Where to buy Litecoins?
Ever since Litecoin was created back in 2011 it was considered as Bitcoin’s popular younger brother. In this guide, I will review the various ways you can buy Litecoin online and offline and also how to store it.
What is Litecoin in a Nutshell?
Litecoin is a Bitcoin spinoff created by former Google employee Charles Lee in October 2011. Litecoin has taken the general idea behind Bitcoin, but changed a few key components: The block time is 2.5 minutes on average versus 10 minutes for Bitcoin. The mining algorithm has changed from SHA-256 to Scrypt. This makes mining hardware for Litecoin harder and more complicated to create. The total number of Litecoins available is 84 million, as opposed to Bitcoin’s 21 million. To sum it up, if Bitcoin is digital gold, Litecoin is digital silver. It’s faster but also cheaper and more abundant than Bitcoin.
Mining Bitcoin has now become very difficult for people who do not own expensive hardware. When people mine Bitcoin, they use their computing power to help verify transactions on the network and receive extra Bitcoin as a reward.
Although you never actually see what is happening, this extra power solves really difficult mathematical problems. These problems are so difficult that no human could solve it, that’s why we use supercomputers! This is what makes blockchain technology so secure and decentralized.
However, as more and more people use Bitcoin, the network becomes larger. There are more computers trying to mine Bitcoin, which means more competition. So, the hardware needed to be a successful miner becomes more and more expensive and requires more electricity.
Litecoin solved this problem by changing how the blockchain verifies transactions. Instead of using expensive ASICS (application-specific integrated circuit), it uses GPUs (graphics processing units). GPUs are much cheaper and use less energy, meaning that anyone can mine Litecoin!
If you’re not quite sure what that jargon means — basically, ASICS and GPUs are different types of computer hardware.
Buy Litecoin with Cash
There is no good way to buy litecoins with cash. LocalBitcoins is the most popular way to buy bitcoins with cash, and it does not have Litecoin support. Other popular cash to Bitcoin exchanges like BitQuick and Wall of Coins also do not support LTC. So you will have to first buy bitcoins with cash then exchange them for LTC using the method described below.
The same goes for Bitcoin ATMs. Most do not support Litecoin. So if you want to buy Litecoins at a Bitcoin ATM you first have to buy bitcoins and then trade the BTC for Litecoins.
Buy Litecoin with PayPal
The best way to buy Litecoins with paypal is using Etoro’s crypto exchange. Etoro is the only exchange to allow users to pay with Paypal.
Buy Litecoin with Bitcoin
If you already have bitcoins then it is VERY simple to convert some of your BTC to litecoins.
You just need to find an exchange with the LTC/BTC pair, which is most exchanges since LTC/BTC is a very popular pair to trade.