Litecoin Now Processes 250% of its Market Cap in Daily Volume

Litecoin Now Processes 2.5x Its Market Cap as Transaction Speed Beats Bitcoin and Ethereum

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Litecoin Secures Spot in Bitwise ETF as On-Chain Activity Hits Record Highs
  • Litecoin (LTC) is processing on-chain volume equivalent to 250% of its market cap, surpassing both Bitcoin and Ethereum in relative usage efficiency.
  • The average Litecoin transaction size has jumped to $86,800, signaling that institutional players are utilizing the network for high-value settlement rather than retail micro-transactions.
  • Litecoin has secured a spot in the newly listed Bitwise 10 Crypto Index ETF ($BITW), ensuring passive inflow from Wall Street despite stagnant price action at $80.

Litecoin has quietly achieved a massive utility milestone, outpacing both Bitcoin and Ethereum in a critical economic metric: transaction speed. According to recent network data, Litecoin is now processing on-chain transfers valued at over 250% of its $6.2 billion market cap, a ratio that eclipses the “Store of Value” giants.

The rise in activity has been driven in part by higher-value transfers. Average Litecoin transaction sizes have moved above $86,800, placing the network ahead of Bitcoin and Ethereum on this metric during the same period. 

In parallel, adoption of Litecoin’s MimbleWimble Extension Blocks (MWEB) has continued to grow. Around 388,000 LTC is now held in shielded transactions, approaching a move previously referenced by the Litecoin Foundation’s official account.

Related: Litecoin Unveils ZK Layer-2 Chain LitVM at Annual Summit in Las Vegas

Development Updates and Layer-2 Progress

Network usage gains coincide with ongoing technical development. The Litecoin Foundation-backed LitVM project, a Layer 2 rollup, aims to introduce Ethereum-compatible smart contracts to the Litecoin network. According to project details, LitVM’s testnet is currently active, with a mainnet launch targeted for early 2026. The system is intended to support decentralized applications and cross-chain functionality without altering Litecoin’s base layer.

Despite increased on-chain activity, Litecoin’s market price has remained stable. At the time of writing, Litecoin was trading at $80, recording a 1.09% over the past 24 hours. The trading volume was recorded at $338.4, which was an increase of 34.09%.

Source: CoinMarketCap

Index ETF Inclusion Adds Institutional Context

Additional context was provided in a report shared by Crypto Miners, noting that Litecoin has been included in the Bitwise 10 Crypto Index ETF ($BITW). The fund began trading on NYSE Arca on Dec. 9, 2025, and tracks the top 10 cryptocurrencies by screened market capitalization.

Litecoin accounts for roughly 0.26% of the ETF’s allocation, while Bitcoin and Ethereum carry larger weights. The index rebalances monthly and applies liquidity, custody, and regulatory screens, offering indirect exposure to included assets.

Related: How Far Can Litecoin Go After Breaking Resistance at $115?

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