Cryptoworld Tales – The history of Litecoin
Since Friday Litecoin’s price is skyrocking! Just few hours ago it have crossed 80 $ and is still growing. At the time of realese Litecoin set an ATH at 84,54 and is valued around that number . We think that the remarkable growth needs to be noticed! A little bit of history about the 6th biggest coin, according to Coinmarketcap, is well deserved.
THE DAYS OF FAIRBRIX
Litecoin was created by Charlie Lee, a former software engineer at Google, who became involved with cryptocurrencies in 2011. His first attempt at cryptocurrency was a coin called Fairbrix. Which was modeled after the controversial Tenebrix, a GPU and ASIC resistant coin that used the Scrypt algorithm. It was designed to be mined exclusively with CPUs and added a new block every 5 minutes. The problem with Tenebrix was that it had a premine of 7 million coins, which were supposedly stashed by its creator, an anonymous coder by the alias of Artfortz.
Seeing this, Lee decided to use Tenebrix as a base for the Fairbrix, keeping the proof of work algorithm and the 5 minute generation time for blocks, but with a premine of only 100 coins. Problems arose when a bug in the coin’s client prevented the creation of new coins. This and a 51% attack on the coin sealed its fate as a failure.
This did not stop Charlie Lee. He was still convinced that he could create a coin that was true to the original idea of Satoshi and Bitcoin. Lee took the work he had done with Fairbrix and used solutions from Bitcoin’s code to fix the problems on Fairbrix’s code. This new blockchain featured two-and-a-half minute blocks, the block rewards were planned to halve every 2016 blocks, and it was limited to 84 million blocks. Scrypt was kept as its algorithm. From a technical point of view, Litecoin is the child of Charlie Lee and Satoshi Nakamoto.
Litecoin was officially created in October 7th, 2011, forked from the Bitcoin blockchain and it was implemented almost a week later, on October 13th. It’s value has been growing steadily ever since, with a surge in November 2013 that died down some time after.
I’M GOOD, BUT I CAN GET BETTER!
This was not the end of the Litecoin team’s work. Ever since its appearance, lots of upgrades have been made to keep the ecosystem growing in a healthy and effective way.
In May of 2017, Litecoin became the first of the large cryptocurrencies to implement SegWit (Segregated Witness), which caused LTC’s value to skyrocket. The protocol was implemented on block number 1201536 and opened a path for lots of new improvements, like Lightning Network transactions for example. At the time, one of Litecoin’s developers, Loshan T, mentioned:
“I think today will be a great day for pushing more awesome tech into Litecoin. With SegWit activated on Litecoin’s mainnet, I cannot wait until we deploy confidential transactions, Lightning Networks, MAST and Schnorr signatures.”
Because of that, also in May, Litecoin would complete the first Lightning Network transaction. This transaction of 1 photon (0.00000001 LTC) was completed in less than a second! More recently, Litecoin completed the first atomic swap to Decred, and has since also completed atomic swaps with Vertcoin and Bitcoin.
Litecoin is often overseen by investors expecting faster growing coins and huge profits, even though Litecoin is a relatively ‘stable’ coin, with a positive community and a friendly creator, which is dedicated to the growth of the coin while encouraging other crypto communities (https://dowbit.com/charlie-lee-against-segwit2x/). It has even been referred to as the silver to Bitcoin’s gold.
What do you think the future holds for the ‘virtual silver’?