September 30, 2022

Are The Tables Turning? Litecoin Transactions Compared To Bitcoin Are 75% And Growing

2 min read

Data compiled by @MASTERBTCLTC shows the number of Litecoin transactions is simply under 75% of that of the variety of Bitcoin deals.

Litecoin transactions are 75% of the overall bitcoin transactions.

When will litecoin deals flip bitcoin transactions?

At some point in 2021 I anticipate.

227k BTC vs 168k LTC transactions.”

More considerably, @MASTERBTCLTC suggests this might be the start of an uptrend resulting in a flippening in deal count at some point this year.

Litecoin vs. Bitcoin transactions

Source: @MASTERBTCLTC on Thinking about broader factors, consisting of the ecological argument versus proof-of-work tokens, what can we deduce from this pattern? The Difference Between Litecoin and Bitcoin Although Litecoin is a Bitcoin fork, it differs in terms of its hashing algorithm, supply, and block transaction times. Litecoin has a 2.5 minute block verification time versus 10 minutes for Bitcoin. This focus on speed and low deal costs make it more suitable for microtransactions and point of sale payments.

Currently, typical LTC deal fees are can be found in around $0.0104. In contrast, the average BTC transaction charge is $8.131.

However, the basic distinction in between the 2 depend on Litecoin's usage of the newer Scrypt Proof-of-Work (PoW) algorithm over Bitcoin's SHA-256.

Cryptocurrency mining can occur using a CPU, GPU, or ASIC miner. ASIC miners can create more hashes (shots) per 2nd to match the target data string and "win" the block. Therefore ASIC miners have an unique benefit over other mining methods.

However Scrypt was selected by Litecoin designers due to the fact that it is less responsive to ASIC mining. Although Scrypt ASIC miners have actually given that come onto the market, a substantial portion of Litecoin mining still happens using CPUs and GPUs. This makes mining Litecoin more accessible for daily individuals.

What's Behind This Trend?

Much has actually been stated about the ecological damage brought on by Bitcoin mining in current weeks. Although Litecoin and Bitcoin utilize computationally intensive proof-of-work algorithms, Litecoin's Scrypt model relies more heavily on memory than out and out processing power.

The outcome to this decreases the benefit of ASICs and increases network participation and energy performance. Thus some would argue that Litecoin is a greener token.

Research assembled by TRG Datacenters revealed that Litecoin consumed 18.522 kilowatt-hours per deal. Unsurprisingly, Bitcoin came bottom of the list, consuming 707 kilowatt-hours per deal.

Surprisingly, Dogecoin, which also uses a Scrypt algorithm, consumed simply 0.12 kilowatt-hours per deal.

At today time, it's too speculative to state that crypto users are increasingly relying on Litecoin for green factors.

However at the same time, the three months of data compiled by @MASTERBTCLTC shows a certain downtrend, of lower highs, in use for Bitcoin.

Taken in conjunction with Litecoin's increasing deal count today, this may recommend users increasingly see Bitcoin primarily as a store of value, instead of a coin to make payment deals with.

Litecoin daily chart YTD

 Source: LTCUSD on