Difference Between Ripple and Litecoin
Both the Ripple and the Litecoin are the cryptocurrency where ripple was established in the year 2012 for-profit organization with the main motive of facilitating the payments in the financial institutions and large corporation whereas Litecoin was established in the year 2011 with the main motive of facilitating peer-to-peer along with the daily transactions.
Both Litecoin and Ripple are making huge waves in the cryptocurrency market. There are similarities between them because both of them look at making the transaction simple, secure and at low cost. Every now and then a new cryptocurrency emerges and this competition between them helps them to grow faster, implement new technologies. As a result, the cryptocurrency space is a more secure place to do transactions.
- Ripple was created with the intention of making cross-border transactions secure, cheaper and deliver it at a faster rate. While ripple started growing, it started attracting a lot of big corporations and financial institutions like banks.
It has become very popular that some big multinational corporations are seriously thinking about using ripple for their cross-border transactions. Later on, Ripple started concentrating more on the big picture that is making transactions for the big financial institutions and large corporations. This made Ripple leave the individual transactions behind.
- Litecoin is an open-source system that is run on the Scrypt algorithm. It is also useful for transactions. Litecoin was created for the same purpose as that of Ripple. But Litecoin has more functions when we compare with Ripple. For example, Litecoin can be used for day to day transactions and the transactions can also be done on a peer-to-peer basis.
Both the cryptocurrencies are very similar to each other. In fact, the competition between them makes each other stronger as Ripple or Litecoin try to increase the market share of each other. There has also been a lot of voting taking place on which is better? Ripple or Litecoin?
People seem to be having a different opinion on these two cryptocurrencies and choose either one of them for various reasons. Either way, these cryptocurrencies are going to be there for a long haul. They also have the potential to make it big in the crypto world.
Ripple vs Litecoin Infographics
Key Differences Between Ripple and Litecoin
- One of the key differences is the number of functions each possesses. Ripple has a single function in mind and it has been constantly updated. This is to make sure that simple, safe and secure low-cost cross-border transaction is taking place in the best possible way. Litecoin was created with Bitcoin in mind and hence Litecoin has more functions.
- Ripple attracts large corporations and financial institutions by providing them with a fast and safe method of the cross-border transaction at a low cost. On the other hand, Litecoin attracts more peer-to-peer transactions along with daily transactions.
- Ripple is currently placed at the 3rd place in the overall cryptocurrency rankings. Litecoin is not very far behind and it is currently placed at the 5th position in the overall rankings.
- Overall process and maintenance of Ripple are minimal as it doesn’t have to rely on more than one function. On the other hand, Litecoin has to run many processes and individual transactions from peers-to-peers take a lot of effort to maintain them and carry out the process swiftly.
|Basis for comparison||Ripple||Litecoin|
|Mainly Used||Mainly used as a mechanism that is used for cross-border transactions.||Mainly used for daily transactions.|
|Used By||For payment in large corporations and financial institutions.||For peer-to-peer cross-currently placed in the 5th border transactions.|
|Current Position||Currently placed in the 3rd position||Currently placed in the 5th position|
|Functions||Used only for a single function, which is a cross-border transaction||Used for more than one function that includes cross-border transactions and transactions from peer-to-peer on a daily basis.|
Both Ripple and Litecoin are very similar. It can also be said that these two cryptocurrencies are in perfect competitionPerfect CompetitionPerfect competition is a market in which there are a large number of buyers and sellers, all of whom initiate the buying and selling mechanism. Furthermore, no restrictions apply in such markets, and there is no direct competition. It is assumed that all of the sellers sell identical or homogenous products. with each other. Although Ripple might be in front of Litecoin at the moment, there are many people who are in favor of choosing Litecoin over Ripple.
With Ripple, there is limited growth potential as it is concentrating on only one function at the time being. But, if we take Litecoin into consideration there is unlimited potential for growth. Now that more and more people are slowly getting to know about cryptocurrencies and how they are useful to them. This is the best possible time for any cryptocurrency to make it count with their products. It is so that more people will use them and hence they gain in popularity and market share.
This has been a guide to Ripple vs Litecoin. Here we discuss the top differences between Ripple and Litecoin along with infographics and comparison table. You may also have a look at the following articles –