoin bitcoin amazon all cryptocurrency bitcoin play accepts bitcoin bitcoin hyip bitcoin scam master bitcoin bitcoin graph cpp ethereum ethereum debian txid bitcoin cryptocurrency market депозит bitcoin
инструкция bitcoin ethereum swarm майнинга bitcoin ethereum complexity
ethereum статистика bitcoin рухнул
bitcoin protocol multisig bitcoin index bitcoin боты bitcoin bitcoin эмиссия bitcoin что bitcoin новости bitcoin local bitcoin statistic bitcoin валюты эмиссия bitcoin
ethereum проект
equihash bitcoin Because of the decentralized nature of cryptocurrency technology, there are no customer service contacts that can reverse transactions sent to an incorrect address or grant access to a wallet if the owner is locked out. You're solely responsible for your cryptocoins.So let‘s walk through the whole story. What are cryptocurrencies?bitcoin автоматически doubler bitcoin monero calculator bitcoin get hub bitcoin hub bitcoin testnet ethereum ethereum developer смесители bitcoin bitcoin 0 cryptocurrency tech accept bitcoin bitcoin бизнес gif bitcoin bitcoin department sgminer monero ethereum cryptocurrency ethereum упал bitcoin цены keystore ethereum видео bitcoin bitcoin purchase Over half the asset class is one product, Bitcoin, a currency system which is still not widely understood by institutions or the retail public.Real estate: Deploying blockchain technology in real estate increases the speed of the conveyance process and eliminates the necessity for money exchanges bitcoin торрент 