Litecoin

General
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I’m not massively into the crypto markets personally but follow the news on them occasionally. I was going to buy into bitcoin last year and seriously regret not doing it … at the current price I’m not that keen on it. I’m not saying I don’t think it will go up further but for me the risk is too high for the amount that I’d be spending, when something is this high there’s much more room to lose money and the crypto markets have proven to be pretty volatile so that’s a very real possibility.

Litecoin is one of the original cryptos, it’s one of the only ones traded on coinbase along with bitcoin and ethereum (btw which is at $300ish and it’s an unlimited currency vs Litecoin/Bitcoin which has a coin cap … meaning they’re deflationary, over time the number of coins are going to go down as they’re forever lost unlike ethereum which is inflationary … which adds to me thinking Litecoin is currently undervalued).

Anyway Litecoin is like $60/coin, it’s a well established and traded coin and I think with the tech improvements planned and coming (Segwit/Lightning Network) and further adoption as a spendable coin while bitcoin is more of a hold due to transaction fees makes me think Litecoin is going to finally start seeing an uptick once the bitcoin price and hype stabilises and settles. I think people are going to look at other alt currency over bitcoin as it’s gotten so expensive, kind of like 1st edition base now and how I think the market is going to see an increase in other 1st edition sets because of the base rise and buyers looking for affordable alternate buys.

I like that Litecoin has great potential for gains if it does end up moving, like if I put $10k into bitcoin I’d get almost 2 coins. If the price doubled from $5kish/coin to $10k per coin I’d see a $10k gain. If I put the same amount into Litecoin I’d get about 165 coins, if the coins went from $60 to $200/coin which I believe is totally achievable that’d be over $20k gained and I think that’s a much more realistic scenario than bitcoin doubling up. If Litecoin went crazy and reached 1/5th of bitcoins current price and were worth $1k/coin then that $10k is now $165k. I think there’s more potential reward for buying into Litecoin, and if it totally fails then it’s only a $10k loss, I could live with that.

Curious if there’s anyone with experience in crypto and what their thoughts on the future of Litecoin are? The tech in the pipe and the easy adoption because of the bitcoin similarity compared to other cryptos seem good for Litecoin long term.

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I don’t know a lot about any crypto currencies, but one thing I always wondered because there seems to be a lot of different ones out there, what keeps them valuable? If different companies can make different crypto currencies and they aren’t backed by anything tangible right?
A few years ago I was really thinking about buying into bitcoin, but I couldn’t really see what would keep them from being 100% worthless.

Also, if I did decide to buy into lite coin, what is the best way to buy some?

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Interesting thread. Keen to hear some more replies. I’ve always wanted to invest in things like this but don’t have the knowledge or experience to take the plunge.

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Hey guys, I dont usually respond to threads since I am not that knowledgeable about pokemon related stuff but I know a few things about cryptocurrency. First of all the interesting aspect about crypto is not that you can use it as money( a lot of People in countries who have hyperinflation invest in bitcoin and Will continue to do so) or that you can buy stuff on the black market. The interesting fact is the technology ie. Blockchain that can and Will revolutionize the way we store and watch data. It can make transactions in minuts( stock transfers, bank transfers take days)it doesnt need someone like a broker or a bank employee to check info and so you dont pay fees. Not a single person that has to middleman) I am only talking about FIAT transactions now, it Will extend to a lot more like booking a flight… . I can go much more in detail but I tried to explain it as simple as Possible so People can understand why there are so Many People involved into the crypto World and that this is only the beginning.

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I am in BTC/LTC/ETH. BCH as well as that was free from the fork. Much smaller positions than I wish as I have known about and talked about BTC with friends some since college ~2011 timeframe. I got in to BTC a few years ago with about $50 and wish I had gotten in more heavily. I also wish I hadn’t found nitrogensports and gambled away half my bitcoin at the time. I still have a decent bit and infused a bit more fiat into crypto back in Feb of this year. It was a great time to buy as I think BTC was around $900 or so at the time, $30 LTC in June I bought for myself and a friend as a wedding gift.

I also GPU mine ETH as my electricity is cheap and it was a fun little hobby to build the rig. It makes about $100/month currently and was about a $1,500 investment which is a pretty solid ROI. With price and difficulty fluctuations though there is no guarantee ROI will ever be made, but I have already made back about 30% of my up front cost. In the winter the electricity draw can actually be written off as it is essentially just an electric heater and though small it would have an effect of saving some natural gas usage.

I think long term prospects are good. BTC especially as that is essentially the base set 1st edition of cryptos. As someone above asked they basically are worth something because people believe they are and have faith in it. It is not controlled by or manipulated by anyone as fiat can be. Fiat has the same thing where it is only worth something because our gov’t says it is and we have (some) faith in them to not devalue it and to allow us to pay our taxes etc. in it.

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I do believe a lot of People speculate in the cryptomarket and they see the Numbers and go crazy(atm you can quite easily double Your money monthly if you know what you are doing). I do think if you want to get into cryptocurrency you have to understand the underlying technology and do a lot of research. For Every person that wins a ton of money theres another one that loses. ITS highly volatile and if you dont have patience or have no faith in a coin you bought you Will lose a lot. Bitcoin Is ofcourse the flagship of cryptos but I wouldnt take it for granted that bitcoin Will stay the king of crypto. ITS all about how the masses will experience cryptocurrency and blockchain as a whole(like the rise of the internet)

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That’s a good question, ultimately the market itself keeps them valuable … what keeps a 1st edition base charizard valuable? The market does through the price people are willing to pay for it. After all it’s just cardboard and any company can print their own games, they’re not backed by anything tangible … the value of pokemon cards is determined by us and how much we’ll pay for them.

How do people determine the value of a crypto and what makes them want to pay more for one over another then? Similar to stocks and other investments the value is derived from future expectations. Some factors people evaluate when determining their own expectations are things like the current price, eg. I think Litecoin is underpriced, I believe it’s going to cause people to consider buying it (eg. people like me) as it’s an established and secure coin and that increased demand will increase the ask (minimum sell price) which will in turn increase the coin price. Another factor is …

Adoption. A coin will end up useless if it’s not being adopted and given ways to use it, eg. you can buy things on overstock.com with litecoin, it’s being traded on coinbase along with bitcoin and ethereum, there are 200+ litecoin ATMs deployed with more in the works. If people have a way to use their crypto and see companies investing in it’s future it’s going to make people want it more than other cryptos and push up the price.

A similar point to adoption is the coin utility, most of this is the same across cryptos though … basically the ability to transfer money across borders without a financial institution or government being involved, no fees and within minutes. eg. The $50k 1st edition base booster box, I’m in Australia and if I bought that myself and the seller accepted a form of crypto I could fly over to the US and transfer $50k in crypto in person within minutes. No worrying about fees, being limited to bringing $X cash into a country, fund transfer and clearing delays, paypal holding funds etc. It would be verified and done right there and the seller could turn that crypto back into cash through their preferred exchange at their leisure.

I should clarify in regard to fees … without getting technical on how fees work, there are some depending on the crypto but it’s nothing compared to bank/paypal etc transfer fees. Litecoin fees are tiny eg. sending $100 costs 1c … bitcoin fees are higher (about $4-5 iirc) which means it’s not economical to use bitcoin as a payment method for microtransactions like coffee etc while litecoin is perfect for it. This is deliberate in regards to bitcoin fees though, it’s considered crypto gold and the fees prevent it being spent freely and instead held as an investment or capital dump like one would with actual gold.

Last major factor determining crypto worth is the tech itself and developers, basically where is it going in future and who’s at the helm? Sure I could technically go and create my own crypto, but if it’s just a clone of another crypto without any difference or innovation it’s not likely to be adopted by anyone for anything, so it’s probably going to be my own useless monopoly money. When you evaluate crypto to determine value you want to see what it’s future is going to be like, just with any company you’re buying stocks in you don’t want to put money into something that will fail and lose your investment. In the case of litecoin the future looks good, the SegWit activation this year triggered the growth from $5/coin to $60/coin and enables a host of other possibilities (read about it here then go research further if you’re interested it’s too much to explain and this post is turning into an essay!).

Anyway that’s a pretty high level summary and I’m no expert, always best to do your own research and come to your own conclusions based on your evaluations of the information you discover :blush:

Probably the easiest way is use an exchange like coinbase, that’s what I’d use and withdraw to a wallet (I’d be using a paper one, read about wallets, pros and cons). I wouldn’t store them on coinbase unless you use the vault and multisig … if you don’t have the private keys you don’t really have the coins.

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@gottaketchumall any reason why you went with GPU mining over ASIC? Just the initial cost? I’ve done some GPU mining but been thinking about getting an Antminer, the new ones are pretty pricey but you can get S5s for a couple of hundred now minus power supply.

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@pierce it was mainly the low barrier to entry. $1500 build and it was making me a few bucks a day when I first got going. Looking at whatttomine.com it still is in that same range today but has had many fluctuations.

I have also been looking at used antminers as well and may end up pulling the trigger before too long. Winter is coming so the electricity cost can be essentially negated since it will be heating the house. :blush:

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Looks like anyone that took your advice would have done well. 1 is worth nearly 250 dollars at the moment.

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Uggh, don’t remind me. I was going to drop 5k on them hoping to hit the 160 mark earlier today, but I’ve been waiting for a bank transfer that completely screwed me over. Ironic because the lack of delays is one of the advantages of cryptos.

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I bought 100 at $50ea so I’m pretty happy, I’m in for the long haul though I don’t plan on selling out. The signs were there for an increase, especially with bitcoins bullish run the past month, the btc/etch network congestion, coinbase being the #1 app on the App Store, along with everything I mentioned earlier. I actually bought a few grand more @ $200, the tech has some great updates planned and if more companies start accepting litecoin it’s gonna be great.

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I know how you feel, I had to transfer some cash to buy my latest lot … two business days later and it was at 200 from 140 :slightly_frowning_face: I’d still buy in at 250, I feel like $1k is realistic by the end of next year.

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Omgomgomgomg. I only started with $100 but damn!

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The problem is that these are suppose to be used for currency…but no one is going to buy anything they are just hoarding it. So it won’t be used as it rises because the people who own the cryptos would rather pay with fiat and let their investment grow. On the flip side, if it starts to plummet, no seller will want to accept it as the fees are high, still relatively illiquid, and won’t want to accept something that is falling in value. So it’s just a speculation machine right now for people who want to collect it and say they own it…kind of like Pokemon cards.

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I had invested some money few weeks back into bitcoins and didn’t get into Litecoin and Ether sadly. I am still a noob at crypto stuff but one thing I noticed is that price fluctuations are crazy! @pierce or any other crypto currency experts here, if you dont mind, could you explain, what the science behind the huge fluctuations in price are?

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Just a heads up… it’s very easy to say “I wish I had bought bitcoin/whatever coin X years ago, it would be worth so much money today!” The reality is you most likely would’ve sold it years ago. I bought bitcoin in early 2013 at around $11 each and sold them all in 2015 at around $400 each. The only reason I waited so long is because I had assumed they were still were the same price so didn’t bother to check on my wallet + bitcoin wasn’t constantly in the news so it was easy to forget they were worth that much. Many people sold as soon as they doubled later in 2013 at $25 each or so and considered themselves lucky. No one expected these astronomical prices.

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FOMO = Fear Of Missing Out

That is the primary driver behind a lot of these recent surges. I am bullish long term on a lot of these but I just don’t think these gains are sustainable right now. I know too many people who have bought $10k+ BTC and and buying into $300+ LTC today as well as $500 + ETH. Only go for it with money you are ready and able to potentially lose a substantial portion of.

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[brp]

!Remindme 5 years. Pierce will be a ltc millionaire as LTC crosses ~$9k.

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FOMO! That totally makes sense. Well summarized, I should have thought about that too. Thanks!

Yeah ATM i dont have money to take those risk. If the two other coins come down a bit in the near future perhaps I might. Most markets tend to have a correction ( Stock Market etc. ), I am assuming that would be true with these 3 major coins to once the hype goes down a bit?