It is almost time for the next Litecoin halving. This may have a major impact on the price of this cryptocurrency and those who plan on trading this coin, definitely needs to consider this into their plans.
This short article covers the Litecoin halvening and gives you as reader a brief understanding thereof.
What do we mean when we refer to a coin undergoing halving
Halvening is a pretty simple term used in the cryptocurrency space. It basically means that the mining reward that is paid out to miners after they had successfully mined a transaction block is halved. For example, currently from the time of writing this article (2019/07/04), the block reward for Litecoin is 25 Litecoins. Thus, after halvening occurs, the block reward will be reduced to 12.5 coins per block. For Litecoin specifically, this is said to happen every 4 years and the next halving of the Litecoin network is anticipated to take place on August 5th, 2019.
The reason for halvening is to limit the total supply of coins ever to be in existence.
What is Litecoin Halving?
Litecoin halving is the event where the number of generated Litecoin rewards per block will be halved (divided by 2).
The total number of Litecoin mined by miners per block will reduce from 25 to 12.5 LTC in the next Litecoin halving.
The number of litecoin found per block will become more scarce and this halving reward ensures that Litecoin total supply will reach 84 million.
When is the next Litecoin Halving?
Block #1,680,000 (estimated around Aug 7th, 2019)
When was the last Litecoin Halving?
Block #840,000 (August 25th, 2015)
(Litecoin block reward went from 50 LTC to 25 LTC)
What is the effect of Halvening on LitecoinHalvening in the crypto market can be seen as a very positive occurrence, as inflation slows down on the price of the coin, due to less coins being supplied to the market. This in turn leads to higher demands of the coin, making it more valuable.
ConclusionThe next Litecoin (LTC) will more then likely have a positive impact on the Litecoin (LTC) price. As not only will the scarity and rareness of LTC increase but the hype and attention around the halving will likely draw new investors to buy LTC, in turn rising prices.Halvings are an ingenius invention by no other than the infamous inventor of Bitcoin (BTC) Satoshi Nakamoto. It keeps the supply of cryptocurrencies such as Bitcoin, Litecoin and Dash fixed. Unlike Fiat currencies control by banks that can print unlimited supply of currency at any time, creating inflation.After reading this short article, you as reader hopefully have a better understanding on what the term halving means, know when the next Litecoin halvening is and how it will effect most people in the Litecoin space and in tern the price.If you would like to know more about Fundamentals of cryptocurrencies and how to trade them, we would suggest consulting with a trading mentor who can guide and teach you how to trade like a professional cryptocurrency trader. Simply book a FREE consultation now! Right now is the best time to learn to trade.
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