The use of digital transaction is getting old since the introduction of cryptocurrencies as the boundaries are limitless. The Visa can process 4000 transactions per sec and can support upto a maximum of 65000 tps whereas Bitcoin, the most popular cryptocurrency, can support seven transactions per second. Lightning introduced by CoinGate to work on this problem enables the user to create a different channel away from the blockchain to process the transaction thus avoid the limit and simultaneously removing the drag from the chain. The transaction ends after the agreement from both the parties and the transcript is sent to the chain.
Lightning Network connects users in a network of payment channels independent of the leading Bitcoin network. With Lightning, transactions are faster and secure with no additional virtual cost off the main Bitcoin blockchain. This will help in high volume microtransactions and reduces the load on the blockchain with high frequency and real-time trading.
The network has just begun and is more suitable for advanced Bitcoin users, but a massive community of developers is working behind the scenes on making it user-friendly and accessible to a broader audience. CoinGate is dramatically reducing the technical barrier on the merchant, and the process is effortless while the Lightning can be controlled from users end.
Dmitrijus Borisenka, Co-Founder and CEO of CoinGate said, “CoinGate takes every opportunity to innovate and offer cutting-edge solutions to our users. We are keen believers in cryptocurrencies as a way to transact globally, and the Lightning Network, although still a recent new technology, fits exactly in our vision of what Bitcoin should be in the future”. CoinGate had been looking for innovative ideas to resolve the scaling problems which aims to make the process faster and cost-effective. The payment process is bringing the option to accept Lightning payments to its 4,000 clients.
The Lightning Network was an idea or invention of researchers Tadge Dryja and Joseph Poon, who first proposed the idea in a 2015 white paper. The aims remain the same as to make the bitcoin more useful and more accessible for micropayments. It might take some time for Lightning Network to spread globally, but CoinGate is a step closer in that direction and is winning support from Bitcoin enthusiasts.
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