Per the latest development making rounds in the crypto space, Coinbase has finally decided to incorporate Bitcoin Lightning Network into its trading platform – says it is partnering with Lightspark to integrate the technology into the American-based exchange.
Coinbase’s latest move aims to leverage the Lightning Network’s rapid and unique transaction capabilities to improve the overall user experience on the trading platform by enhancing operation speed and reducing charges.
Confirming the new development, Brian Armstrong, Coinbase’s Chief Executive Officer (CEO), wrote on X, “It has been great working with Lightspark on our Lightning integration, which should be launching soon.”
Lightspark’s Lightning Network Overview
After its emergence in 2022, Lightspark has remained committed to developing a seamless and rapid Bitcoin payment system that can leverage the distinct features of Lightning nodes.
As part of its effort to build an all-encompassing payment channel, Lightspark has designed Lightspark Predict, an artificial intelligence (AI) powered device that optimizes liquidity and routing for Lightning transactions.
Consequently, the Lightning Network has gained prominence, which saw its adoption rate spike, with Binance among the top firms that adopted the technology.
Coinbase Will Use Lightspark’s Remote Key Signaling Implementation
According to a publication dated April 3, 2024, Lightspark expressed its delight in becoming one of Coinbase’s many partners. Part of the released document read thus, “We’re delighted to be part of bringing one of our industry’s most impactful and significant companies to Lightning at the perfect time. Coinbase customers will benefit from instant, cheaper transfers, and this integration will pave the way for more collaboration between the companies in the months and years to come.”
In addition, the Lightning platform noted that Coinbase will be utilizing Lightspark’s remote key-signaling implementation. Notedly, Coinbase will solely be in charge of the Lightning signing keys, while Lightspark will host their Lightning node. “This integration allows Coinbase to benefit from a scalable, reliable, and fully optimized node infrastructure that provides a deep suite of functionality through a simple and intuitive interface,” Lightspark added.
Coinbase’s recent decision reflects a rapidly advancing online payment and trading system with the potential for intriguing advancements. In addition, it mirrors financial firms’ dedication to ensuring that they keep up with the trend to remain relevant among their peers.
