Litecoin tumbles after its founder sold out all his shares
Litecoin came into existence in 2011, and is often referred to as “silver” coin.
In the booming cryptocurrency market, it comes as surprise when the creator of Litecoin decided to sell out his entire share after the coin performed remarkably since its inception.
Charlee Lee, founder of Litecoin, on December 21 wrote a letter on his twitter account stated the reason for selling his entire share in the coin.
Lee said, “Over the past year, I try to stay away from price related tweets, but it’s hard because price is such an important aspect of Litecoin growth. And whenever I tweet about Litecoin price or even just good or bads news, I get accused of doing it for personal benefit. Some people even think I short LTC! So in a sense, it is conflict of interest for me to hold LTC and tweet about it because I have so much influence.”
— Charlie Lee [LTC] (@SatoshiLite) December 20, 2017
According to Lee, Litecoin has been good to him financially, however, he no longer needed to tie his financial success to Litecoin.
Clearing doubt on whether Lee used the proceeds of Litecoin to use for his own personal wealth, he said, “For this reason, in the past days, I have sold and donated all my LTC.”
He added, “ For the first time in 6+ years, I no longer own a single LTC that’s not stored in a physical Litecoin.”
However, the amount of coin sold by Lee were just fractions, as he said, “I can tell you that the amount of coins was a small percentage of GDAX’s daily volume and it did not crash the market.”
Even if Lee had his own reason for selling Litecoin, this was not really taken well by other investors, as this digital currency on Friday has tumbled by 31.04% and was trading at $229.95, as per CoinMarketcap.com.
On December 21, Litecoin was performing near $332-mark and has stayed near that level.
Litecoin came into existence in 2011, and is often referred to as “silver” coin. The Litecoin network can process transactions four times faster than Bitcoin.
Also, the total supply in Litecoin is higher to 84 million in comparison with Bitcoin whose supply is capped at 21 million.
Incrementum in its research report said, “This four-fold increase in cryptocurrency units means that the inflation rate of Litecoin is higher than Bitcoin.”
If we look at Litecoin's performance, this coin was trading at $4.3 till April 28, 2013, and touched its first over $50 mark in November 2013. It has been trading between $10 and $100 from its launch date till November 2017.
Litecoin, however, rose to $100.80 on December 2, and further jumped to $339.39 on December 12, 2017, and has since maintained this mark. From the year 2013 to till date, Litecoin has gained by 7792.79% or 78.92 times globally.