Litecoin
Crypto Overview
Purpose and Utility
Litecoin was created in 2011 by Charlie Lee as a peer-to-peer cryptocurrency designed to be a 'lighter' version of Bitcoin, with faster transaction speeds and lower fees. It uses a different mining algorithm (Scrypt) than Bitcoin, making it more accessible for individual miners.
Business Model and Current Usage
Litecoin functions primarily as a medium of exchange and store of value. It has maintained consistent development and adoption since its inception. The network processes transactions without any interest-bearing mechanisms or prohibited activities. As of 2023, Litecoin continues to be widely accepted by merchants and payment processors worldwide.
Real-World Adoption
Litecoin has achieved significant merchant adoption and maintains high daily transaction volumes. In 2023, it surpassed 130 million transactions and is accepted by thousands of merchants globally. The implementation of the MWEB (MimbleWimble Extension Block) upgrade in 2022 added optional privacy features while maintaining transparency of basic transactions.
Development Activity
The Litecoin Core development team remains active, with regular updates and improvements to the network. The project maintains an open-source development model with contributions from various developers globally.
Token Distribution
Litecoin has a fair distribution model with no pre-mine or ICO. Charlie Lee, the founder, publicly announced in 2017 that he sold all his LTC holdings to avoid conflicts of interest. Mining rewards are distributed fairly to network participants who secure the network.
Crypto Impact
To assign a comfort level investing in Litecoin from a halal perspective we need to determine whether it has a net positive or negative impact.
Towards this end, the table below is used to tally all the positive and negative considerations our members can think of related to Litecoin.
If you don’t see something that should be listed, positive or negative, feel free to submit your own contribution using the button “Contribute”.
We will review your contribution for accuracy before publication.
Importantly, you can review listed contributions and vote on which one you think has the greatest impact, positive or negative.
You only have one vote per asset so use it wisely.
You can change your vote if you change your mind.