Compiling a list of companies and websites that accept Litecoin is a more difficult task than doing the same for bitcoin, just check out our list of 25 big companies that accept Bitcoin, Ethereum and other cryptocurrencies to see that most businesses that deal with cryptocurrencies have only adopted Bitcoin. The reason for this discrepancy is that Litecoin is less popular than Bitcoin. However, the high volatility and high price that Bitcoin has been valued at lately, could help spread the adoption of Litecoin, especially if we consider that in theory both cryptocurrencies are very similar.
Litecoin was indeed introduced as a “cheaper” alternative to Bitcoin. It was launched in 2011 by Charlie Lee, a former Google employee, who targeted the microtransaction space, as compared to Bitcoin, which could be used for more expensive purchases. Six years later, Litecoin is the fifth largest cryptocurrency with a total capitalization of $17.24 billion and a price of $317.21 per token.
From the start, Litecoin was aimed at being cheaper than Bitcoin, even though technically both cryptocurrencies are similar. The main differences are that Litecoin is capped at 84 million units, versus 21 million for Bitcoin. The Litecoin network aims to process a block every 2.5 minutes, which is four times faster than Bitcoin. This allows faster transaction confirmations. Litecoin uses Scrypt for proof-of-network, compared to Bitcoin’s SHA-256. For more differences and similarities between Bitcoin and Litecoin, take a look at our comparison of Litecoin vs Ethereum vs Bitcoin.
While Bitcoin, Litecoin, and other cryptocurrencies have been around since 2009, they have been gaining traction only in the last couple of years, as their popularity increased, which led to higher demand and higher value. Litecoin and other cryptocurrencies provide businesses with many advantages compared to traditional, or fiat, currencies. Transactions in cryptocurrencies are private, so the seller doesn’t collect any data about the buyer, so his privacy is safe. Transfers are carried out directly between the buyer and seller and are verified once by the network, which results in much faster transactions compared to fiat money, which have to pass through several institutions. Moreover, cryptocurrency transactions are carried out exclusively in the online space, but compared to traditional services like PayPal, they don’t perceive a fee, which results in lower costs over the long run. Cryptocurrencies also allow businesses to conduct international operations faster and cheaper, as cross-border transactions can rack up substantial fees.
In this way, Litecoin, Bitcoin and other cryptocurrencies provide businesses with many advantages and their popularity suggests that they are here to stay. In this way, businesses should jump on the bandwagon and adopt cryptocurrency payments before their competitors in order to gain customer loyalty and not risk being left behind.
In the meantime, let’s take a look at 10 companies and websites that accept Litecoin.