The improvement is the team’s response to the increasing transactional prices since the Litecoin token [LTC] has hiked in price. However, currently, the typical avg. processing (transaction) fee hovers around $0.05 USD. The LTC project is ready to update the new Protocol to v0.17, the team revealed via official Tweet. This update expects the network’s fees dramatically reduced, all the way down lower than all.
The amendment would bring the worth all the way down to $0.005 USD, a major reduction that puts fees at a similar levels as 2015. Distinction that to Bitcoin’s current processing fees, that hovers around $0.10 USD. Litecoin [LTC] is expected to becomes a way lot more viable alternative.
One of Litecoin’s elementary principles is to supply a lower processing price than Bitcoin [BTC]. Litecoin [LTC] creator Charlie Lee has analogized Bitcoin and Litecoin to gold and silver, a pair of varieties of digital currency that complement, instead of contend, with one another and noting how the user bases overlap.
Validation of user’s request to incorporate a transaction in an exceedingly block determines the fee rate — the more the data, the higher is the speed. As a lot more users are joining the network and tokens are more and more transferred between wallets, the fee rate increases.
Litecoin Core Lead Developer Adrian Gallagher views this improvement as preparation for the time once the market expands, saying:
“To encourage more adoption along with the usability of Litecoin, I think lowering the fees is one among the best things. We’re not even close to block limits and the block size on disk is pretty small [20GB] comparative to other altcoins. Technically people can already adjust their fees right now to the one above because of the more relaxed min relay/dust relay fee. I also don’t think it will be too much longer before this bear market is over [3–6 months] so it will lay down the foundation for a fee rate which we can grow into proactively rather then re-actively.”
Every cryptocurrency project makes the reduction of processing rates a prime priority — an aspect of scaling that’s of equal importance as transaction confirmation times. It’s an inevitable feature of the network as a result of it’s the first mechanism by that malicious behaviour is disincentivized.
Litecoin [LTC] has seasoned a comparative stability in 2018 and undergone many positive developments throughout this year. As simply last week, the Winklevoss twins-backed Gemini exchange listed Litecoin [LTC] after the approval from regulatory authorities.
However, the planned features that are on the project’s roadmap embody confidential transactions and Lightning Network integration. Both the options ought to drive adoption of the cryptocurrency, which might prime Litecoin [LTC] for what several say is going to be the bull market of 2019.