Coinbase To Implement Bitcoin Lightning Network For Faster Transactions Amid Growing Competition Source: AdobeStock / gguy
Coinbase CEO Brian Armstrong has announced the decision to integrate the Bitcoin (BTC) lightning network aimed at cheaper and faster transactions.
The move will see the exchange join Binance, Bitstamp, Kraken, and OKX in implementing the solution as the competition for the global market thickens.
Disclosing the plan on X (formerly Twitter), Brian Armstrong explained that Bitcoin is the most important asset in the ecosystem while calling for patience throughout the process.
“Bitcoin is the most important asset in crypto and we’re excited to do our part to enable faster/cheaper Bitcoin transactions. Will take some time to integrate so please be patient.”
Coinbase has faced criticisms in the past following its non-implementation of the lightning network leading to former Twitter CEO and Bitcoin bull Jack Dorsey adding to the conversation.
“Why do you continue to ignore Bitcoin and Lightning? What ‘crypto’ is a better money transmission protocol and why?” Dorsey asked.
At the time, Armstrong replied reiterating his commitment to implement the technology on the exchange while asking for cooperation with the community and Jack Dorsey.
The Bitcoin layer 2 scaling solution will improve transaction speeds and was created to aid the network in competing with newer solutions that integrate faster and cheaper payments.
Binance, the largest cryptocurrency exchange by volume implemented the lightning solution on July 17, giving users the option to select LIGHTNING while making deposits or withdrawals.
Coinbase global expansion plot is on track
For years, Coinbase has had a greater market share in the United States and is now looking to challenge Binance in international markets.
Last week, the Nasdaq-listed company released its Phase II international expansion plans dubbed “Phase Go Broad, Go Deep” to diversify its products and services in new markets.
The plan entails acquiring licenses from jurisdictions across the European Union, Canada, the UK, Brazil, etc. It was also disclosed that the exchange is in the final stage of selecting a “MiCA hub” after the EU approved the landmark legislation.
Executives of the company disclosed the plan while criticizing the current state of regulation in the United States describing countries with a clearer path at regulation as “near-term priority markets.”
While steps at expansion remain in the company’s goals, the implementation of the lightning network will give it an edge or at least put the company on the same line with rivals for have previously implemented the solution.
So far, the company has expressed commitment to faster payments as it continues to build solutions around its Coinbase Wallet and strike partnerships with banks and payment providers to aid user experience.