The CEO explained that the layer 2 payment protocol on the Bitcoin network has massive potential to transform the crypto payment sector. In a Twitter report dated July 28, Armstrong expressed optimism the crypto sector has huge capability to improve the global payment sector.
Coinbase Eyes for Bitcoin Lightning Network Intergration
Even though it might require much work, the Coinbase team plans to integrate layer 2 protocols on the on-ramping platforms. Responding to the tweet, the chief executive of Square, Jack Dorsey, highlighted that the Bitcoin lightning network had enabled users to make rapid and inexpensive transactions through the off-chain transaction networks. Dorsey requested the Coinbase CEO to elucidate the significance of integrating the Bitcoin Lighting protocol on the crypto exchange.
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In his report, Dorsey demanded for a straightforward explanation on whether there was a superior money transmission network other than Bitcoin. Addressing Dorsey’s inquiries, the Coinbase CEO divulged that the crypto exchange still had plans to support the growth of Bitcoin. Armstrong affirmed the second largest crypto exchange brought millions of individuals, to the Bitcoin network, compared to other trading platforms.
Despite the efforts made by Coinbase to enhance the Bitcoin ecosystem, Armstrong proclaimed the need to strengthen the exchange using Bitcoin Lightning protocol. The CEO restated that the Bitcoin Lightning network will facilitate crypto related payments.
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High Adoption of Bitcoin Lightning Network
Dorsey praised Coinbase in his report for promoting the widespread adoption of Bitcoin. In his tweet, Dorsey disclosed intentions to collaborate with Coinbase to integrate the Bitcoin Lightning protocol.
He stated the need for an exclusive open protocol for the transmission of digital currency. The two Internet businesspeople agreed to work together to enhance the cryptocurrency payment system.
Despite the optimistic price trend of Bitcoin in 2023, the Bitcoin Lightning technology has acquired steam. The development of layer-2 payment solutions has prompted businesses to adopt the Bitcoin Lightning protocol to increase transaction speed.
A few weeks ago, the largest cryptocurrency exchange in the world, Binance, announced the conclusion of the Bitcoin Lightning protocol integration. Earlier in the month of May, the Binance team announced that the exchange's development would address issues such as transaction congestion and excessive gas fees.
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According to Binance, the high volume of pending transactions on the network prompted the exchange to invest in resolving the technical problems.
In addition to Binance, its leading competitors Bitfinex, OKX, Kraken, CoinCorner, and River Financial have launched the Bitcoin Lightning network on their respective platforms. Bitcoin Lightning developers, including Voltage and Google Cloud, have agreed to collaborate in an effort to expand the capacity of Bitcoin transactions. Customers are migrating to these platforms as the Bitcoin Lightning network continues to acquire momentum.
In July, the total value of assets (TVL) secured on the Bitcoin platform increased to 5,000 BTC, according to Glassnode.
