More Than 1000 Payment Channels are Already Activated on the Bitcoin Lightning NetWork
Mar 02, 2018 Posted / 5834 Views
Transaction in the bitcoin network is currently extremely slow and faster transaction are extremely expensive in terms of transaction fees. Different initiatives have been devised by different people in attempts to solve the transaction speed and fees nightmare.
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One of the most notable among these attempts in the development of the bitcoin lightning network. The lightning network aims to make transaction propagate instantly by deploying a different means of handling data on the blockchain. Lightning Network reduces the congestion in the bitcoin network by moving transactions off the main blockchain into a second layer lightning network protocol. With payment channels lightning network users will be able to make almost instant transactions at a negligible cost. This will redeem bitcoin as the best cryptocurrency for transfer of value across the world.
Despite the fact that the lightning network software is still in its testing phase, some users are already setting up lightning network nodes on the Bitcoin mainnet and establishing payment channels with each other. currently more than 419 nodes run the Lightning network software on the mainnet from up from just about 30 around january 2017.
Bitcoin Cash on the other hand has more than 1171 active nodes far more than the number adapted by the bitcoin mainnet.
The development process of the lightning network has already met several major milestones in recent time. The development of the lightning network coupled with the increasing dissatisfaction with the bitcoin mainnet is pushing ahead the development of the lightning network at a more faster phase.
Earlier in January, TorGuard started accepting Lightning Network payment on the mainnet for it’s VPN services and the company even tagged the lightning network transaction as pizza transaction after some user was allowed to pay for a physical item using the lightning network payment system.
Meanwhile another Austria based startup company Coinfinity has shown interest in accepting lightning network transaction through a bitcoin Automatic Teller machine service.
Earlier this week, meanwhile, Austria-based startup Coinfinity completed what is believed to be the first LN transaction on a Bitcoin ATM.
The success of the lightning network will be a major milestone in the bitcoin ecosystem. The bitcoin network is currently clogged with slow transaction speeds and high transaction fees. This has led to many individuals and businesses to diss bitcoin for similar cryptocurrency like ethereum and litecoin. Other people quitted cryptocurrency as a whole as making bitcoin transaction was becoming too expensive to execute.
The success of the lightning network will become like the rebirth of bitcoin, the trust bitcoin had lost before would be regained and more new adopters are expected to flood the bitcoin network. Since the prices of bitcoin is majorly determined by the number of people who agree with it, prices as well are expected to increase with the introduction of the lightning network on the bitcoin mainnet.
Applancer is an open platform for discussion on all things like Blockchain , Cryptocurrency and Ico news updates. As such, the opinions expressed in this article are the author's own and do not necessarily reflect the view of Applancer .
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