So the reward was reduced in half. In anticipation of the halving, as in past halvings, LTC price has climbed, up something like 10% in the last week.
Key point from the article
The halving will likely have an affect on the interest in mining participation, as several widely used litecoin mining devices will now have a tough time generating enough LTC to offset electricity costs.
According to a miner profit index from f2pool, one of the world’s largest mining pools by hash rate, the three most profitable LTC miners made by InnoSilicon and FusionSilicon X6 had a profit margin of between 55 and 60 percent before Aug. 5.
Even Charlie Lee, founder of Litecoin, thinks many mining operators won’t stick around after the halving because of the reduced earning potential.
“When the mining rewards get cut in half, some miners will not be profitable and they will shut off their machine. If a big percentage does that, then blocks will slow down for some time. For litecoin it’s three and a half days before the next change, so possibly like seven days of slower blocks, and then after that, the difficulty will readjust and everything will be fine.”
Set your calendars. Another halving in 4 years!