The last few hours have been very successful for Litecoin (LTC) cryptocurrency. At the moment, the price of LTC is $ 37.99, showing a significant increase of 13.54%. LTC also supplanted EOS and took the 4th place in the Coinmarketcap rating. Now approximately $ 79 million in market capitalization is shared by these two digital assets.
Why does LTC show such impressive results? There are 2 reasons for this:
First, let's start with the fact that the event “Litecoin halving event”, which will take place on August 8, 2019, should halve the reward for mining. Instead of getting 25 LTC for each mined block, Litecoin miners will get 12.5 LTC. This event should occur every 840,000 blocks on the Litecoin network.
Reducing mining rewards usually creates a sense of scarcity around any digital asset. The hype usually leads to a significant increase in the digital asset on the days that precede the event. In the case of Litecoin, there are exactly 180 more days before the next blockchain cut.
Secondly, in the past few days, Charlie Lee announced the addition of “Confidential Transactions”. As a result, the Litecoin Foundation and Beam Privacy announced a collaboration that will be aimed at implementing the Mimblewimble protocol on the Litecoin network.
The latest technology is named after the famous spell from the Harry Potter books, which does not allow people to reveal secrets. In confidential transactions, Mimblewimble hides the amount of the transaction being sent.
Such a peculiarity of confidential payments sent to the public register will certainly cause some excitement in the market, so with the successful implementation of Mimblewimble, the potential of LTC will simply be unlimited.
What do you think of LTC showing such impressive results in a short period of time?
