Litecoin

Litecoin is a peer-to-peer cryptocurrency that was created by Charlie Lee in 2011 as a "lighter" alternative to Bitcoin. It was designed to address some of Bitcoin's limitations, such as transaction speed and scalability, while still maintaining the key features that make cryptocurrencies appealing, like decentralization and security. Litecoin operates on a similar proof-of-work consensus mechanism as Bitcoin but uses a different hashing algorithm called Scrypt, which is more memory-intensive and allows for a faster block generation time of 2.5 minutes compared to Bitcoin’s 10 minutes.

One of the main advantages of Litecoin is its faster transaction times, which make it more suitable for everyday transactions. While Bitcoin is often viewed as a store of value, similar to digital gold, Litecoin positions itself as a more practical alternative for smaller, more frequent transactions. This has led to Litecoin being referred to as the "silver to Bitcoin's gold." With a capped supply of 84 million coins—four times that of Bitcoin—Litecoin also aims to provide a balance between scarcity and availability, making it accessible while still maintaining value.