#USCryptoWeek Litecoin (LTC) was built upon the Bitcoin (BTC) protocol, but it stands out due to several key distinctions. It uses a different hashing algorithm, Scrypt, unlike Bitcoin's SHA-256. This difference contributes to its significantly faster block transaction time of just 2.5 minutes, making it much quicker than Bitcoin's average of ten minutes.

This increased speed, coupled with extremely low transaction fees, makes Litecoin highly suitable for micro-transactions and point-of-sale payments. Additionally, Litecoin has a higher hard cap on its total coin supply. These intentional design choices were made to boost transaction efficiency and accessibility, positioning Litecoin as a complementary digital currency for everyday use, rather than a direct competitor to Bitcoin.