Wednesday, September 28, 2022

BW Pool Says Litecoin a ‘Trailblazer’ and May Attract More Users

BW Pool Says Litecoin a ‘Trailblazer’ and May Attract More Users

Litecoin is back in the headlines. To industry veterans this might seem nostalgic, almost retro. However recent signs it could adopt SegWit before Bitcoin via the BW mining pool have boosted its price, and propelled the “silver” cryptocurrency back into public imagination.

Also read: Litecoin Rises 15% on Strong SegWit Signal

SegWit proponents, including Litecoin creator Charlie Lee, consider it to be superior technology. Lee wrote earlier this year that Lightning Networks and speed are SegWit’s main benefit, more than block size efficiency.

You can probably see where this is going. If Lee is correct, and the LTC price rises due to confidence in SegWit and Lightning Networks, it may actually compete with Bitcoin for attention and investment.

BW Signaling Shows Support for SegWit – on Litecoin

BW pool showed some of this confidence by mining SegWit-signaling Litecoin blocks. Bitsonline spoke to Virgilio Lizardo Jr., vice president of international affairs at BW’s parent company Bitbank.

Litecoin is a secure and valuable blockchain that stands on its own merits, he said. It’s always been popular in China, and could be a leader or test-lab for Bitcoin features.

“Of course there are similarities between LTC and BTC, but as one of the oldest and time-tested blockchains LTC has developed its own dedicated community and development team who are committed to its success. In China LTC also has a strong following in the mining industry, we at BW have invested in the development of LTC mining equipment, a mining pool and maintain one of the largest LTC mining facilities in the world.”

BW will continue to support the LTC network and community. The company sees a bright future for LTC as a trailblazer in the still evolving history of cryptocurrency, Lizardo added.

‘Environment of Hostility and Misinformation’

Virgilio Lizardo Jr.
Virgilio Lizardo Jr.

Some have questioned, then, why BW took so long to offer its support to SegWit for Litecoin. This conservative approach, Lizardo said, was in part due to the current “environment of hostility and misinformation in our community” which makes communication and collaboration extremely challenging.

“Though the allure of making decisions and proclamations based on speculation is currently at a fever pitch, BW is committed to maintaining a professional posture as a responsibility to our clients and the integrity of the community.”

Bitcoin (and by extension other cryptocurrencies) solve real world problems for people around the world, Lizardo said. If the public sees Litecoin as offering a better solution to those problems, it will attract more users.

However this doesn’t mean BW thinks SegWit signaling is best for Bitcoin. Bitcoin, he said, is a different situation with different considerations and calculations to be made.

Price and Interest Both Remain High

Litecoin’s price has soared since the beginning of April, reaching over $12 USD according to BW attributes this to interest in SegWit.

Chart source:

“The amount of interest in the activation of Segwit on LTC is incredibly high. Its undeniable that a positive outcome will lead to continued growth in price and interest of LTC.”

BW pool’s reason for signaling SegWit on LTC came after review from its engineers, and communication with customers/community and the LTC development team. Lizardo said BW felt it was the best decision to contribute to Litecoin’s continuing growth and innovation.

Bitbank continues to invest in Litecoin research and Scrypt mining hardware, as this video shows. Ultimately, however, the market will decide which features work best in practical situations.

The Bitbank Group of companies controls Bitbank itself, as well as BW mining operations and the exchange Chbtc.

Is Litecoin a useful test lab for Bitcoin, or does it stand on its own merits? Let us know in the comments.

Disclaimer: the author of this article does not currently hold or trade litecoin.

Images via Bitbank, BW, Coincap

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