Originally Posted by Krispies
How many different variations of bitcoins are there?! I've heard of feather coins and all sorts of different things. But i will definitively look at that as a possibility! Thanks, il read that guide now and see about it, because if i can do it well off my hardware at the moment that would be great.
Litecoin isn't exactly a derivation of Bitcoin as it uses a different proof of work algorithm. Still, they are both cryptocurrencies.
There are many cryptocurrencies out there, and most are highly unlikely to stick around for the long term. Many are outright scams, while others are nothing but copies with no new features, or are so small that they are easily subject to attack/abuse by pump and dump speculators.
Litecoin currently holds a distant #2 spot to Bitcoin and is quite legitimate. It was an honest release with no pre-mining, has been around long enough to have the bulk of issues worked out, has a significant market cap (about 130 million USD), and due to the use of scrypt is probably more resistant to centralization and 51% attacks. It also has more potential for small, everyday, transactions, as the confirmation time is much less.
Time will tell if litecoin is here to stay or not, but it has many compelling merits and is the only altcoin to have a really significant user base.
Occasionally, a coin will crop up that is more profitable to GPU mine than litecoin, but all of these are substantially more risky than litecoin in the mid to long term.