Crypto Frontline

Transaction Differences between Bitcoin and Litecoin

Transaction Differences between Bitcoin and Litecoin
October 23
20:38 2017

As we already mentioned, litecoin claims to be a “lighter” version of bitcoin and the way it was built back in 2011 enables anybody to mine it very easy, since the hashing power is much smaller, in comparison to bitcoin.

Also, we mentioned in one of our previous material, that the proof-of-work and the hashing algorithms are different, so that implies the transaction processing is also different. This article will try to sum up some of the key differences between bitcoin and litecoin when it comes to transaction processing.

How is litecoin different?

Firstly, it can handle a much higher volume of financial transaction, due to its faster block generation. Bitcoin does not offer such a high speed and implementing that will require significant updates.

However, litecoin had a big disadvantage because of that, the blockchains created will be much higher than bitcoin’s, with more orphaned blocks.

An advantage of the fast block time of litecoin is that it reduces significantly the risk of double spending attacks.

The waiting time for transaction confirmation is much smaller compared to bitcoin, for example, a merchant who waited for a minimum of two confirmations will wait for 5 minutes, compared to bitcoin where the time would be around 10 minutes.

Transaction speed is one of the negative aspects of bitcoin and that is why cryptocurrencies like litecoin managed to develop tremendously in the last few years.

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