For those who are interested in learning more about cryptocurrency and all of the options that are available in this field, it can become confusing. There is a very good chance that the first time you heard about cryptocurrency, it was because of Bitcoin. However, this is certainly not the only type of currency available. Many people think that they are the same, but there are some notable differences. Let’s get a better look at what each of these are.
Litecoin(LTC) is a type of cryptocurrency that is used for peer-to-peer payments like Bitcoin. While it is very popular, it is often considered to be the silver to the Bitcoin gold. This means that it tends to be cheaper to start buying this cryptocurrency, and there are plenty of machines that can help you to start mining it. It has had ups and downs over the years, just as the other cryptocurrencies have had. For several years, it was trading in the range of between $3 and $5 per coin.
When it was announced that Litecoin would be using the Segwit upgrade for their blockchain, the price of the coin skyrocketed to reach $366. It is currently around $100 a coin. People like to use this cryptocurrency because the transaction times are faster than with Bitcoin, and because the transaction fees are lower.
Ethereum(ETH) is currently the second largest digital currency in the world, and the name of the currency in this blockchain is ether. This is an open source blockchain that allows smart contracts to be created. These contracts are digital, made via computer protocols that will allow for, verify, and enforce contractual agreements between parties.
Many large companies, as well as financial institutions, have started to explore this Ethereum based technology. They feel that it has the potential to provide secure storage and transfer of data via the blockchain technology. The latest price for a single ether was $496.
Bitcoin, which has now been around for about a decade, is a peer-to-peer system allowing users to interact with one another directly and without the need for an intermediary, similar to the other cryptocurrencies on the market. Bitcoin remains the largest and most popular of the digital currencies. Currently, a single Bitcoin is worth $6,550. People continue to invest in this currency, and they continue to mine this currency, believing it to be a great investment option and the way of the future.
You may have also heard of Bitcoin Cash, and some might believe that it is just another term for Bitcoin. That’s not the case. This is, in essence, a spinoff from Bitcoin. In the middle of 2017, developers wanted to increase the Bitcoin block size limit and prepared a code change, otherwise known as a hard fork. This split the blockchain and the cryptocurrency in two, and Bitcoin Cash was the result. It currently trades on Coinbase, Gemini, Kraken, and Shapeshift.
Now that you have a better understanding of the different types of digital currencies and options on the market, you should start to have a better idea of which one is going to be right for you whether you want to mine it or make an investment in it. While there are other options out there that could work, as well, these tend to be the most popular choices, and the ones that look like they are here to stay. Continue researching the options, and if you are going to mine, be sure you have the right type of hardware and equipment to get the job done.