Litecoin is one of the byproducts of the Bitcoin phenomenon. There are many similarities between the two, although that are also general differences.
Litecoin is a cryptocurrency, just like Bitcoin and it follows many of the same principles and rules. The litecoins are generated by miners who solve blocks and thus keep the system running while making a profit at the same time.
Again, there is a general difficulty that increases with 2016 blocks in order to maintain the overall pace. The blocks are also solved with hashes, and the system works on a peer to peer basis. Even the wallet function is almost the same.
It’s almost identical to Bitcoin, but there are several important differences. The maximum number of coins, for example, is significantly increased – 84 million coins, whereas the limit is 21 million in the Bitcoin network.
This is in correlation to the fact that the Bitcoin network solves a block roughly every 10 minutes, whereas the Litecoin network solves 4 blocks in the same amount of time (or one block every 2.5 minutes).
Also, the hashing algorithms are different (after all, it’s not entirely the same system).
Finally, the GUI is different, but that is to be expected since the network was created 2 years after Bitcoin. All in all, though, they’re pretty similar. If you have a basic understanding of Bitcoin, then you have a grip on Litecoin.
Just like Bitcoin, Litecoin is not that easy to acquire via the standard methods. Buying litecoin with credit card directly is next to impossible. You can‘t use PayPal and many other online money transfer services since it’s against their terms and conditions to purchase digital currency.
So, if you can’t buy litecoin with credit card Visa and Mastercard, and you can’t use PayPal, how do you buy the coins? There are 2 ways you can do this.
The first one is a bit complicated and involves multiple operations.
You can use VirWoX in order to buy Linden Dollars with your credit card. After you’ve acquired the Linden Dollars (also known as Second Life Lindens or SLL), you can convert them to bitcoins.
The process is simple from there – you just have to find an exchange and trade your bitcoins for litecoins.
The alternative method is to charge your Crypto-Trade account from your Visa or Mastercard via Payeer and trade from there.
These methods are not super intuitive, but will do the trick.