Categories: Altcoin

Litecoin’s Entry to Banking

Litecoin has recently announced a strategic partnership with TokenPay. Litecoin is helping Token pay and in exchange has received a 9.9{4ede17fdd9b4ce8121d01fc4b54913fe84f8215aace504cc657695cefb5329ff} stake in Germany’s WEG Bank AG. And upon the announcement on July 10, the price of Litecoin went up. Litecoin was able to reach as high as $80.80 which represented a 6.9{4ede17fdd9b4ce8121d01fc4b54913fe84f8215aace504cc657695cefb5329ff} increase in the last 24 hours. Currently, Litecoin is trading at $75.

A Bold Move for Litecoin

There are analysts saying that strategic partnerships such as that of Litecoin and Token Pay can be considered a bold move. If you will ask Mati Greenspan who works as the senior market analyst for eToro, “this is a bold move from the Litecoin Foundation and groundbreaking for the crypto-industry”. He added that “The best way to improve financial services is to integrate with them and Germany is the perfect place to begin”.

This opinion is echoed by Charles Hayter who is the co-founder and CEO of digital currency data platform CryptoCompare. He described the partnership as “quite a bold change” in the Litecoin foundation’s usual way of doing business.

Charlie Lee describes the partnership as “win-win for both Litecoin and Token Pay”. He also added that “I’m looking forward to integrating Litecoin with the WEG Bank AG and all the various services it has to offer, to make it simple for anyone to buy and use Litecoin. I’m also excited about Litecoin’s support in TokenPay’s eFin decentralized exchange”.

A Huge Step Towards Adoption

WEG Bank is quite a prominent institution in the world of banking. In fact, the move by WEG Bank to partner with Litecoin has been seen by some as unexpected considering that WEG Bank is considered as a “very conservative institution” according to its CEO Matthias von Hauff. However, he believes “the future of banking will make adoption of such modern payment methods inevitable”.

TokenPay is said to plan to acquire remaining shares of WEG. It is only waiting for the approval of German regulators. The head of the company’s supervisory board thinks that Litecoin, WEG and Token Pay can pave the way towards bridging both the old and the new world.

Litecoin has been campaigning towards adoption over the past months. It has launched a campaign that invites businesses to accept Litecoin payments. And though it has attracted some businesses, a lot still has to be done on the part of the cryptocurrency. Currently, Litecoin is the 6th largest cryptocurrency with a $4.5 billion market capitalization.

Though Litecoin offers faster and cheaper transaction compared to Litecoin, there are those who think that Litecoin has no reason to exist. If you will ask Kyle Samani who is the co-founder and managing partner of Multicoin, which is a $75 million cryptocurrency fund, he believes that “Litecoin has no reason to exist anymore. It was a fork of Bitcoin. It’s just sitting around”.

Litecoin isn’t the only altcoin that is having a difficult time lately. Only Bitcoin and Ethereum were considered by the US Securities and Exchange Commission as commodities. In fact, Ripple can even be considered a security considering that it is dealing with a number of lawsuits with such claim.

Mark Ayesa

Mark manages our editorial team, social handles and is always on the lookout for great writing talent to contribute to our site. On a day-to-day basis he ensures the content on CryptoCurrency365.com is of the highest quality and also carries out extensive research on any current hot topics of the crypocurrency world for our writers.

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Mark Ayesa

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