LiteCoin Largely Undervalued, eToro Analyst Says

LiteCoin Largely Undervalued, eToro Analyst Says

In the latest of its new series of publications on leading alt coins, eToro have concluded that Litecoin is likely to be massively undervalued. 

Released today, the report by eToro cryptocurrency analyst Mati Greenspan highlights Litecoin’s recent partnership with TokenPay to purchase a 10% stake in German bank WEG.

That move alone, according to Greenspan, could be significant in Litecoin’s eventual integration with credit and debit card-based payments – “the first major public acquisition from a crypto company in the traditional finance world.”

Gold vs. Silver Analogy

Greenspan also enters into a Gold vs. Silver analogy for his comparison between Bitcoin and Litecoin.

Outlining that Bitcoin has become essentially a store of value as opposed to a technology that could serve as the basis for a mass adoption payments system (due mainly to its relatively high fees), the report points out Litecoin is better seen as a complement to Bitcoin as opposed to a competitor, much like their precious metal equivalents which have largely non-overlapping applications in the real world. 

“Litecoin has more adoption in terms of total addresses, transactions, and trading volume than some of the other cryptocurrencies, yet the total network value lags in comparison,” Greenspan adds. 

However, he also concludes that LTC is no less risky than any other cryptocurrency and that any investment portfolio which includes the world’s second largest cryptocurrency should be prepared to legislate for such risks.