Charlie Lee, an invested computer scientist who created Litecoin [LTC] to fight the drawbacks of Bitcoin [BTC], appeared in a recent interview with SFOX where he spoke about his coin and the cryptocurrency space in general. One of the subjects discussed by Lee was the scalability issue of Bitcoin and how Litecoin can be seen as an aid to the problem.
Previously, Lee had stated that Litecoin might be able to solve issues regarding Bitcoin’s scalability. Here, he was asked if he sees his cryptocurrency experiencing similar problems in the future and the possible solution for the same. The crypto-creator began by stating that Litecoin may be able to solve the scalability issue ‘linearly’ as its effective block space is four times of that of Bitcoin. He added:
“But in the end, we still need second-layer solutions like Lightning Network to help Litecoin and Bitcoin scale.”
Explaining the working of the Lightning Network, Lee said that the technology enables for both the cryptocurrencies to become interchangeable through an atomic swap. Therefore, one can make cross transactions in Bitcoin and Litecoin, meaning, send one and receive another in return.
According to him, this feature can be assistive in handling the transaction value of Bitcoin. Here, he mentioned other solutions such as an increase in block rate or block size and stated:
“We’ll see if Bitcoin will need an on-chain solution, like a block rate or block size increase, because for second-layer solutions, you still have to settle on-chain, and Bitcoin may still not have enough block space for that. So we’ll find out, I guess — we’ll cross that bridge when we get there.”
To maintain the decentralization and security on the base layer, Lee suggested that smaller payments, such as purchasing coffee and other microtransactions should be moved off-chain or to the second-layer solutions, namely, Lightning Network.
Last week, Lee also made a statement that Satoshi’s Vision for Bitcoin is more suitable when the Lightning Network is integrated into the ecosystem. He said this during a debate with Roger Ver, a strong proponent of Bitcoin Cash [BCH] and the CEO of Bitcoin.com.