All you need to know about LITECOIN in Nigeria.
Litecoin is a decentralised digital currency like Bitcoin. It uses the same encryption techniques to transfer and create funds and to confirm transactions. The main difference between Bitcoin and Litecoin is that Litecoin has a larger amount of coins that can be created and it has faster transaction rates.
It can be helpful to think of it like this: “Litecoin is the Silver to Bitcoin’s Gold.”
Next to the very similar cryptocurrency Bitcoin, Litecoin has one of the highest largest market capitalizations of any coin and it has longevity.
These above facts make Litecoin one of the better cryptocurrencies in which to invest in.
Back in June 2015, Litecoin could be traded for $1.50 USD (after reaching heights of $10 USD). In 2017, Litecoin traded as high as $95. Aside from a few periods of volatility, Litecoin has seen a rise in value since its inception in 2011. It may never see gains like it did from 2015 to 2017 again, but then again, it may. The cryptocurrency market is young, anything can happen.
Litecoin was created in October 2011 by former Google engineer Charles Lee. Charles Lee worked for Coinbase (one of the most popular cryptocurrency wallet-exchange-brokers in the US) from 2015 to 2017. Considering the importance of Google, Litecoin, and Coinbase. That is somewhat of a big deal.
Differences between LITECOIN and BITCOIN
Without getting too sceptical, there is not much of a difference between Litecoin and Bitcoin. Basic differences include:
- The rate at which transactions are confirmed
Bitcoin’s algorithm allows for one transaction to be added to the public ledger every 10 minutes, Litecoin has a faster rate of confirmation at one per 2.5 minutes. In theory, this helps avoid one of the only types of fraud that can happen with cryptocurrency: “double-spending”.
- The number of coins that can ever be created
Litecoin’s algorithm will allow for a total of 84 million Litecoins to be created. This max capacity is 4 times greater than that of Bitcoin, mirroring the 4 times faster rate of transaction confirmation (confirming transactions creates new coins via a process known as “mining“).
Litecoin is in many ways an improved Bitcoin with less brand awareness.
How to buy LITECOIN in Nigeria?
Step 1 – Get a Litecoin wallet
Before you buy your Litecoins you should first get a wallet to store them on. Between some of the most popular wallets today for Litecoin are Coinbase, Exodus and Jaxx. If you’re looking for better security for your Litecoins you can use hardware wallets like TREZOR or Ledger to store them as well.
Step 2 – Find a Litecoin exchange
One of the main issues it’s currently hard to purchase actual Litecoins is because most exchanges trade it only for Bitcoins (and not for USD or EUR). Therefore, one option you have is to buy Bitcoins and then exchange them to Litecoins on exchanges like Polonix, BTC-e or Shapeshift.
However, there are some exchanges that allow you to buy Litecoins directly.
Coinbase – Allows you to buy up to $500 worth of Litecoins using your credit card. Higher limits can be achieved once you verify your identity. Coinbase accepts buyers from 33 countries around the world and the fees on the exchange are relatively low (mainly for ACH transfers inside the US).
eToro – Platforms like eToro don’t give you actual access to your coins and you can’t send coins from eToro to other people. The only thing that can be done with the platform is to buy and sell Litecoin for fiat currency (i.e. Dollars, Euros, etc.). Meaning this platform is good if you only want to speculate on the price.
Bitpanda – Allows you to buy Litecoin using your credit card, Skrill account, SEPA transfer or SOFORT transfer. Buying on Bitpanda requires verification and buying limits are relatively low (600 euros).
Bitstamp – One of the oldest cryptocurrency exchange out there. Bitstamp allows you to buy Litecoin through a wire transfer of USD or EUR. You can also exchange your Bitcoins to Litecoins as well.
Step 3 – Buy Litecoins and withdraw them to your wallet
Once you decide on an exchange, open an account and buy the Litecoins. Make sure to withdraw the Litecoins from the exchange to your very own wallet. Never leave coins in an exchange as you risk losing them if the exchange gets hacked or shuts down.