The fifth-largest cryptocurrency by market capitalization Litecoin is expected to have its block reward reduced by half. This is referred to as a coin ‘halving.’
Cryptocurrency miners receive a set amount of coins for every block they successfully mine. This involves contributing computer resources to the network to validate transactions and maintain the integrity of the overall blockchain. LTC blocks take 2.5 minutes to mine, which is a function of the difficulty and hashrate power being applied by the aggregate pool of miners.
Litecoin miners currently receive a block reward of 25 LTC when they successfully mine a block. This amount will however be reduced by half, as a part of the ongoing process of block reward reduction. Litecoin coin halvings occur every 840,000 blocks mined.
Coin halving is important in the limited supply of cryptocurrencies like litecoin and bitcoin. Bitcpin is expected to undergo its own halving in May 2020.