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The EVM Layer 2 solution for Litecoin Scalability
The current trend for 2022 has been plagued with countless new releases of layer 2 networks, with seemingly no purpose. The general consensus during this bear market is that most chains and projects are born to die in a short lifespan, but one thing we haven’t seen is developers’ intentions to find new opportunities through time tested cryptocurrencies that have repeatedly survived bear markets, and increased their utility every year.
This is why our team is launching LiteChain, a layer 2 EVM network, allowing faster, cheaper and more scalable transactions with Litecoin, while giving developers the opportunity to create quality products for one of the most loyal communities in the cryptocurrency market.
WLTC will be the gas token on LiteChain, allowing you to interact with smart contracts by paying a small fee.
Along with the chain launch we are also bringing several services internally, making sure that the chain is covered by a complete suite of DeFi Applications from a trustworthy source.
While LTC is a solid asset for payments and relatively fast transactions, it does not have many other utilities past that. With a market moving more and more towards DeFi, dApps, NFT and GameFi, Litecoin is stuck in the past, missing out on potential market adoption. Without smart contract functionality, Litecoin is left out of this narrative.
Moreover, Litecoin uses the proof-of-work (PoW) Scrypt mining algorithm for validating transactions and creating new coins. While Scrypt is easier to mine than Bitcoin’s SHA-256, the PoW architecture remains difficult to scale for mass usage. In its current form, micro-transactions could easily create the kind of network congestion that would slow it down to a crawl.
Additionally, crypto mining is considered a notoriously wasteful process for validating blockchain transactions. Finally, it’s worth noting that Litecoin’s PoW protocol presents insurmountable challenges to implementing smart contracts. A PoW consensus mechanism simply can’t scale to meet mass demand for millions of simultaneous transactions, even if they merely fuel dApps. Even Ethereum has migrated to a more scalable PoS mechanism to alleviate this issue. Consequently, the most viable solution is to implement a complementary blockchain with a PoS token that prioritizes fast transactions and enables smart contract functionality.
LiteChain aims to improve the aforementioned issues by bringing LTC to the new world of Smart Contracts and DeFi applications, allowing more user freedom and earning opportunities for holders of one of the oldest cryptocurrencies. By wrapping their LTC in our smart contracts users can benefit in various ways:
- Lower Transaction Fees
- Joining Decentralized Exchanges where users can swap, create liquidity with their LTC
- Joining Farms, Staking Pools, Lending, Borrowing and Liquidity Mining
- Joining NFT Minting Events and trading NFTs
- Joining Launchpads for new projects
The goal is to transform an old cryptocurrency with limited usage to a fully fledged DeFi ecosystem.