Coinbase Confirmations Suggest Litecoin (LTC) More Vulnerable to 51% Attack
After the hashrate drop following the halving of the reward, Coinbase requires double the number of confirmations for LTC.
Litecoin (LTC) has diminished its status as a highly secure network, as the lowered hashrate following the reward halving is seen as a threat for double-spending. LTC was the only asset for which Coinbase increased the requisite number of confirmations from 3 to 6.
For Bitcoin (BTC), the requirement is for three confirmations, down from six previously, taking about 30 minutes. ZCash (ZEC) will now require just 12 instead of 18 confirmations.
Ethereum Classic (ETC) remains a problematic asset, as it has already suffered an attack with double spending. Still, Coinbase decreased the requirement from 5676 confirmations down to 3527. This still means a significant number of blocks must pass until a transaction is accepted as valid.
The Litecoin hashrate is at around 182 TH/s, down from a peak above 523 TH/s. This means there is enough L3 hashing power out there, pointed at other networks, which could be used to attack LTC.
The usage of LTC was to move funds between exchanges, as it was one of the cheapest networks. However, the ascent of stablecoins displaced LTC and DOGE as tools for transfers. Now, the transactions on the LTC chain have also fallen to about 23,000 per day.
LTC currently trades at $55.83, abandoning the $60 tier, but so far holding up with relative stability. LTC still receives above $98 million directly from USDT markets, and has a robust market against BTC, with $357 million flowing in. But as BTC maximalism took over in 2019, LTC stepped back.
The coin has failed to rally since the August halvening, maxing out at $140 this year. LTC volumes, however, remain permanently robust in the past months, above $2.9 billion in 24 hours.
LTC is currently largely tied to the potential of BTC prices, pressured by the leading coin’s slide closer to $8,000.