Litecoin Trading 101: A beginner’s step-by-step guide on how to trade Litecoin
I’m interested in DeFi, L1s, L2s, rollups, and cryptoeconomics and how these innovations shape the blockchain industry as a growing global product. 👉 Coin Bureau readers can enjoy an exclusive 40% off trading fees on OKX and up to $20k in bonuses by using the Coin Bureau Sign-up link. If you want to dive deeper into this digital asset’s history, use cases and technicals, you can learn more in our dedicated Litecoin 101 Guide. Skipping the middleman and mining Litecoin yourself takes considerable resources and significant upfront investment.
How do I start trading Litecoin?
Before choosing an exchange, inquire into its security features, user reviews, customer service reviews, and trading volume. The trading of Litecoin can be on a crypto exchange platform or through an online broker. Below is an example of how Litecoin trading occurs through both means. The next step is to create an account on the exchange by inputting all necessary details. After the authenticity of the submitted information is confirmed, you will be verified and are free to deposit and trade LTC.
Where to Buy Litecoin: Comparing Exchanges
As a result of this mining-specific dissimilarity, the Bitcoin network consumes much more energy than Litecoin. Also, the max supply cap of litecoin is easy way to buy litecoin in usa, easy way buy bitcoin four times that of bitcoin’s. Litecoin has carved out its niche and appeals to diverse investment strategies and crypto users in the dynamic world of digital currencies. Kraken also offers Bitcoin pairs for Canadian Dollars, British Pounds, and Japanese Yen. So users of these currencies can get into Litecoin by purchasing Bitcoin, and then trade for LTC on the same platform. Once the user purchases the virtual currency, he can send it 1to his wallet after paying a small withdrawal fee.
Buying Litecoin on Centralized Exchanges
Go to the “My Account” tab and follow the instructions in the “Verify your identity” section. Once the verification process is completed, full trading and transfer capabilities will be enabled for your account. As its adoption continues to grow globally, it becomes an essential addition to any investment portfolio seeking future-proof assets. After you buy Litecoin the most important thing you can do is store it safely. Exchanges are prone to get hacked and many people have had their crypto stolen. To clarify this happens even on regulated exchanges like the ones we recommend above.
How to buy LTC
These platforms are well-known for their security features and ease of use. In line with the Trust Project guidelines, the educational content on this website is offered in good faith and for general information purposes only. BeInCrypto prioritizes providing high-quality information, taking the time to research and create informative content for readers. While partners may reward the company with commissions for placements in articles, these commissions do not influence the unbiased, honest, and helpful content creation process.
Litecoin uses similar technology to Bitcoin but differs in a few key ways, such as its hashing algorithm and block generation time. The article emphasizes the importance of understanding the tax implications of buying Litecoin. It provides general tax considerations for cryptocurrencies, including capital gains tax, income tax, and gift or inheritance tax. Buy LTC and other select cryptocurrencies quickly and easily using your credit card, bank account, or payment app.
- Litecoin remains one of the most affordable and reliable investment options for beginners and first-time traders.
- Before choosing an exchange, inquire into its security features, user reviews, customer service reviews, and trading volume.
- By clicking on a phishing link, you have granted access to your wallet and private keys to a hacker.
- Additionally, consider the level of customer support and the platform’s reputation in the crypto community.
You’ll need your identity papers and access to a webcam for this process to work. You’ll need to follow on-screen instructions in order to set up a basic account. This part is unavoidable — it’ll be the same regardless of which exchange you use.
- In the U.S., investors can buy Litecoin through centralized exchanges like Coinbase, Binance US, and OKX, which offer a secure and regulated platform for trading.
- Always withdraw all Litecoin from your exchange immediately to an offline wallet – this can be a hardware-based wallet (like the Trezor).
- This could hinder adoption and negatively impact price action in the long term.
- Compare today’s price of Litecoin ($114.04 USD) against its all-time high (ATH) price of $410.26 USD on May 10, 2021.
Limit orders give traders more control and help manage and mitigate losses. However, it requires expertise, patience, and a thorough understanding of the cryptocurrency market. A sell limit order allows for the automatic sale of LTC when the price reaches or rises above the set price.
It makes it very handy to use cards because they are great for usability. The maker and taker fees are much lower than using a regular crypto exchange area. Hence this is why if you use a trading platform to buy Litecoin that you do some research. We will go through all the different methods you can buy Litecoin first.