Litecoin is quite different from Ethereum and other Bitcoin copycats for the reason that it is simply not trying to beat Bitcoin. What Charlie Lee had in mind with Litecoin is to create a silver standard for the crypto market while Bitcoin remains as the gold standard of cryptocurrencies.
Over the past few days, Bitcoin wasn’t the only cryptocurrency that had a bullish trend. A few days ago, Bitcoin was struggling below $9,000. And now, Bitcoin has surpassed $10,000 limit and even potentially reaching $12,000 in the coming days. Litecoin has also enjoyed more than 50% increase hitting a new price of around $240. And one of the reasons is that investors are expecting Litecoin Cash to roll out.
Why Exactly is Litecoin Soaring?
Litecoin Cash had a good start on Monday. This cryptocurrency’s fork had its origins from Litecoin. And though there is skepticism on the part of Charlie Lee, this didn’t stop the enthusiasm of many investors to invest on Litecoin Cash.
Starting at $1.44, Litecoin Cash made it to $4.27 by Midnight Eastern Time on Monday. For those owners of the original Litecoin, they’d receive 10 Litecoin Cash tokens for every original Litecoin. This means that there were people who easily became attracted to invest in Litecoin. Trading volume on the YoBit exchange has exceeded $2.8 million for Litecoin Cash. That is a staggering volume that has ranked higher than the total 24-hour volume on 27 of the top 100 cryptocurrencies that have been listed on CoinMarketCap. And it seems that hype has initially brought good things to Litecoin Cash.
What Makes Litecoin Cash Different?
There are many in the crypto community that has been raising questions with this latest move. What makes Litecoin Cash different from Bitcoin Cash and Ethereum Classic? For one, there were no serious arguments within Litecoin community that would warrant a split. But of course, keep in mind that it seems that splits within the crypto universe are becoming more common these days.
So what makes Litecoin Cash different? For one, it makes use of the SHA-256 hashing algorithm that is quite similar to that being used by Bitcoin. One reason for this is to get miners that still have obsolete hardware with them. And if you have used your hardware for mining Bitcoin, perhaps, this is the best opportunity for you to maximize your mining tools. It also has the DarkGravity V3 algorithm taken form Dash that recalculates the mining difficulty every block in order to ensure fast transactions.
It also means that miners can easily mine 24 blocks without any problem. And this can easily provide an advantage to early miners. Though the block creation time for Litecoin Cash is at 2.5 minutes similar to Litecoin, LLC team mentioned that the transactions will be 90% cheaper than that of Litecoin.
With no reason for the fork, Litecoin Cash has caused some debates within the community whether or not it is a necessity or not. And also, Charlie Lee mentioned that his team has nothing to do with the hard fork and even warned the possibility of a scam. So far, it seems that LCC shows its potential and is far from being a scam.