• Coinbase – the largest and most popular crypto exchange in the U.S. – has announced it’s going to be integrating the bitcoin Lightning Network onto its platform.
• The Lightning Network helps move various (smaller) bitcoin transactions off-chain, thus ensuring the network has less baggage to deal with and making transactions quicker and less costly.
• Coinbase is also dealing with a Wells notice from the Securities and Exchange Commission (SEC), which may indicate potential legal trouble for the company in the future.
Coinbase Integrates Bitcoin Lightning Network
Coinbase – one of America’s largest and most popular cryptocurrency exchanges – has revealed plans to integrate the Bitcoin Lightning Network onto its platform. This integration will allow users to take advantage of faster, cheaper Bitcoin transfers while reducing strain on the network itself.
What is The Lightning Network?
The Lightning Network is a second layer payment protocol that works on top of existing blockchain networks, such as Bitcoin’s mainnet. It facilitates faster transaction speeds by taking some of these smaller payments off-chain, allowing them to be processed more quickly without congesting or slowing down the main network itself. This improved speed also reduces costs associated with transfers, making them more affordable for all involved parties.
Coinbase CEO Announces Integration Plans
Brian Armstrong, CEO of Coinbase, confirmed their plans to integrate The Lightning Network via Twitter: „Lightning is great and something we’ll integrate.“ This news comes at an interesting time for Coinbase, as they have recently received a Wells notice from The Securities and Exchange Commission (SEC). This does not indicate guilt or wrongdoing but rather serves as a warning that charges may be incoming in the near future; thus giving Coinbase time to prepare their defense accordingly should this occur.
SEC Crackdown on Cryptocurrency
The SEC has been cracking down on cryptocurrency firms over recent years; Kraken was recently forced to pay out a hefty $30 million penalty fee after being accused by The SEC of staking violations — despite refuting any wrongdoing — while other platforms have been similarly targeted by regulators in what many feel are unfair practices designed only to fill government coffers with penalty fees rather than focusing on true justice or protecting consumers.
Overall, Coinbase’s plan to integrate The Lightning Network onto their platform will help enhance user experience by providing faster transfer times at lower cost while simultaneously reducing stress placed on BTC’s mainframe; however, this news comes alongside potential legal troubles as hinted at by The SEC’s Wells notice against Coinbase — though no charges have yet been filed against them or any other firm mentioned throughout this article at this time — leaving us all eagerly awaiting further updates regarding both fronts moving forward.