The block reward that miners get for confirming transactions on the blockchain is cut in half. This is called "halving" in crypto. By following this process, a miner will start getting 50% fewer coins for every block they mine. This system was set up to slow down the rate of growth for the crypto asset and make it scarce, which can make it more valuable over time.
It gets harder and more expensive to mine new coins as the block payment goes down. This means that fewer new coins are released into the market. In many cryptocurrencies, like Bitcoin, Litecoin, Bitcoin Cash, and Bitcoin SV, this is a very important step.
When Bitcoin first came out, the block prize was 50 BTC. But after the first halving event, the block prize went down to 25 BTC. After the second event of halving, the block prize went down to 12.5 BTC. This will likely keep happening until the 21 million available bitcoins are all used up. In this article, we will discuss "when is litecoin halving".
What Is Litecoin Halving?
Litecoin doubling is a regular occurrence on the Litecoin network that takes place about every four years. This event is built into the Litecoin protocol and has big effects on the amount of cryptocurrency in circulation and the awards that miners get.
The amount of LTC mined per block is cut in half during Litecoin's splitting. If miners can correctly verify transactions, they will get half as much money as before. By lowering block awards, the inflation rate of Litecoin will be slowed down and a sense of scarcity will be created, similar to how gold works.
Litecoin Halving Price History
About every four years, Litecoin will be split in half, and this will continue until the block prize is less than 1/100 millionth of a Litecoin. Like with Bitcoin, this will happen after the 33rd split in half.
So far, there have only been three halvings. Let's look more closely at past dates for splitting cryptocurrencies and how the price of LTC changed around these times.
Pre-Halving Period
Charlie Lee, who used to work at Google, made Litecoin. Lee says that Litecoin wasn't made to compete with Bitcoin. Instead, it was made to be used for smaller transfers. It all began on October 13, 2011, when the Litecoin network went live.
There was a big increase in the value of Litecoin in November 2013, and its market cap went over $1 billion. After that, though, its price kept going down until May 2015.
Litecoin Halving 2015
The first time Litecoin was cut in half was on August 25, 2015. Since the end of May, even before the event, the price has been going up. But after hitting its highest point on July 10, it started to drop down to where it started.
The fall stopped after the event that cut it in half. On the other hand, Litecoin didn't grow until May 2017, when the whole cryptocurrency market went up sharply.
Also, in May 2017, the SegWit protocol was added to the Litecoin network, which is likely what made its price go up. The most Litecoin ever bought was $357 on December 18, 2017.
Litecoin Halving 2016-2018
During these times, there were no LTC block splits.
Litecoin Halving 2019
The second Litecoin split in half took place on August 5, 2019. The trend that had been going up for six months turned down to $146.95 on June 22, 2019.
A lot of people thought that half of cryptocurrencies would make the price go up, but that didn't happen. The price kept going down after it was cut in half.
Litecoin Halving 2020
In 2020, LTC blocks were not cut in half.
Litecoin Halving 2023
On August 2, 2023, Litecoin's value was cut in half for the last time. The block validation reward dropped to 6.25 LTC because of this coin-halving event. The price of LTC right now is around $70.
Historically, when crypto dates have been halved, the price of LTC has temporarily gone up and then stayed the same for a while. The current event of halving blocks might follow a similar trend, with prices going up and then leveling off.
But it's important to keep in mind that events that happened in the past don't mean that the same thing will happen now.
When Is The Next Litecoin Halving?
It is set up so that Litecoin halves happen every four years, or after every 840,000 blocks have been created. The next Litecoin halving is planned for August 2, 2023, at block 2,520,000. It is a very exciting event. It is important to keep in mind that the exact date might change a little if the network's hash rate changes in ways that can't be predicted.
With each halving event, the block payment goes down, which means that fewer new Litecoins are coming onto the market. This process based on scarcity could affect the price of Litecoin. In the past, price increases were common after halvings.
Still, market conditions and investor opinion, among other things, have a big impact on how the price of the cryptocurrency changes around the upcoming halving event.
For Litecoin, the halving plan is set in stone, and it will become harder to get new Litecoins right after the 2023 event. As of this writing, 73.33 million of the 84 million Litecoins that have been created have already been mined. This is about 85% of the total amount. The last 15% will be given out at a slower and slower rate over the next few decades.
The wider crypto community and experts pay close attention to how halving events affect price changes. In the past, big price increases have happened after Litecoin's value was cut in half. Many people think that the drop in block awards could have a similar effect on LTC's price this cycle. However, past performance isn't always a good indicator of future performance.
Investors who want to make smart choices look at several factors, such as market conditions, mood, and how the halving will affect supply and demand, to guess what might happen with prices. But it's important to keep in mind that it can be hard to accurately predict how prices will move because there are so many things that can affect them.
How Does Litecoin Halving Work?
Now that you understand the main ideas behind Litecoin halving, we can get a little more detailed and look into the event in question.
The first time LTC was cut in half was in 2015, making it a historical event. The Litecoin network has had halvings about every 4 years since it was first created. See the table below for more information:
Place Table
First, some simple math shows that the dates of Litecoin's halves depend on when 840,000 blocks have been mined. Since the average block time is 2.5 minutes, this is equal to about 4 years. That much, we already know.
In the beginning, when LTC was first released, each block prize was 25 LTC. When it comes to this, Litecoin is very similar to Bitcoin. The same thing happened with Bitcoin. Bitcoin also began with a 50 BTC block prize and has an event called "halving" every 4 years.
To go back to LTC, this cryptocurrency is likely to be cut in half for the last time around the year 2142. By then, the Litecoin rewards for mining a block will be very small. It is also thought that this is when LTC will hit its highest block height.
What Is The Impact Of Litecoin Halving On The Litecoin Network?
Litecoin halving could have several effects on the network. The first effect is on the people who work in mines. When the block payment goes down, it becomes less profitable to mine Litecoins. This could cause fewer miners to join the network, which could slow down the process of adding new blocks to the blockchain.
But when the number of miners goes down, the network's total computing power may also go down. This can make the network more open to threats because it's easier for one miner or a small group of miners to take over.
The price of Litecoin is another thing that could change because of Litecoin halving. In theory, the value of Litecoin should go up since the rate at which new coins are added to the network is going down. This is because there are only so many Litecoins to go around, but people may want them more and more.
There isn't always a clear link between Litecoin Halving and the price of Litecoin, though. Litecoin's price is affected by several things, such as how the market feels, how many people use it, and how much competition there is from other cryptocurrencies. Because of this, it is hard to say what effect Litecoin Halving will have on the price of Litecoin.
Litecoin Halving Future Outlook
Crypto buyers and fans will be paying close attention to the latest Litecoin halving event. They are going to keep a close eye on the crypto market to see how the split event has changed the prices of different cryptocurrencies, especially LTC.
But because Bitcoin is so popular, Litecoin's halving event won't have as big of an effect on the crypto business as Bitcoin's. The earlier Litecoin halvings resulted in significant price jumps, but those jumps weren't solely attributable to the halvings. The upcoming split of LTC could change its value, and the smaller supply will make it an even better crypto investment.
Frequently Asked Questions
Will Litecoin Go Up After Halving?
Litecoin's price after halving may increase due to decreased supply, but it's influenced by market dynamics.
Is Litecoin Halving Good Or Bad?
Litecoin's price after halving may increase due to decreased supply, but it's influenced by market dynamics.
What Is The Price Prediction For LTC Halving 2023?
Price predictions for LTC halving in 2023 vary widely and are subject to market speculation.
When Was LTC Last Halving?
Litecoin's last halving occurred on August 5, 2019.
Conclusion
I hope that you have understood when is litecoin halving. Litecoin’s halving event was something that a lot of investors were watching out for, primarily because LTC is known as the silver to Bitcoin’s gold and also because Bitcoin’s halving event is expected to come about sometime in May 2024.
As the days go by, it is yet to be seen how LTC price ends up performing in the future with its history of long-term dips in Litecoin price after the halving event.