How to Buy Litecoin(LTC) in India in 2023?

Key Takeaways 

• Litecoin’s price has risen by more than 30% and has since experienced almost an equivalent drop in the past few days.
• The network is about to undergo a major upgrade in a month, as Litecoin Halving is scheduled to happen in August 2023.
• The LTC price is expected to trigger a massive upswing after the token manifests acute strength. 

What is Litecoin? 

Litecoin is also called the lighter version of Bitcoin and was created from a fork of it in 2011.  It shares similar features as Bitcoin but has a different algorithm, aiming to become a medium for daily transactions with a faster processing time. Created by former Google engineer Charlie Lee, Litecoin was released with 150 pre-mined coins for a total supply of 84 million coins. 

The platform uses a hashing algorithm called Scrypt, which is more memory intensive and slower than SHA-256. The protocol uses a proof-of-work consensus algorithm, while the miner receives 12.5 LTC. The transaction processing speed is 54 transactions per second, where-in new blocks on the Litecoin blockchain are created about every 2.5 minutes. 

Should You Invest in LTC? 

Litecoin was created with improved transaction speed, intending to offer a platform for merchants to undertake day-to-day transactions. LTC settles payments faster than Bitcoin and can conduct business more quickly than Bitcoin. Litecoin is highly liquid, which makes it easier to carry out trades. The LTC transaction fees are also pretty low, comparatively. 

So, should you invest in Litecoin?

The price of Litecoin has been highly undervalued ever since its inception. It is considered the first altcoin that has been functional until now. Different from Bitcoin, Litecoin has failed to undergo massive price action due to the token’s failure to gain user attention till now. However, with the constant upgrades and improvements, the market participants have also become confident in the LTC price in the long term. 

The price failed to mark the $1000 milestone during the 2021 bull run and hence is believed to be preparing to rise above the levels during the next cycle. Therefore, one can invest in Litecoin with deep research and close analysis of the price movements. 

Additional Read: Bitcoin vs Litecoin

Litecoin Halving Explained 

It is a known fact that the price of crypto is bullish in the long term and tends to reach higher targets. The tokens that work on the proof-of-work consensus algorithm require the miners to mine a new token by validating the transactions and adding them to the blockchain. To do so, miners are awarded a reward, 12.5 LTC in this case, which was 25 LTC before and 50 LTC before this. Halving is the process wherein the miner’s rewards are cut by half every 4 years. This is done to curb the inflationary pressure on the token. 

The next Litecoin halving will take place on August 2, 2023, an automated event that occurs when the 2,520,000th block is generated. The miner rewards will be halved to 6.25 LTC from the current 12.5 LTC. The halving event has a greater impact on the LTC price, which usually doubles just before the event and later can go as high as 300%. But why?

As mentioned above, the miner’s rewards will be halved. If the miners receive fewer rewards, they release fewer tokens into circulation. Hence, this may allow the price to grow due to the increased scarcity. 

Know More: Litecoin Halving in 2023

Steps to Buy Litecoin 

The very first step before buying Litecoin is choosing the right platform or exchange. Later, some more steps need to be followed to buy Litecoin. 

Step 1: Understanding the Working Mechanism

Cryptos like Bitcoin, Litecoin, or Ethereum are extremely volatile, as their prices tend to change frequently. Therefore, before buying any token, one needs to closely examine the market sentiments and price variations. Along with this, any external factors like network upgrades, regulatory upgrades, geopolitical upgrades, etc. need to be closely observed. 

Step 2: Choose a Safe Crypto Exchange

Choosing the right platform is one of the most important steps. The platform should be capable of safely and securely handling the funds of the customers. One can easily buy Litecoin in India with the CoinDCX App. You need to download the app, create an account, and complete the KYC. 

Step 3: Add INR funds to your wallet

Once you download the CoinDCX App and create a new account, you are required to wait for a while for your account verification. Once done, link your bank account and transfer funds to the wallet. 

Step 4: Buy Litecoin in India

After receiving funds in your wallet, one can either directly buy Litecoin from the exchange or opt for the Crypto SIP offered by CoinDCX. Here, a fixed amount is deducted from the wallet over a fixed period and directed towards investment. For example, if INR 1000 is set as a weekly SIP, this amount is deducted against the purchase of INR 1000 worth of LTC. 

Step 5: Store Your Litecoin

Storing your tokens, which are largely considered assets, is equally important as choosing the right platform to buy them. You can store LTC in two ways, either in a Hot wallet or a Cold wallet. A hot wallet is a wallet that is linked to the internet and is usually offered by all crypto exchanges. Besides, cold wallets are external and require connecting to the internet while using them. 

Read On: How to Buy Bitcoin in India

Is LTC Safe to Invest in? 

Litecoin is among the most primitive tokens in the crypto space and has withstood multiple bull and bear markets. The tokens displayed significant strength during each pullback and also manifested massive strength during the bull run. Therefore, one can consider Litecoin for investment, provided deep research on the fundamentals and a close analysis of the price movement are done. 

Read More: Litecoin Price Prediction

FAQs