As the crypto industry experiences heightened adoption, various platforms are embracing the Lightning Network for Bitcoin [BTC]. Binance, after encountering congestion during peak trading volumes, opted to integrate this layer 2 solution. Following a similar trajectory, Coinbase appears to be moving in the same direction.
Recently, prominent Bitcoin advocates, including Block co-founder Jack Dorsey and MicroStrategy executive chairman Michael Saylor, were observed encouraging Brian Armstrong, the CEO of Coinbase, to adopt the Lightning Network. Dorsey candidly accused Armstrong and Coinbase of neglecting both Bitcoin and the Lightning Network last week. However, Armstrong refuted these allegations and clarified Coinbase’s position regarding the implementation of this layer 2 payments protocol.
Also Read: Binance Officially Integrates Bitcoin Lightning Network
According to the tweet mentioned above, Coinbase is reportedly exploring methods to incorporate the Lightning Network. In response to Dorsey’s comments, Armstrong countered by asserting that Coinbase has introduced more people to Bitcoin than possibly any other company worldwide.
Armstrong has faced accusations of neglecting Bitcoin’s layer 2 payments protocol on previous occasions as well. In response to these accusations in April, he stated that “Lightning is great and something we’ll integrate”. However, since then, there has been no further progress or updates regarding the integration.
The process of integrating the Bitcoin Lightning Network appears to be quite challenging. David Marcus, the CEO of Lightspark, who is recognized for his involvement in Facebook’s crypto venture, recently expressed that developing software based on the Lightning Network protocol is exceptionally difficult and complex. He said,
“When we started, we decided to build on Lightning, because we believe that as an underlying network and technology #Bitcoin has unique qualities, but building on Lightning and Bitcoin is likely at least 5x harder than building with other protocols.”
Also Read: Bitcoin Lightning Network: A 1,000x Cheaper Alternative to MasterCard and Visa
Bitcoin Lightning Network
Currently, Bitcoin Lightning Capacity stands at 4.727 BTC. Bitcoin Lightning Capacity represents the combined capacity of all nodes operating within the Lightning Network. It provides a holistic perspective of the total capacity available within the network.
The recent significant drop in price occurred subsequent to the Lightning network achieving a new capacity milestone of 5,630 BTC in June 2023. However, there is the possibility of Coinbase enhancing this capacity through the potential integration of the Lightning Network.
Also Read: How to Use Bitcoin Lightning Network for Quick Transactions