With figures amounting to less than half, not many Bitcoin wallets have implemented the backward compatible upgrade, SegWit, even after two years of its official release. Just two weeks ago, Bitcoin’s transactions had soared to an all-time high with respect to SegWit, with 48.1% of all BTC payments leveraging the upgrade. Previously, the SegWit adoption rate had stalled, with only around 40% of all BTC transactions leveraging the upgrade between January 2018 and April 2019.
The latest data from the Block explorer site, Blockchair, exhibited a higher degree of Litecoin SegWit usage, over that of Bitcoin. While usage of the upgrade which was activated in April 2017 accounted for 55% of the total Litecoin transactions as of August 9, Bitcoin recorded a lower adoption rate with only 36%.
Source: Blockchair | Bitcoin
Source: Blockchair | Litecoin
After months of stagnant price movement, LTC appreciated significantly following the upgrade in April 2017, as depicted by BitInfoCharts below.
As Charlie Lee envisioned, SegWit managed to increase the “value proposition” of Litecoin, opening new avenues to many technological innovations on the network. This eventually led the way for Bitcoin to deploy SegWit a couple of months later.
Hiccups along the way
Looking into the brief history of the low rates of Segregated
Litecoin, modeled closely on Bitcoin, always enjoyed its position in terms of the developments on its network. Bitcoin, enjoying a great number of block miners, failed to acquire the initial support required to activate SegWit. While Litecoin needed 75% approval, Bitcoin’s SegWit activation threshold required a staggering 95% support from network miners.
The backward-compatible nature of the upgrade, otherwise known as a soft fork, enabled network participants to voluntarily opt for SegWit. Non-upgraded users can continue using their existing full node software without much hassle. Hence, big crypto platforms did not prioritize the switch to the soft fork upgrade, as they already had a huge customer base and did not mind paying high fees.
Transaction fees and SegWit adoption
The transaction fee for Bitcoin for the most part of 2018 and till early 2019 remained low. Correspondingly, SegWit adoption for the said time period also remained constant. Notably, a rise in transaction fees after April 2019 was occasioned by an increase in SegWit adoption, which subsequently hit an ATH in July.
A key takeaway from the above is that crypto-platforms prioritized SegWit implementation when high transaction fees were prevalent.
Litecoin (LTC/USD) forecast and analysis on January 18, 2020
Cryptocurrency Litecoin (LTC/USD) is trading at 58.40. Cryptocurrency quotes are trading below the moving average with a period of 55. This indicates a bullish trend on Litecoin. At the moment, cryptocurrency quotes are moving near the middle border of the Bollinger Bands indicator stripes.
Litecoin (LTC/USD) forecast and analysis on January 18, 2020
As part of the Litecoin course forecast, a test level of 56.80 is expected. Where should we expect an attempt to continue the growth of LTC/USD and the further development of the upward trend. The purpose of this movement is the area near the level of 66.20. The conservative Litecoin buying area is located near the lower border of the Bollinger Bands indicator strip at 52.30.
Cancellation of the option to
Litecoin (LTC/USD) forecast and analysis on January 18, 2020 implies a test level of 56.80. Further, growth is expected to continue to the area above the level of 66.20. The conservative buying area is located is near the area of 52.30. The cancellation of the cryptocurrency growth option will be the breakdown of the level of 51.00. In this case, we should expect continued fall.
New Partnership Between Litecoin & BlockFi To Benefit Both Parties
- A new partnership has just been revealed between the Litecoin Foundation and BlockFi to help push the awareness of BlockFi’s range of products.
- The new collaboration somewhat came out of the blue with the foundation citing that the two would be producing more and more options and liquidity opportunities.
A new partnership has just been revealed between the Litecoin Foundation and BlockFi to help push the awareness of BlockFi’s range of products that helps users on Litecoin with more options such as earning interest on and borrowing against their LTC.
The new collaboration somewhat came out of the blue with the foundation citing that the two would be producing more and more options and liquidity opportunities.
For those that don’t know, BlockFi is a cryptocurrency lending startup. As it says on its website, BlockFi “provides the wealth management products cryptoinvestors need, all powered by blockchain technology.”
Foundation Project Director, David Schwartz, has spoken on the project, saying
“By partnering with BlockFi, the Litecoin Foundation recognizes its positive contributions and the suite of products they provide customers. BlockFi provides our community, one of the most active in crypto, with even more quality choices of where to place their digital assets.”
Zac Prince, the CEO and Founder of the lending firm also commented on the new partnership between the two companies, Prince said that this whole thing was a ‘win-win’ for both Litecoin and BlockFi.
“We’re excited to support Litecoin across BlockFi’s platform and welcome the Litecoin community to use our unique suite of products across earning interest, trading and collateralized loans – at the best rates in the market from a trusted service provider.”
It will be interesting to see how this situation plays out and how this collaboration works out for the two firms. For more news on this and other crypto updates, keep it with CryptoDaily!
Litecoin’s Lee describes how Ethereum foundation’s ETH selloff was different than his
The Ethereum Foundation is well-known for not only being the main house behind Ethereum‘s development but also for its lack of transparency; transparency in terms of its members and financial statements. Taking its non-transparent nature into consideration, the news of the Foundation selling massive amounts of assets during all-time high came across as a surprise to many, not only in the Etheruem community but other crypto-communities as well.
Towards the end of 2019, news broke that the Foundation sold Ether worth nearly $100 million, during the crypto-bull run season, on Vitalik Buterin‘s word. Interestingly, the revelation was made by Buterin after almost two years since the cryptocurrency hit an all-time high. In an interview with Eric Weinstein, Buterin had stated,
“I did get the Ethereum Foundation to sell 70,000 ETH like basically at the top and that’s doubled our runway now, so it was one good decision that had a lot of impact.”
This disclosure was immediately met with the community’s dissent, with some even comparing this incident with that of Charlie Lee’s Litecoin sell-off. The topic was recently discussed during the 33rd episode of Magical Crypto Friends, with Charlie Lee opining on EF’s move, and describing how it was different than his sell-off.
The creator of Litecoin stated that one of the differences was
“[…] the Ethereum Foundation, it’s not very transparent at all, right. As a foundation kind of centralized, where they pre-mined coins, they should be very transparent about how many coins they’re selling. At least, Ripple is pretty transparent about how many XRP they are dumping every month or every year.”
Subsequently, Riccardo Spagni also commented on the Foundation’s transparency, stating that even the Zcash Foundation or its Founders’ reward model was “better than Ethereum’s pre-mine model”. Fluffypony said,
“I mean, you know everything’s suboptimal but certainly like the ZCash crowd has, at least, tried to make some effort of transparency to their determinant to some instances.”
“It’s actually quite amazing how not transparent the Ethereum Foundation is. I don’t think like we know everyone that’s part of it and they don’t tell people anything about like their process or how their funds are allocated, how much money they have.”