Binance customers will now be capable of deposit or withdraw Bitcoin on the Layer 2 scaling resolution.
Posted July 17, 2023 at 2:17 am EST.
Binance, the world’s largest crypto alternate, has accomplished its integration of the Bitcoin Lightning Community.
#Binance has accomplished the mixing of Bitcoin ( #BTC ) on the Lightning Community and deposits and withdrawals are actually open.
Extra particulars right here 👇https://t.co/aIofPdtAGY
— Binance (@binance) July 17, 2023
In a July 17 announcement, the crypto alternate stated that deposits and withdrawals for customers via Lightning had been enabled. Customers would wish to pick the “BTC-Lightning” as their community when depositing or withdrawing Bitcoin from the buying and selling platform.
Binance confirmed the mixing was underway final month after customers observed the presence of Lightning nodes in its infrastructure. Nevertheless, the alternate first disclosed that it deliberate to allow Lightning withdrawals in Could, following a big quantity of congestion on the Bitcoin community that pressured Binance to briefly close BTC withdrawals.
On the time, there have been round 488,000 unconfirmed Bitcoin transactions within the mempool – a degree that was notably larger than the norm throughout the 2021 crypto bull run. The community congestion additionally considerably drove up the typical transaction charges on Bitcoin, and was largely attributed to the emergence of the BRC-20 token customary created on the Bitcoin Ordinals protocol.
The Lightning Community is a Layer 2 protocol constructed on Bitcoin by Lightning Labs and goals to deal with the community’s scalability, pace and privateness of transactions. The answer reduces charges and congestion on the community by enabling micropayment channels and conducting transactions off-chain.
Earlier this month, Lightning Labs released a brand new set of instruments to allow AI interfaces like ChatGPT to ship, obtain and maintain Bitcoin.
A number of crypto exchanges together with Bitfinex, OKX and Kraken have already applied Lightning. In April, Coinbase CEO Brian Armstrong said that it was one thing the alternate deliberate to combine, however didn’t specify a timeline.