Bitcoin mining is the process of adding transaction records to Bitcoin's public ledger of past transactions or blockchain. This ledger of past transactions is called the block chain as it is a chain of blocks. The block chain serves to confirm transactions to the rest of the network as having taken place. Find out what your expected return is depending on your hash rate and electricity cost. Find out if it's profitable to mine Bitcoin, Ethereum, Litecoin, DASH or Monero. Do you think you've got what it takes to join the tough world of cryptocurrency mining? May 10, · Bitcoin: Litecoin: Total volume: 21 million BTC: 84 million LTC: Mining algorithm: SHA Scrypt: Block time: 10 minutes: 2,5 minutes: Block Reward () 12,5 BTC.
Mining btc vs ltcEthereum Mining vs. Bitcoin Mining: Which is More Profitable?
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Bitcoin vs. Other Cryptocurrencies. Bitcoin Value and Price. Cryptocurrency Bitcoin. Litecoin: An Overview Over the past several years, public interest in cryptocurrencies has fluctuated dramatically.
Key Takeaways Bitcoin has been the dominant name in cryptocurrencies since , but Litecoin and hundreds of others have joined the fray as well. Bitcoin and Litecoin use fundamentally different cryptographic algorithms: Bitcoin uses the longstanding SHA algorithm, and Litecoin uses a newer algorithm called Scrypt. Article Sources. Investopedia requires writers to use primary sources to support their work.
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Partner Links. Bitcoin Bitcoin is a digital or virtual currency created in that uses peer-to-peer technology to facilitate instant payments. It follows the ideas set out in a whitepaper by the mysterious Satoshi Nakamoto, whose true identity has yet to be verified.
What is Dogecoin? Dogecoin is a peer-to-peer, open-source cryptocurrency that is categorized as an altcoin. Started in as a joke, Dogecoin has a loyal fanbase. This makes Bitcoin one of the slowest payment processing blockchain networks in the world.
Litecoin aims to make the block time go down to 2. This means that transactions can be verified more quickly, allowing users to make payments without worrying about slow speed on the Bitcoin network. It also makes Litecoin a very attractive option for merchants who could get confirmed transactions faster. The Bitcoin network has a hard cap on the total number of BTC to be mined, i. It can be divided up to eight decimal points, and the smallest unit in the BTC network is called Satoshi.
In the Litecoin network, the hard cap for coins was increased to 84 million. Though Litecoin is also divisible, the larger number of coins could provide a psychological advantage to the users who may feel more comfortable sending whole coins instead of a small fraction of a Bitcoin. The most significant technical difference between the two blockchain networks is the algorithm. Bitcoin follows an SHA algorithm which takes 10 minutes to process transactions and mine new blocks. Not to mention, the process of generating a new block is extremely difficult and expensive.
The Bitcoin algorithm demands a lot of power and is significantly slower. These hardware devices were designed specifically for helping mine Bitcoins more efficiently than their predecessors. However, these devices are quite expensive because of which average users find it difficult to participate in Bitcoin mining. The speed of the algorithm was one of the major reasons why Charlie Lee moved away from Bitcoin. He worked with Scrypt, a new algorithm that was faster than the SHA Some Bitcoin enthusiasts suggest that SHA is more secure as compared to Scrypt since it takes its time to process transactions.
They believe that Scrypt rushes the transactions, which could cause a huge security loophole. Bitcoin network currently offers a block reward of Bitcoin will cut this value by half in Litecoin currently offers 25 LTC as block rewards to the miners. Each Bitcoin is valued at approx. Litecoin, on the other hand, is priced at approx. This makes Bitcoin about 19x more valuable than Litecoin in the current market conditions.
LTC is currently the eighth largest digital asset in the world. Both Bitcoin and Litecoin have are known to focus on creating payment networks, unlike blockchains like Ethereum that focus more on the creation of DLT-based smart contracts.
Litecoin, however, has positioned itself as a more merchant-friendly blockchain payments solution, owing to its shorter transaction confirmation times. However, when it comes to mining, both Bitcoin and Litecoin have significant degrees of centralization. Litecoin is no different.