Litecoin Vs paypal

While there are several views and counterviews regarding the benefits of Litecoin over PayPal, we all must agree to a point that the economic incentives of using the Litecoin platform are many. Not only has it effectively worked on the infrastructural glitches of PayPal as a mode of payment, but has also taken the popularity of virtual assets to an entirely new level. Crypto users would know by now that Litecoin makes PayPal’s online exchanges look archaic and redundant, especially when you take into account the major issues such as high transactional fees, late payments and account freezing. Here are a few good reasons why Litecoin stands over and above PayPal:

  • Transaction Fee: This is one solid reason why PayPal users would consider switching to Litecoin. PayPal users have to pay a heavy 'ransom' of 3% for every transaction they make. Litecoin's near zero-cost transactions (a constant 0.001% for all transactions) makes it all the more popular. Whatever be the transaction amount, you only have to pay a mere $0.005.
  • No Chargeback: Unlike PayPal which can issue a chargeback anytime based on fraudulent claims, Litecoin transactions are final and free from the risk of chargebacks. At the same time, negotiating bodies can possibly take the help of the Blockchain or one centralized third party (if required) as an escrow to ensure that the money will be accepted once the prerequisites have been met. Chargebacks may often pose a problem for traders as dishonest buyers can take advantage of the PayPal policies to purchase a product and also claim the money back.
  • Decentralized Network: Litecoin's decentralized network ensures that no single body monitors or controls the network. This 'trustless' system ensures the security of the network as there's no single point of collapse, as one from a DNS blockade.
  • Zero Freezing: One major hindrance that PayPal users are faced with is the reported freezing of user accounts. This is not possible in a decentralized network like Litecoin as there is no central body which can lock you out of your wallet account. PayPal's lengthy verification process has also attracted a lot of criticism.
  • A Global Network: PayPal is not available for everyone, owing to the fact that it cannot be accessed globally (PayPal is not available to users of Afganisthan, Iran, Haiti and North Korea). Litecoin, on the other hand, is a borderless currency which ensures cross-border access like the internet.
  • Privacy: Litecoin is not truly anonymous, but is capable of providing a certain level of privacy to its users through pseudonymous transactions. This is not the case on PayPal.