Since starting to invest in LTC (Feb '21), I have really been looking at this coin. If you read the white paper and compare it to BTC just in dollar terms, how can LTC remain such a low value (in dollar terms)? The total supply is exactly 4x that of BTC, which makes it the second smallest. Silver to bitcoin gold is even described as a ratio of .003% to bitcoin, but the ratio of silver to gold is more like 1-2%.
The current valuation of LTC looks to be more comparable to ETH. Please provide me with possible explanations or articles that explain this, I would greatly appreciate it. However, I can’t understand why it isn’t valued at 20x+ what it currently trades at.
Your analysis uses flawed metrics. It doesn’t matter if Litecoin is x4 the supply of Bitcoin or 1/3 of it. I have known Bitcoin since 2013, and I have seen scams, crashes and pump-and-dumps going on forever, which severely distort the price information. It hasn’t changed much since then. The prices say almost nothing in this market where nothingness is being traded all the time. The pumpers will use a fraction or their fortunes and leverage (borrowed money) to skyrocket the price of some cryptocurrency, start the pump campaign, telling everyone to buy the dip (so that they can move on to the “dump” phase of the scheme). These pumps-and-dumps can be quick or go on over months, but many coins out there will eventually crash (since the pumpers want dollars, and not the cryptocurrency). Just as easily they have cashed in a cryptocurrency, they can cash out. These schemes have a negligible cost for them.
Litecoin is essentially nothing. Its only use is as credit, to pay other people and be paid in it. Its value therefore comes from the society around it, that provides goods and services in exchange for the nothing that is Litecoin (and all other cryptocurrencies for that matter). The ones that accept any cryptocurrency are effectively bagholders, expecting purchasing power from it in the future.
You also are failing to understand that a higher price is harmful to Litecoin, as it rises the bar for people to participate in the ecosystem (which is close to nothing today, when compared to the overall economy). I don’t expect to sell Litecoin and then get fiat to pay someone in the future. I expect to pay someone else directly in Litecoin (a native transaction has no influence on the fiat price of Litecoin, and this is good to the environment overall).
What do you want out of Litecoin? More dollars? You still don’t get it.
I agree that to 100%
Im watching Litecoin since years and I can say out of my experience that Litecoin is very stable in its price without being a stable coin. That’s a good thing. Transaction fees are very low and also stable compared to bitcoin or etherium.
Kryptos are not made to make people rich. It is a alternative financial system to the fiat system where people have to take decisions. Please get familiar how credit system works, how fiat mass grows and what happens behind the scenes in banks. By building up ur own Node and link it to websites or other software u have a fully automatic financial system. I hope that Litecoin will keep going in that way otherwise I need to adjust some code.
I don’t think LTC is ever going to be comparable to BTC. I kind of prefer it that way, as you say it’s a stable coin so a safe investment. It isn’t as erratic to trade as BTC so it’s a less risky trade.
I’ve wondered this as well. LTC also has some perks and the mining time is four times faster than with Bitcoin. I’ve personally spent days waiting around on a BTC transaction before.
What gives anything value is supply and demand. The price is established on exchanges through bids to buy and offers to sell. The same as buying stocks. That is the only price determinate.
When doing the transaction YOU determine the fee you are willing to pay. If you pay a reasonable fee you will not wait more than an hour in most cases.
I agree too. The only drawback I see, is that, the marketplace, for goods and services, using Litecoin, is not organized very well. This happens to other crypto’s too. I don’t know, if anyone, has any project about, marketplace organization. I will be happy, to help, and participate in a project about Litecoin marketplace organization, is around.
Actually I’m writing an API to make it much easier adopt litecoin to a website. With a full login system, litecoin core, OmniLite and ipfs access. I don’t know what u especially mean with marketplace organization. Could u plz explain that a bit more?
I was talking about making a marketplace hub, where customers and merchants can interact. I would like to go to a litecoin accepting mall, virtual of course, to find, or offer products and services. It also, needs to be well marketed, to attract, merchants and visitors.
I don’t think, it’s a software problem. I’m a developer too, and I can help for this. We will fix it, and it will stay there, idle. Funding is needed to sponsor crypto video creators, for marketing, and escrow/smart contract, services are needed, for smooth functioning. Also some people, are needed to keep it running smoothly. I don’t know, how we can make a proposal, for this project, to the community.
