The Litecoin project is now enjoying increased attention amid the events taking place in the network of its “big brother”, bitcoin.
The fuss around the Ordinals
The Litecoin project and its native token have unexpectedly benefited from the problems that have arisen in the Bitcoin network. Recall that recently the size of the commission for mining a block in the Bitcoin network for the first time since 2017 exceeded the main reward for cryptocurrency mining. The main reason for the increase in the cost of bitcoin transfers is the increased interest of market participants in the Ordinals protocol. With it, you can create NFTs within the BTC network.
Alternative versions of what is happening do not exclude the growth of commissions in the Bitcoin network due to a DoS attack. Be that as it may, the sharp rise in the cost of transfers in the BTC network prompted some traders to switch their attention to cheaper and faster alternatives for conducting transactions, and this supported the “little brother” of bitcoin, the Litecoin project.
Litecoin breaks records
According to BitInfoCharts, on May 9, the transaction rate on the Litecoin network soared to an all-time high of 576,000. Since the beginning of May, the number of intraday transactions on this blockchain has increased by 470%.
Litecoin and BTC transactions. Source: BitInfoCharts
Note that a similar surge of activity is occurring in the bitcoin network. Here, amid the hype around Ordinals and Memcoins, the daily transaction rate topped the 580,000 mark this week.
However, fees on the Litecoin network look much more attractive compared to BTC. According to BitInfoCharts, on May 9, the average transaction fee on the Litecoin network was only $0.003. Meanwhile, the average bitcoin fee was above $20 yesterday, ahead of Ethereum at $18.
Average transaction fees for LTC, BTC and ETH. Source: BitInfoCharts
Also on May 9, the Litecoin Foundation reported an increase in the rate of new addresses being created. According to the project team, it outperformed the bitcoin network:
Glassnode data shows that on May 9, the number of active addresses on the Litecoin network soared to 813,000, up 278% since the start of the month.
Source: bitcoinlinux.com
