Litecoin (LTC) is a peer-to-peer cryptocurrency created by Charlie Lee, a former Google engineer, in October 2011. It is often considered the silver to Bitcoin's gold due to its similarities and shared origin from Bitcoin's codebase, but with several distinct differences aimed at improving upon Bitcoin's shortcomings.

The Litecoin blockchain operates on an open-source, decentralized network, facilitating secure and transparent transactions. One of its primary enhancements over Bitcoin is a faster block generation time of 2.5 minutes, compared to Bitcoin's 10 minutes. This allows for quicker transaction confirmations, making Litecoin more suitable for smaller, everyday transactions.

Litecoin also employs a different hashing algorithm called Scrypt. Unlike Bitcoin's SHA-256 algorithm, Scrypt is more memory-intensive, which initially made it more resistant to the specialized mining hardware (ASICs) that dominate Bitcoin mining. This was intended to democratize mining by allowing more individuals to participate using consumer-grade hardware, although ASICs for Scrypt have since been developed.

The Litecoin blockchain supports a higher maximum supply of 84 million coins, four times that of Bitcoin's 21 million. This larger supply aims to ensure greater liquidity and broader accessibility. Additionally, Litecoin has implemented various technological innovations such as Segregated Witness (SegWit) and the Lightning Network, which enhance its scalability and transaction speed.

Overall, Litecoin serves as a practical and efficient alternative to Bitcoin, offering faster transaction times and lower fees. Its ongoing development and active community continue to drive its adoption and integration into the broader cryptocurrency ecosystem.