The Litecoin Foundation has officially announced the launch of the OmniLite platform. OmniLite, known as the “next phase in Litecoin’s evolution,” is a decentralized platform for creating tokens and digital assets on the Litecoin blockchain.
OmniLite allows to create smart contracts
The Litecoin protocol has not yet provided the ability to issue tokens on its blockchain, as allowed by ETH or Binance Smart Chain, but thanks to OmniLite, this is finally possible.
It is worth to tell that mine of the LTC block time is over two and a half minutes, compared to 15 seconds for ETH, the fees are much lower. Over the past 24 hours, average transaction fees on the Litecoin blockchain have been less than three cents ($ 0.025), with the median even below one thousandth of a dollar, while in Ethereum the average was over $ 60 and the median near $ 20.
In other words, the average fees for transactions on the Litecoin blockchain are 2,400 times lower than the fees for the ETH blockchain. In the last 24 hours, more than 1.3 million transactions have been recorded on the ETH blockchain, compared to less than 140,000 on the Litecoin blockchain.
So in terms of blockchain transaction costs, Litecoin beats ETH. Binance Smart Chain also enables chain transactions at very low cost and with very fast time frames, but it is definitely much less decentralized than ETH or Litecoin.
The new open source OmniLite platform facilitates the creation of decentralized tokens and smart contracts for cryptoactive assets, including, for example, NFT. Due to the increasing fees due to the NFT hype, there could be a place on the market for a platform based on Litecoin.
OmniLite is a protocol based on the second layer on Litecoin blockchain, and tokens created on this platform are in fact an extension of Litecoin, with the transactions of these tokens being recorded on the blockchain.
BTC as a competition
According to its creators, OmniLite will also facilitate the creation of stablecoins that could gain traction due to the very low cost of online transactions.
However, it should be noted that many platforms already exist for creating and managing NFTs, and that the expanding use of the Lightning Network could make BTC a very difficult competitor to beat initiatives like OmniLite.
LN not only further reduces transaction costs, but also shortens execution times because LN transactions are almost instantaneous. Using other second BTC-based layers, it will also be possible to create tokens, e.g. stablecoins, which can be exchanged extremely quickly and cheaply on the Lightning Network. The only disadvantage would be the inability to register transactions on the public blockchain.