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How to Buy Litecoin in 2020: Buy, Sell & Trade

Widely regarded as one of Bitcoin’s most legitimate and worthwhile descendants, Litecoin addresses some of its forerunner’s issues and stands a solid chance of emerging as a genuine altcoin contender. 

Where to buy Litecoin

Read on to find out more about Litecoin and how it works or skip ahead to our step-by-step buyers guide if you’re up to speed and ready to invest. 

Coinmama
Key Features
Safe & Secure cryptocurrency exchange
Easy Intuitive interface
Impressive limits
Liquidity Accepted in over 200 countries
Min Deposit
$60
China
Key Features
Safe & Secure cryptocurrency exchange
Easy Intuitive interface
Impressive limits
Liquidity Accepted in over 200 countries
Top Coins
  • Bitcoin
Payment Methods
Debit Card
Coinmama is a bitcoin broker based in Israel. They specialize in selling bitcoins for credit card to nearly anyone in the world.
StormGain
Key Features
10% interest rate on all currencies
Trade on the most popular coins such as Bitcoin, Ethereum and Ripple
Get a VIP football package when you sign up
Min Deposit
$50
China
Key Features
10% interest rate on all currencies
Trade on the most popular coins such as Bitcoin, Ethereum and Ripple
Get a VIP football package when you sign up
Top Coins
  • Ethereum
  • Litecoin
  • Bitcoin Cash
  • Bitcoin
  • Dash
Payment Methods
Cryptocurrencies, Bank Transfer, Bank Wire, Credit Card, Wire Transfer
StormGain is a crypto trading platform for everyone. It’s an on-hand solution for those who want to profit from either the growth or drop of the cryptocurrency market and from long-term investments in crypto assets. Available on any gadget, StormGain allows you to start trading 11 different trading cryptocurrency futures contracts with up to 100x multiplier, or just buy and hold crypto.
Bitpanda
Key Features
Fully automated platform with instant transactions
A wide variety of payment options
Good for beginners
Min Deposit
$1
China
Key Features
Fully automated platform with instant transactions
A wide variety of payment options
Good for beginners
Top Coins
Payment Methods
Visa, Mastercard, Neteller, Skrill, Sofort, Giropay, EPS, Credit Card
BitPanda is a Bitcoin broker based in Austria. It offers a wide range of payment methods and has good prices.
eToro
Key Features
Invest in "real" Crypto on an award-winning Cryptocurrency platform
Invest in Bitcoin + 14 other Cryptocurrencies
Deposit using PayPal + 9 other deposit options
Min Deposit
$200
China
Key Features
Invest in "real" Crypto on an award-winning Cryptocurrency platform
Invest in Bitcoin + 14 other Cryptocurrencies
Deposit using PayPal + 9 other deposit options
Top Coins
  • Ripple
  • Litecoin
  • EOS
  • Ethereum Classic
  • Bitcoin Cash
Payment Methods
Credit Card, Debit Card, Wire Transfer, PayPal, Skrill, Neteller, Yandex, WebMoney, UnionPay, MoneyGram
eToro is a multi-asset investment platform with more than 2000 assets, including FX, stocks, Crypto, ETF’s, indices and commodities. eToro offers a wide range of cryptos, such as Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro users can connect with, learn from, and copy or get copied by other users.
eToro is a multi-asset platform which offers CFD and non CFD products. 66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
Coinbase
Key Features
Trusted provider
Online Wallet
2 Factor Authentication
Beginner friendly
Min Deposit
$1
China
Key Features
Trusted provider
Online Wallet
2 Factor Authentication
Beginner friendly
Top Coins
Payment Methods
Credit Card, Debit Card, Euro Bank Account, 3d Secure Credit Card
Coinbase is one of the first places that made it easy to buy bitcoin and has since become a widely trusted exchange in the market.

What is Litecoin?

To a large extent Litecoin is built in the image of Bitcoin, the original cryptocurrency

As is so often the case with expertly engineered tribute acts, it receives far less attention than the original, despite being demonstrably superior in a number of significant ways. While the creation and transfer of Litecoins is essentially identical to Bitcoin’s open source, decentralised protocol, it is actually far quicker and cheaper.

How does Litecoin work?

Created in 2011 by Charles Lee, former Engineering Director of Coinbase, Litecoin follows many of the Bitcoin’s precedents. In fact, it was developed as a fork of the Bitcoin core client and uses a blockchain to maintain a decentralised public ledger of transactions in much the same way. If you know Bitcoin, you know Litecoin.

Litecoin’s value can be inferred from its name – it was developed to deliver a lighter (read faster and cheaper) version of Bitcoin, an objective it achieves quite emphatically: 

  • Each Litecoin block is 4 times faster to confirm that a Bitcoin block (2.5 minutes compared to 10 minutes) 
  • Litecoin can process 56 transactions per second compared to Bitcoin’s maximum of just 7!
  • Litecoin’s script algorithm makes it far cheaper to mine than Bitcoin. 

How to buy Litecoin online – step-by-step guide

Step 1. Get a suitable wallet

We don’t recommend storing your Litecoin on an exchange for too long  – it’s always safer to use a hardware or software wallet. Happily, Litecoin’s relative ubiquity means there are plenty of compatible wallets to choose from, including:

  • Ledger Wallet: Ledger is a hardware wallet, which means you can store your Litecoin (along with 30 other currencies) offline on a super-secure wireless device. 
  • Exodus Wallet: A popular desktop wallet that supports a multitude of currencies, including Litecoin. With its slick interphase, Exodus offers an impressive balance of security and ease of use and, best of all, it’s free. 
  • Trezor T Wallet: The latest iteration of the acclaimed Trezor hardware wallet from SatoshiLabs. The Trezor T builds on the brand’s reputation for exceptional security with a wealth of additional functionality and a snazzy colour LED screen. 

Step 2. Find a Litecoin exchange

Some cryptocurrencies are hard to track down, not so Litecoin, which is popular enough to be available at most exchanges. Here’s our pick of the most dependable:

  • Coinmama: A well-established exchange with a solid reputation for trustworthiness, Coinmama is available in 188 countries and allows you to buy Litecoin securely using a credit or debit card. Convenience and security does come with fairly high transaction fees, however. 
  • Coinbase: The most popular crypto exchange on the internet, Coinbase enables the instant purchase of Litecoin via most Visa and MasterCard credit and debit cards, charging a standard fee of 3.99%  Coinbase now serves over 100 countries, including the UK.

Step 3. Withdraw your Litecoin

Secure your Litecoin by moving it out of the exchange and into your wallet as soon as possible. To withdraw your Litecoin to your wallet you simply need to generate an address then paste it the relevant field in your exchange account. 

How to trade Litecoin – step-by-step guide

Trading Litecoin might appeal if you don’t fancy the hassle of owning and storing the currency but do recognise its potential to return a profit. Trading is typically a short-term endeavour designed to exploit fluctuations in the market so you don’t necessarily have to worry about the long-term prospects of Litecoin.

Because Litecoin is a relatively well-established cryptocurrency it’s widely available to trade on popular trading platforms.

Step 1. Find a broker

There are plenty of cryptocurrency trading platforms to choose from, most of which offer Litecoin, so your first task is to choose one that suits your needs. Plus500 and eToro are two of the most popular Litecoin trading platforms. 

Step 2. Deposit money

Most trading platforms will allow you to deposit Fiat money (USD, GBP, EUR etc.). It’s worth noting that trading platforms offer leveraged trading, which means you don’t have to put down the full value of a trade. Instead you can pay a deposit, known as a ‘margin’. This means you can potentially make bigger profits and, of course, bigger losses.  

Step 3. Decide how you’d like to trade

There are two cryptocurrency trading methods: CFDs (contracts For difference) and Spread Betting. Both methods essentially entail speculating on the price movements of your chosen currency. If you aren’t sure which option to go for we recommend researching the differences between spreads and CFDs.

Step 4. Start trading 

If you’re a complete novice we recommend starting with a demo account and familiarising yourself with the process and the platform. Cryptocurrency trading is extremely volatile, which means you can make and lose money very quickly. Litecoin is prone to fluctuation, which makes it an intriguing prospect for traders who look to exploit volatility.

As a Litecoin trader you’re speculating on the currency’s price movements by taking a short (sell) or long (buy) position. If you think Litecoin will fall in value you should take a short position, if you think it will rise in value you should take a long position. 

Still undecided?

Pros of Litecoin
  • Litecoin is open source and therefore highly flexible, which stands it in good stead to respond to the market’s changing demands
  • Litecoin improves on Bitcoin in numerous ways – it’s faster, cheaper and more scalable
  • Litecoin has a higher limit of coins than Bitcoin (84 million to 21 million)
  • Volatility makes it an appealing prospect for day traders
Cons of Litecoin
  • Litecoin’s original USP – that it improves Bitcoin’s model in a variety of significant ways – may become less valuable now that Bitcoin has addressed scalability issues by adopting SegWit improvements
  • As a fork of Bitcoin, Litecoin lacks the novelty and innovation that make some altcoins so appealing

About the author

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Harry Atkins
Harry joined us in 2019 to lead our Editorial Team. Drawing on more than a decade writing, editing and managing high-profile content for blue chip companies, Harry’s considerable experience in the finance sector encompasses work for high street and investment banks, insurance companies and trading platforms.

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