Litecoin.... Is It a Scam?

Today we are going to talk about one of the first alt coins I ever invested in almost about a year ago. The coin was called Litecoin, it caught my attention because it was one of the very first coins on a popular iPhone app called Coinbase. Coinbase allowed the United States population to buy virtual currency with USD. Today it is still the easiest way to start getting into cryptocurrency. All that is required is an United States drivers license for identification and a debit or credit card linked to a bank. Litecoin was added to Coinbase when it was trading at around $22. Within that same week it steadily raised to $46. This is when I decided to invest around $100 into the coin. I instantly regretted my decision and everyday the price dropped more and more. In another post I talked about HODL, Hold On for Dear Life, and that is exactly what I did. Finally over the next month it started to increase in price. It increased all the way to about $120. I thought I was untouchable, however, in a short amount of time after that it began to fall. Afraid to lose my money again I sold at $95. This will probably be one of the stupidest things I have ever done, not only in my investments, but in my life. The reason why??? A month after I sold the price started to increase again.... and again.... and again. Litecoin reached it's all time high of $360 in earlier December. I still lose sleep because this will forever haunt me.

The only reason I can rest, is because something that the creator of the coin Charlie Lee did that came off as a little sketchy to me. Being the owner of the coin, he held a lot of the coin in his personal wallet. This shows that he is personally and fully invested into this project. However, in December around the same time Litecoin reached it's all time high, he decided to sell and donated all of his holdings. He did it to prove a point. His didn't want people thinking he was making money for himself. He had this to say on twitter, “Whenever I tweet about Litecoin price or even just good or bad news, I get accused of doing it for personal benefit. Some people even think I short LTC! So in a sense, it is conflict of interest for me to hold LTC and tweet about it because I have so much influence. I have always refrained from buying/selling LTC before or after my major tweets, but this is something only I know. And there will always be a doubt on whether any of my actions were to further my own personal wealth above the success of Litecoin and crypto-currency in general,” Personally, if I am investing in a company, I want the owner to be fully invested. I found this to be very strange and to this day I still wonder if Charlie Lee is actually a good guy or just trying to make his quick dollar and run. Since this the coin had dropped to about $180, losing half it value since December.

According to Binance, Litecoin (LTC) is one of the oldest cryptocurrencies in existence after Bitcoin, having launched in October 2011. It was developed by Charlie Lee, who remains involved with the coin to this day. Litecoin is a fork of Bitcoin so shares many of the same characteristics but benefits from shorter block generation times of around 2.5 minutes, allowing transactions to clear faster. Litecoin also has lower transaction fees than Bitcoin and can be used as a digital currency on the web to pay for goods and services and to play at crypto casinos. The value of Litecoin has grown significantly, and the currency’s market cap now exceeds $2 billion. Part of Litecoin’s surge in popularity in 2017 has been attributed to the currency adopting a number of new features such as Segregated Witness and the Lightning Network, technology which allows the network to process more transactions.