See More

Coinbase Will Integrate Bitcoin Lightning Network, Says CEO Brian Armstrong

2 mins
Updated by Ryan Boltman
Join our Trading Community on Telegram

In Brief

  • Coinbase CEO Brian Armstrong said the crypto exchange would integrate Bitcoin Lightning network
  • Bitcoin Lightning network adoption has grown since as more people opt for faster and cheaper transactions.
  • Several crypto stakeholders have welcomed Armstrong's statement as a welcome development.
  • promo

Coinbase CEO Brian Armstrong said the crypto exchange would integrate Bitcoin Lightning network into its platform, according to an April 8 tweet.

Armstrong made this statement in response to a tweet by Bitcoin bull Wicked who challenged him for not publicly commenting about the Lightning network before. 

According to Armstrong, his tweets auto-delete after some months, which is why there is no history of his comments on the scaling solution. He added that he believes “Lightning is great” and is “something we’ll integrate.”

Armstrong did not provide further information on when this integration would happen.

Lightning is a layer2 network built on Bitcoin that helps it solve its scalability issues. The network offers faster transaction speed and cheaper fees. It is also the most popular BTC L2 solution.

Community Reacts Positively to Armstrong’s Statement

Several crypto stakeholders, like MicroStrategy’s founder Michael Saylor, have reacted positively to Amrstrong’s statement. A Bitcoin holder Derek Ross said:

“Adding Lightning support for deposits and withdrawals would be phenomenal.”

Several others were skeptical, noting that it might take forever for Coinbase to do this.

Meanwhile, some advised Coinbase to be fast with the integration because the exchange might end up with nothing to offer apart from Bitcoin, given the current regulatory environment.

If Coinbase integrates Lightning, it will join rivals like Kraken, Bitfinex, BitStamp, and OKEx, which already support the L2 solution.

Bitcoin Lightning Growing Adoption

Meanwhile, Bitcoin Lightning’s adoption has grown steadily over the past year. The number of Bitcoin locked in Lightning reached an all-time high of 5,490 BTC in February but has dropped to 5,420 BTC, according to defillama. This is a significant growth considering it had 3,350 BTC at the beginning of last year.

It is not just the total value locked (TVL) for the network that has increased; transaction volume is also up. BitPay reported that transaction volume increased by 18% in 2022 compared to 2021. The growth in the fourth quarter of 2022 was 32% higher than in 2021.

Given that the network does not have a native token like most protocols, experts believe that the growth so far has been organic. A Valkyrie Investment report in February 2023 highlights the adoption of Lightning Network since its inception.

Bitcoin lightning adoption
Bitcoin Lightning Adoption (Source: Valkyrie)

Meanwhile, payments platform Strike launched a mobile payment application on the network in 2020. Since then, it has integrated with Shopify and expanded into Africa, El Salvador, and the Philippines. 

Top crypto projects in the US | July 2024
Harambe AI Harambe AI Explore
Uphold Uphold Explore
Exodus Exodus Explore
Coinbase Coinbase Explore
Chain GPT Chain GPT Explore
Top crypto projects in the US | July 2024
Harambe AI Harambe AI Explore
Uphold Uphold Explore
Exodus Exodus Explore
Coinbase Coinbase Explore
Chain GPT Chain GPT Explore
Top crypto projects in the US | July 2024

Trusted

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Oluwapelumi-Adejumo.png
Oluwapelumi Adejumo
Oluwapelumi believes Bitcoin and blockchain technology have the potential to change the world for the better. He is an avid reader and began writing about crypto in 2020.
READ FULL BIO
Sponsored
Sponsored