Over the year, the Lightning Network (LN) has experienced massive growth and continued adoption by the Bitcoin community. Yesterday, the Lightning Network saw an increase in capacity to over 1500 BTC.
This increase shows that users have confidence in the ability to conduct transactions outside the chain securely over the LN. This year alone, the Lightning Network has seen a massive 42% growth in the number of BTC available. In addition, there are now over 12,000 nodes that take care of 45,000 payment channels.
Why does BTC need the Lightning Network?
Since its beginnings, Bitcoin has had problems with blockchain overload and the higher fees associated with an influx of transactions. The LN aims to reduce this congestion while reducing transaction fees.
As a second layer payment protocol, the Lightning Network is important for users to make microtransactions. Without the ability to make these transactions, BTC is not exactly attractive as a payment method for the average citizen due to higher fees and slower transaction times.
Giving users the opportunity to make these smaller transactions is important for the acceptance of cryptocurrencies for everyday payments. The scalability that the Lightning Network brings to the blockchain is crucial in ensuring that this technology is no longer used as a traditional investment, but as a kind of fiat currency.
In recent weeks, since El Salvador announced Bitcoin as legal tender, Bitrefill announced that they have processed over 10,000 daily transactions on several occasions. This high number of transactions on the LN saved almost 2 whole blocks on the blockchain. This proves that the Lightning Network is applicable to everyday transactions and contributes to the scaling of Bitcoin.
Will Twitter integrate with the Lightning Network?
Twitter CEO Jack Dorsey answered some questions last Thursday, giving a hint that it’s only a matter of time before the LN is integrated with Twitter. With the progressive adoption of blockchain technology, the Lightning Network will be an important integration for everyday app users who transact with Bitcoin. Although there is no integration yet, Jack Dorsey’s answer to the question is revealing.
It is quite likely that apps will soon be equipped with blockchain technology, making transactions through the Lightning Network ever easier, faster and safer.