"Litecoin Halving Explained" - Understand what halving means

Cryptocurrency solves a fundamental problem for humanity. The issue is that fiat currency is issued by governments and governments are run by people and people don’t have perfect judgment.

Governments issue fiat currency and while the populace use the currency within their borders things that happen that make issuing more and more fiat a necessary evil. They need the fiat in circulation, but they don’t really have control where it goes or when it gets destroyed. So, they have to guess…

They retire or print more and they see what happens if the cost of goods increases or decreases. Ultimately, the people suffer because they experience inflation and they lose buying power.

But, what if there is a better way?

What if the amount of a currency in circulation is predictable? What if the currency had a finite quantity? It means that one unit is equal to another unit. A unit from 10 years ago is just as valuable as a unit created today.

Halving is the mechanism used by Litecoin to solve this problem!

There will only ever be 84 000 000 Litecoin and each Litecoin can be divided into 100,000,000 pieces (https://bit.ly/3LoClY8).

When a new Litecoin block is found, the miner is rewarded a bounty of 12.5 (Ł) Litecoin. But since there are a limited number of Litecoin, that amount of reward needs to be reduced. So every multiple of the block height (840,000) there is a halving. This will continue until around the year 2142 when the 84,000,000 th Litecoin will be found.

The next halving happens in 2023! The reward will be reduced to 6.25 (Ł) Litecoin.

Please do the best and start using Litecoin by getting and installing Litewallet! Write down and store your 12 words as they are the key to your Litecoin and please tell a friend!

About the Author:

Kerry got his first Bitcoin in 2016 working for a client wanting a new mobile app. Sadly, he had to pay bills with it. But he quickly found Litecoin and the Litecoin Foundation and has been a member since 2017. Working with Charlie Lee and discussing plans over pizza, he has grown the Litewallet brand and team with volunteers in 6 time zones and 5 countries.