That’s huge! Kraken now supports Lightning Network deposits and withdrawals. The popular Layer 2 protocol suddenly continues to grow and gain prominence. Kraken said in Their official announcement. However, the Lightning Network is much more than that.
What will happen once Kraken’s broad customers attempt Lightning transactions? Will the massive experience change the way they see Bitcoin? A layer two solution can perform millions of operations per second and all transactions cost pennies and offer a final settlement. When using it, there are also privacy gains. However, a huge innovation is the cash-like experience.
The Kraken integration comes with a file Their own lightning knot. To implement it, the company used LND from Lightning Labs. The reason is that “they have the largest user base and we have a lot of people on the network and they have a lot of experience with LND. So it has proven to be very easy to use and very reliable as well.” This is according to Kraken’s Bitcoin Product Manager Pierre Rochard, who also He told Bitcoin Magazine:
“Adoption will come from people who have a legal order in their bank account, and they need to convert it into Bitcoin. Kraken provides an excellent place for them to do so, after which they can top up their Lightning mobile wallet and use it as a medium of exchange. This is clearly the next step in terms of Bitcoin Evolution.
Designed with this and cash-like experience in mind, Kraken limits light deposits and withdrawals to 0.1 BTC.
BTC price chart for 04/02/2022 on Binance | Source: BTC/USD on TradingView.com
Kraken announces Lightning Network integration in 2020
Although this seems like it happened magically, the integration has been in the works for a while. in 2020, Kraken has stated its intentions:
“In 2021, we are committed to appointing a team to focus specifically on the Lightning Network, as part of our ongoing effort to provide the best possible experience for traders and investors.
We expect to allow customers to withdraw and deposit Bitcoin on Lightning in the first half of 2021, which will allow customers to transfer their coins instantly and with minimal fees. ”
It took a while, but it’s finally here. From a market point of view, will this move the needle in favor of Bitcoin? Will the world even notice? according to for this listKraken became the 23rd exchange to support the Lightning Network. Among the giants already on board are Bitfinex, OKEx, OKcoin, BitMex and Bitstamp. Among the startups are BullBitcoin, Buda, CoinCorner, Kollider, and Boltz.
It also means that you are able to transfer the express payment you received to her instantly Tweet embed To replace it with a cash order, which basically reduces the currency exchange risk to zero.
This completely changes the dynamic of brick and mortar stores.https://t.co/bpNzKC7ZDL
– No routing fee (zerofeerouting) March 31, 2022
And since we’re on the lists, in its announcement, Kraken provided Lightning wallet recommendations:
“For example, BTCPay server It enables merchants to make quick payments, which greatly improves the bitcoin repayment flow. For consumers, breezeAnd the Phoenix And the mon Bringing Lightning to mobile with a modern user experience.”
In terms of the importance of this move to markets and business, the pseudonymous Lightning node operator that goes through “no-fee routing” puts everything in perspective. “It also means that you are able to immediately transfer your received payment to Kraken to exchange it for securities, which essentially reduces the currency exchange risk to zero. This completely changes the dynamics of brick-and-mortar stores.”
Attacking ESG FUD directly
The increase in the adoption of the Lightning Network also brings great opportunity with it. The community can clean up the sickening narrative based on ESG that Bitcoin is seeding in the mainstream media. In this regard, Kraken’s Pierre Rochard said in the already quoted interview:
“With Lightning, you can send off-chain payments that are more energy efficient, not only because you don’t add miner fees, and therefore the amount of electricity consumed by the miners, but also because that payment only has to be stored and shared by both parties in that channel. “.
Do Greenpeace and Ripple Don’t you know that most bitcoin transactions will be off-chain in a few years? Don’t they know that the Lightning Network alone will take bitcoin out of the conversation its enemies have been so carefully crafting? Kraken definitely knows. And they took action.
Speaking of Kraken, CEO Jes Powell has been in the news recently. I recommend Buy Bitcoin for less than 40 thousand dollars. During the Canadian crisis, he hinted that Bitcoin should do so Withdraw their money from central exchanges. and he Voluntarily refused to ban Russian usersProvide a compelling reason to justify Kraken’s actions.
And now, his company has integrated the Lightning Network.
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