Litecoin vs Bitcoin: Which One Is More Profitable to Mine?

Cryptocurrency mining remains a popular way to earn digital assets, but the question remains: Litecoin vs Bitcoin — which one is more profitable to mine? Both Litecoin (LTC) and Bitcoin (BTC) rely on proof-of-work (PoW) mining, but they differ in mining speed, energy consumption, and long-term profitability. Meanwhile, Litecoin mining offers faster block processing and lower electricity requirements. Many traders rely on expert analysis to determine the most profitable option. Platforms like Traders Union provide valuable insights into crypto mining profitability, market trends, and investment strategies, helping miners make informed decisions.

In this guide, we’ll compare Litecoin vs Bitcoin mining based on key profitability factors. We’ll break down mining speed, energy costs, payout structures, and required hardware. By the end, you’ll know which cryptocurrency offers better mining rewards.

Mining speed: How LTC and BTC compare

Bitcoin (BTC) and litecoin (LTC) both use proof-of-work (PoW) mining but differ in speed, efficiency, and cost. Here’s a concise comparison based on the latest 2025 data.

Hashing algorithms and mining mechanisms

Bitcoin. Uses the SHA-256 algorithm, which requires high computational power and specialized ASIC miners.
Litecoin. Uses the Scrypt algorithm, originally designed for more accessible mining, but now dominated by ASIC miners as well.

Mining speed and block generation

Bitcoin. Blocks are generated every 10 minutes on average.
Litecoin. Blocks are generated every 2.5 minutes, making transactions faster.

Network hashrate and difficulty

Bitcoin. The network hashrate in early 2025 surpassed 580 EH/s, reflecting high mining competition.
Litecoin. Has a lower hashrate at around 1 PH/s, making mining less resource-intensive.
Difficulty adjustments. Bitcoin adjusts difficulty every 2,016 blocks (~2 weeks), while litecoin adjusts every 2,016 blocks (~3.5 days).

Energy consumption and profitability

Bitcoin. Consumes approximately 150 TWh/year, making it energy-intensive but highly secure.
Litecoin. Consumes significantly less energy but still requires ASICs.
Profitability. In 2025, bitcoin mining remains more profitable due to higher market value, with BTC surpassing $100,000. Litecoin, with a projected $120–$147 range, offers lower rewards but faster transactions.

Energy consumption: Which one costs less to mine?

Bitcoin mining is significantly more energy-intensive than litecoin mining due to its SHA-256 algorithm and high network hashrate.

Bitcoin mining costs

Energy consumption. Bitcoin mining consumes approximately 150 terawatt-hours (TWh) per year, which is comparable to the energy use of entire countries.
Hardware requirements. Requires high-powered ASIC miners like the Antminer S19 XP, which can consume 3,000W or more per unit.
Electricity cost. At an average industrial electricity rate of $0.05–$0.10 per kWh, the cost of mining 1 BTC can range from $15,000 to $30,000, depending on electricity prices and miner efficiency.

Litecoin mining costs

Energy consumption. Litecoin mining is more energy-efficient, consuming around 3–5 TWh per year, significantly lower than bitcoin.
Hardware requirements. Uses ASIC miners like the Antminer L7, which consume 3,400W per unit but operate on a more efficient network due to lower difficulty.
Electricity cost. Mining 1 LTC costs between $50 and $100, depending on electricity rates and miner efficiency.

Which one is cheaper to mine?

Litecoin is cheaper to mine than bitcoin due to its lower network difficulty and reduced energy consumption. While bitcoin miners require massive infrastructure and industrial-scale energy use, litecoin miners can operate more efficiently with lower costs. However, bitcoin’s higher market value often offsets its high mining expenses, making it more profitable despite the energy costs.

Mining rewards: LTC vs BTC payouts explained

When comparing Litecoin vs Bitcoin mining, understanding the structure of mining rewards is crucial for assessing profitability.

Bitcoin mining rewards

Bitcoin operates on a deflationary model, with mining rewards halving approximately every four years, an event known as the “halving.” Initially, miners received 50 BTC per block; after successive halvings, the reward stands at 6.25 BTC as of 2025. The next halving, expected in 2028, will reduce this to 3.125 BTC. This systematic reduction aims to control the supply of Bitcoin, potentially influencing its market value over time.

Litecoin mining rewards

Similarly, Litecoin employs a halving mechanism, but with different parameters. At its inception, miners earned 50 LTC per block. Following the most recent halving in August 2023, the reward decreased to 6.25 LTC per block. The subsequent halving is projected for 2027, which will further reduce the reward to 3.125 LTC. This approach mirrors Bitcoin’s strategy, aiming to maintain scarcity and value.

Impact on mining profitability

The reduction in block rewards directly affects mining profitability. Post-halving, miners receive fewer coins for the same amount of computational effort. For instance, after the 2023 Litecoin halving, miners’ rewards were cut by half, prompting concerns about the viability of mining operations, especially for those with higher operational costs. However, if the market price of the cryptocurrency increases sufficiently post-halving, it can offset the reduced rewards, maintaining or even enhancing profitability.

Market dynamics and price considerations

Historically, both Bitcoin and Litecoin have experienced price increases following halving events, attributed to the reduced rate of new coin issuance creating a supply constraint. However, market conditions are influenced by various factors, including investor sentiment, macroeconomic trends, and regulatory developments. Therefore, while halving events can impact prices, they do not guarantee a price increase.

Strategic considerations for miners

Miners must consider several factors when evaluating the profitability of mining Litecoin vs Bitcoin:

Operational costs. Electricity expenses and hardware maintenance are significant components of mining operations.
Hardware efficiency. Utilizing up-to-date, energy-efficient mining equipment can mitigate some of the impacts of reduced rewards.
Market conditions. Staying informed about market trends and price movements is essential for making strategic decisions.

Hardware requirements: What you need to mine

When comparing Litecoin vs Bitcoin mining, understanding the necessary hardware is crucial for potential miners.

Bitcoin mining hardware

Bitcoin mining primarily relies on Application-Specific Integrated Circuits (ASICs). These specialized devices are designed to perform the SHA-256 hashing algorithm efficiently. Popular models include the Bitmain Antminer S19 Pro, offering high hash rates but consuming significant power. The initial investment for such equipment is substantial, and the high energy consumption adds to operational costs.

Litecoin mining hardware

In contrast, Litecoin mining utilizes hardware compatible with the Scrypt algorithm. While early miners employed Graphics Processing Units (GPUs), the landscape has shifted towards Scrypt-capable ASICs due to increased network difficulty.

Notable options include the Bitmain Antminer L3+ and the Innosilicon A4+, both offering competitive hash rates with relatively lower power consumption compared to Bitcoin ASICs. This shift makes Litecoin mining more accessible to individuals with moderate budgets.

Can the same hardware be used for both?

Given the distinct algorithms—SHA-256 for Bitcoin and Scrypt for Litecoin—using the same hardware for both is inefficient. ASICs designed for Bitcoin are not optimized for Litecoin’s Scrypt algorithm and vice versa.

While GPUs can mine various cryptocurrencies, their efficiency for Bitcoin mining is significantly lower than that of ASICs. Therefore, miners typically invest in specific hardware tailored to the cryptocurrency they intend to mine.

Considerations for Indian miners

For miners in India, it’s essential to consider local factors:

Electricity costs. Energy prices vary across regions. Calculating potential profits should include local electricity rates to ensure mining remains cost-effective.
Import regulations. High-quality mining hardware is often manufactured abroad. Understanding import duties and shipping costs is vital to assess the total investment required.
Climate conditions. Mining equipment generates substantial heat. In warmer climates, additional cooling solutions may be necessary, increasing both initial and operational expenses.

Future profitability: Will LTC or BTC be more lucrative?

As the cryptocurrency landscape evolves, miners are keenly evaluating the future profitability of Litecoin vs Bitcoin mining. Several factors influence potential earnings, including market trends, technological advancements, and macroeconomic conditions.

Market trends and price projections

As of March 2025, the cryptocurrency market continues to show significant volatility. Bitcoin (BTC) and litecoin (LTC) remain among the most followed assets, with price movements influenced by regulatory policies and institutional adoption.

Current market overview

Bitcoin. Trading at $87,194, down 6.10% from the previous close. The day’s range fluctuated between $86,739 and $94,878.

Litecoin. Trading at $111.91, down 10.54%, with intraday movements between $111.91 and $129.63.

Recent developments

On March 2, 2025, former U.S. president Donald Trump announced a strategic reserve of cryptocurrencies, including bitcoin, ether, XRP, solana, and cardano. This led to an 11% increase in bitcoin’s price to $94,164, with other major assets also experiencing gains.

Bitcoin price projections

Bitwise. Estimates bitcoin could reach $200,000 to $500,000, depending on regulatory support and institutional adoption.
Standard Chartered. Predicts bitcoin surpassing $180,000 by the end of 2025.
VanEck. Expects bitcoin to peak around $150,000 this year.
Deepwater asset management. Foresees bitcoin reaching $120,000 to $150,000, driven by ETF adoption and macroeconomic trends.

Litecoin price projections

Changelly. Predicts litecoin will not fall below $101.15 in August 2025.
FX leaders. Estimates a price range of $140 to $275, with a chance of reaching $600 to $800 by 2026.
CoinCodex. Projects litecoin at $219.10 by late 2025, a 91.14% increase from current levels.
Binance. Forecasts a steady rise to $117.49 in 2025 and $149.95 by 2030.

Technological advancements and mining hardware

The efficiency of mining operations heavily depends on the hardware utilized. For Bitcoin, the SHA-256 algorithm requires miners to invest in high-performance ASIC devices, which are costly and consume substantial energy.

Conversely, Litecoin employs the Scrypt algorithm, allowing for the use of less energy-intensive hardware. Recent developments have introduced advanced miners like the Bitmain Antminer L9, offering a hash rate of 16Gh/s with a power consumption of 3360W, enhancing Litecoin mining efficiency.

Macroeconomic factors and energy costs

Energy expenses are a critical component of mining profitability. In regions with high electricity costs, such as parts of India, the energy-intensive nature of Bitcoin mining may render it less profitable. Litecoin’s more energy-efficient mining process could offer a more viable alternative in such areas.

Additionally, the global push towards renewable energy sources may influence future mining operations, with miners potentially relocating to regions offering sustainable and affordable energy solutions.

Regulatory environment

The regulatory landscape surrounding cryptocurrencies continues to evolve. Policies affecting energy consumption, taxation, and legal recognition of mining activities can significantly impact profitability. Miners must stay informed about local regulations to ensure compliance and assess how potential legislative changes may affect their operations.

In the Litecoin vs Bitcoin mining debate, future profitability is contingent upon a myriad of factors, including hardware efficiency, energy costs, market dynamics, and regulatory developments. While Bitcoin offers higher market capitalization and liquidity, its mining process is more resource-intensive.

Litecoin, with its energy-efficient mining and lower hardware costs, presents a compelling alternative, especially in regions with higher energy expenses.

Prospective miners should conduct thorough cost-benefit analyses, considering both current conditions and future projections, to determine which cryptocurrency aligns best with their operational goals and resources.

Which Crypto Is More Profitable to Mine? Expert opinion

According to Traders Union financial expert Anastasiia Chabaniuk, if you’re new to crypto mining, don’t just pick the most expensive coin and assume it’s the best choice. A smarter move is to find low-competition altcoins with solid projects behind them, especially those that are still under the radar. Some cryptos adjust their mining difficulty based on how many people are mining at a given time. If you jump in when fewer miners are active, you’ll earn way more coins—then when interest picks up again, you’ve got a bigger stash to cash in. The key is spotting tokens that are about to release new updates or get listed on bigger exchanges, as those events usually drive up the price.

Chabaniuk also highlights a trick most beginners miss—mining less popular proof-of-work coins and swapping them for bitcoin or ether at the right time. Some of these smaller coins trade at different prices across exchanges, so if you pick the right one, you can mine cheap and flip it for a higher value elsewhere. Also, don’t just look at hashrate comparisons. Instead, compare how much power you’re using versus how much a coin’s price is moving. Sometimes, big mining farms avoid certain cryptos because of small price swings, but if you’re running a smaller setup, those swings might actually work in your favor.

Conclusion

When evaluating litecoin vs bitcoin mining, profitability depends on energy costs, hardware efficiency, and market trends. Bitcoin mining offers higher rewards per block but requires powerful ASIC miners and consumes more energy, making it ideal for large-scale operations with low electricity costs. On the other hand, litecoin mining is more accessible, with lower energy consumption and faster block times, allowing miners to receive payouts more frequently.

With the latest litecoin halving in 2023 and the upcoming bitcoin halving in 2028, mining profitability will fluctuate based on block rewards and market demand. If you’re wondering, “is litecoin a good investment?”, it remains a solid choice for miners looking for cost-effective operations and steady returns. Meanwhile, bitcoin’s long-term dominance and institutional adoption continue to make it a valuable asset.

For those unsure whether to mine or buy litecoin, assessing electricity costs, hardware investment, and mining difficulty is crucial. If mining conditions are unfavorable in your region, purchasing LTC directly from an exchange might be a more viable strategy. Whether choosing litecoin vs ethereum or bitcoin, staying informed about market trends, halving events, and profitability metrics will help miners and investors make the best decision for their portfolios.

FAQs

Which is more profitable to mine: Litecoin or Bitcoin?

The profitability of Litecoin vs Bitcoin mining depends on several factors, including hardware costs, electricity prices, and block rewards. Bitcoin mining offers higher payouts per block but requires expensive ASIC miners and consumes more energy. Litecoin mining is more energy-efficient and has lower hardware costs, making it more accessible to smaller miners.

Does Litecoin halving affect mining profitability?

Yes, Litecoin halving events reduce block rewards by half, which directly impacts mining profitability. The most recent Litecoin halving occurred in August 2023, reducing rewards from 12.5 LTC to 6.25 LTC per block. The next halving, expected in 2027, will further cut rewards. However, if Litecoin’s price increases after the halving, it can remain profitable.

Should I buy Litecoin instead of mining it?

Mining Litecoin requires an initial investment in hardware and electricity costs. If energy prices in your region are high, it may be more cost-effective to buy LTC directly from an exchange. Litecoin vs Ethereum is another common comparison for investors, as Ethereum now operates on a proof-of-stake (PoS) model, eliminating mining.

What is the best hardware for Litecoin mining?

To mine Litecoin, you need ASIC miners optimized for the Scrypt algorithm. Popular choices include the Bitmain Antminer L3+ and the Innosilicon A6. Unlike Bitcoin, Litecoin mining is less power-hungry, making it a better option for regions with high electricity costs.

About the Author

This article is authored by Parshwa Turakhiya, a seasoned finance professional and content expert at Traders Union. With extensive experience in stock and options trading, technical and fundamental analysis, and equity research, Parshwa has written over 100 in-depth articles on Forex, crypto, equities, and personal finance.