New to the world of Litecoin (LTC)? You’ve come to the right place to collect information and learn! If you want to dive right in, scroll down to the section about how to buy Litecoin (LTC), where you can start right away!
Cryptocurrency is a type of digital money. Unlike traditional currencies such as Canadian dollars or Euros, cryptocurrencies like Litecoin (LTC) operate on decentralized networks based on blockchain technology. “Decentralized” means that the network operates without a central authority or intermediary. There are several aspects of Litecoin (LTC) and other cryptocurrencies that qualify them as decentralized. These aspects include the use of blockchain (distributed ledger) technology that no single person controls, peer-to-peer transactions that don’t involve an intermediary, consensus mechanisms to validate and record transactions, and open-source code that allows anyone to scrutinize records of transactions.
If you’re a complete novice, this explanation may still be opaque to you, but we encourage you to investigate the basics further. You’ll soon catch on, and your confidence will grow steadily.
Litecoin (LTC) was among the earliest alternative cryptocurrencies or altcoins to emerge. Charlie Lee, a former Google developer, launched it in October 2011. Charlie referred to Litecoin as “the silver to Bitcoin’s gold.” In its early years, users deemed Litecoin the second-largest cryptocurrency, making it popular among those looking for a more affordable alternative to Bitcoin. Litecoin transactions are fast and inexpensive, which makes it a good option for everyday purchases. On the other hand, Bitcoin is now seen as a way to store value rather than for regular transactions.
Litecoin was forked from the Bitcoin blockchain and is designed to be the “lighter” version of Bitcoin. Its development involved minimal modifications to the original Bitcoin blockchain. While the Litecoin crypto was not the first and only blockchain to fork from Bitcoin and modify its features, it’s one of the most significant and popular ones. Nevertheless, Litecoin’s strength lies in the significant impact of these few changes.
Litecoin is a cryptocurrency that operates openly using blockchain technology. It follows similar principles to Bitcoin but aims to improve some of its limitations. Charlie Lee created Litecoin specifically to tackle the weaknesses found in Bitcoin. The Litecoin blockchain adds a new block every 2.5 minutes on average, which is four times faster than Bitcoin’s average of 10 minutes. The slow transaction speed is a disadvantage to merchants who accept Bitcoin as payment. On overage, BTC transactions may take up to an hour.
Litecoin’s faster block time allows a higher volume of transactions to be processed quickly. With a maximum block size of 1 MB, Litecoin can accommodate four times more transactions than Bitcoin, providing a good compromise for transaction confirmation.
If you already understand how Bitcoin operates, you should find it easy to understand what is Litecoin crypto, and how it works. Litecoin is a version of Bitcoin with some changes in its code, but it shares many of the same features. LTC is the Litecoin crypto coin. Just like Bitcoin, Litecoin uses cryptography to allow people to own and trade its digital currency. The software for Litecoin imposes a maximum limit of 84 million LTC. Once the LTC reaches its maximum circulating supply, it will have a 0% inflation rate.
Many cryptocurrency trading platforms and financial technology apps also allow you to buy and sell Litecoin. You can use the Litecoin crypto in many ways, including:
Litecoin also operates on a proof-of-work network and generates tokens through mining. However, mining Litecoin requires less computing power, making it more cost-effective, easier, and quicker to mine. Litecoin miners use their computers to solve difficult math puzzles known as hashes. By successfully solving these puzzles, miners earn the opportunity to add new transactions to the blockchain.
Once a block of transactions is added to the blockchain, it cannot be changed. Miners compete to be the first one to solve the puzzle associated with a transaction. Each transaction is routed through a pool for miners to process. The winner receives LTC tokens as a reward for their efforts.
People exchange LTC tokens in a similar manner to Bitcoin. You have the option to sell your Litecoin on the crypto trading platform where you bought it. But, it’s important to note that selling your cryptocurrency on a centralized exchange is not the same as selling it on a decentralized exchange. In 2016, approximately 10 million LTCs were traded daily, involving around 7,500 transactions per day.
Being one of the first cryptocurrencies created, Litecoin has a strong network and a dedicated group of supporters and developers. This helps it remain stable and strong even when the market is unpredictable. Because Litecoin is well-known and widely used, you can find it on almost all major cryptocurrency exchanges and crypto trading platforms in Canada.
As of August 12, 2024, the LTC price is USD 60.99 with a circulating supply of over 74 million. While predicting the Litecoin price or market value in the following years is difficult, it will depend on how it remains relevant and how users and investors utilize it.
Want to jump straight into learning how to buy some Litecoin (LTC)? Here’s our quick-start guide!
Coinsquare is a leading cryptocurrency trading platform that was started by Canadians for Canadians in 2014. Coinsquare is trusted by hundreds of thousands of Canadians for their Litecoin (LTC) trades and has processed over $8 billion in trading volume to date.
This crucial step helps protect your identity and your Litecoin (LTC) transactions. It also ensures that Coinsquare meets its regulatory obligations. You will need to submit some personal information, including your name, address and phone number, as well as a scan of a government-issued identity document such as your driver’s license or passport. Rest assured that this data will be kept in the strictest confidence. You will also need to answer a few questions to determine your risk profile.
These funds are what you’ll use to buy your Litecoin (LTC). You can transfer money directly to your account for free using Interac e-transfer, or you can wire transfer the funds from your bank account.
Choose the currency you want to use to buy your Litecoin (LTC). For now, you’ll be using CAD because that’s what you have on deposit in your Coinsquare account, but later on, you might use USD or another cryptocurrency for your purchase. Once you’ve selected the currency, you can go ahead and purchase your Litecoin (LTC)!
You won’t be able to spend your Litecoin (LTC) at all Canadian retailers, but the list of stores that accept Litecoin (LTC) and other cryptocurrencies is always growing. Keep an eye on the news about Litecoin (LTC) and ask your favourite retailers about their policies.
All cryptocurrencies carry some level of risk, just like other volatile investments. It's essential to thoroughly research the token you plan on investing in and understand the risks before making any decisions. Remember, you should never invest more than you can afford to lose.
You can transact on Coinsquare in numerous currencies other than Litecoin (LTC), including Bitcoin (BTC), Ethereum (ETH), Avalanche (AVAX), Bitcoin Cash (BCH), Cardano (ADA), Dogecoin (DOGE), Chainlink (LINK), Polygon (MATIC), Shiba Inu (SHIB), USD Coin (USDC), XRP, and many more.
You can store your Litecoin (LTC) in software applications called wallets. Wallets come in two varieties: hot wallets and cold wallets. Here are the differences between them.
Connectivity: Hot wallets are connected to the internet while cold wallets are not.
Access: Hot wallets offer quick and easy access for transactions while cold wallets require physical access.
Security: Cold wallets are more secure than hot wallets, which are more vulnerable to hacking and cyber attacks.
Usage: Hot wallets are ideal for frequent transactions and trading, while cold wallets are best suited to holding crypto in long term storage or in large amounts.
Setup and Maintenance: Hot wallets are easier to set up and maintain. Cold wallets require more complex set up and maintenance.
Recovery Options: Both hot and cold wallets often have recovery options like seed phrases, while cold wallets can also be backed up.
Convenience: Hot wallets are highly convenient for everyday use. Cold wallets are less convenient due to their physical access requirement.
Physical Risk: Cold wallets come with a higher physical risk, as they can be lost, stolen or damaged; while hot wallets carry a lower risk because they are not physical objects.
It is legal to buy and sell Litecoin (LTC) in Canada, but Litecoin (LTC) itself is not legal tender, meaning that it is not issued by the government or controlled by them. Cryptocurrency trading platforms are also legal in Canada, but be careful to choose one that is in good standing and has not been banned or isn’t allowed to operate in Canada. As a leader in the cryptocurrency trading space, Coinsquare is dedicated to complying with all federal and provincial regulations for cryptocurrency trading; we are held to the highest standards of any financial institution in Canada, so you can have confidence in the transactions you complete on our platform.
If you want to get more into the world of cryptocurrency, you can engage in additional activities.
You can purchase other cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), Avalanche (AVAX), Bitcoin Cash (BCH), Cardano (ADA), Dogecoin (DOGE), Ethereum Classic (ETC), Polygon (MATIC), Shiba Inu (SHIB), USD Coin (USDC), XRP, and many more.
Get information and news updates in Coinsquare’s real-time news feed. On the website and in the mobile app, you can also check on the current market prices for Litecoin (LTC) and other cryptocurrency products, look at the trading history of Litecoin (LTC), and learn more about topics related to cryptocurrency.
Cryptocurrency has been criticized for its environmental impact, and not without reason. Traditional cryptocurrency mining, especially for coins like Bitcoin, has been associated with high energy consumption due to the power required for mining operations.
However, the cryptocurrency industry is sensitive to these concerns and is looking for ways to make cryptocurrency more sustainable. Here are some changes that some blockchains have undertaken to mitigate the impact of cryptocurrency on the planet:
Newer cryptocurrencies are being designed with sustainability in mind from the start instead of making changes after the fact. While these advancements show a commitment to sustainability and minimizing environmental impact, there is still a great deal of work to be done. Keep an eye on the news about the evolving cryptocurrency landscape.
Confirm your identity and answer a few onboarding questions.
Add funds to your account via e-transfer, wire transfer, or from another crypto account.
Choose Litecoin (LTC) from the list and select the currency you want to use.
Complete your Litecoin (LTC) purchase.
If you want to learn more about Litecoin (LTC) and the cryptocurrency world, getting involved with the Litecoin (LTC) community is a great idea. Here are some ideas about how you can follow trends, meet other investors, and contribute to the growth of the Litecoin (LTC) space:
If you have technical or business skills, you can also engage with development teams, contribute your skills to the Litecoin (LTC) project, or participate in governance by helping with decision-making and setting future directions.
Coinsquare offers a variety of services for all your Litecoin (LTC) needs.
Coinsquare Wealth provides more customized services from certified Wealth Directors. Although our Wealth Director don’t provide investment advice, they help our clients navigate the cryptocurrency space so they can get more out of it and avoid obstacles. Coinsquare Wealth also offers other advantages, such as same-day settlement in CAD or USD and enhanced liquidity for large trades/
Coinsquare Pro gives experienced traders the resources they need to make complex decisions and apply advanced trading strategies. Intuitive trading tools, enhanced trading logs, and near-instant execution of trades allow them to control their investments with greater precision.
Coinsquare Trade is a no-fuss service that gives our customers access to over 53 digital currencies, in-app customer service support, fast withdrawal and deposit options, and a clean, user-friendly interface.
Coinsquare has been in business in Canada since 2014 and was developed by Canadians for Canadians. We are confident that we can provide you with the best Litecoin (LTC) buying experience in the country. Join us today!
