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- Litecoin surged in payment use through 2024 and 2025, briefly overtaking Tether mid-year.
- Web hosting, proxies, and gaming dominate LTC payments, driving steady subscription-based digital service growth.
Litecoin has strengthened its role as a preferred cryptocurrency for payments, according to CoinGate’s seven-year report. The data place LTC among the world’s three major payment methods on the platform, after Bitcoin and Tether, showing significant growth in 2024 and 2025.
According to the report, Litecoin orders in 2021 rose by 521% compared to 2020, making it a widely used option. By 2024, its usage had grown by another 52.7% year-on-year, marking its second biggest growth year. The trend continued in 2025, where from January to August LTC accounted for 13.9% of all payments. Bitcoin leads with 23%, while Tether stands at 21.2%.
In June and July this year, Litecoin briefly passed Tether to take the second spot. This short change happened mostly because of regulatory impacts on stablecoin use, which gave LTC a temporary advantage.
Usage Concentrated in Digital Services
Most Litecoin transactions are in digital-first sectors. In 2025, web hosting made up 31.2% of LTC payments, proxies 22.2%, and gaming 19.3%. Together, these three sectors were about three-quarters of all transactions. In the proxy sector, PlainProxies, Ping Proxies, and Thunderproxy reported that most of their orders were paid in Litecoin, more than Bitcoin, Ethereum, or stablecoins.
The report says that LTC has become the preferred choice for regular payments in subscription-based digital services. This shows Litecoin as a steady payment tool, rather than a one-time spending instrument.
Average order size has played a role in defining its customer base. In 2025 so far, the average Litecoin order is valued at €44.5. This figure fits with typical costs of hosting packages, proxies, and gaming-related services. The peak came in 2022, when average orders reached €52.
Geographic Spread of Payments
This year, the United States took 23.8% of all Litecoin orders, the highest in the world. Germany was second with 8%, and Nigeria was third with 7.1%. Other active markets were the United Kingdom with 5.8%, the Netherlands with 5%, France with 3.7%, and Poland with 2.9%.
Merchants have different ways of handling received payments. In 2025, 5% of them decided to hold LTC directly, the highest rate since 2022. Most of the remaining merchants converted their funds into euros, which accounted for 73.5% of conversions.
BTC followed with 6.9%, USDC at 6.8%, and the US dollar at 5.2%. This trend points toward fiat accounting, while also showing a growing willingness to hold or reallocate into other digital assets.
However, the LTC market performance has remained under pressure. According to the latest data, LTC is trading at $114.22, down 2.41% in the past 24 hours. Trading volume has dropped 27% to 484.83 million. The attempt to break above the $116.1 level, which aligned with the 7-day SMA, failed, and the bearish trend gained ground.
If the support at $113.61 breaks, LTC faces the risk of further decline. This level coincides with the 61.8% Fibonacci retracement, making it an important zone. If the price falls below $113, it could move toward $110, which traders consider a key psychological barrier.
