Cryptocurrency exchange Bitfinex has announced the adoption of the Lightning Network on its platform, becoming the first exchange to support it.
Bitfinex became the first platform to fully integrate Bitcoin Lightning Network deposits and withdrawals.
According to Bitfinex CTO Paolo Ardoino, the exchange is trying to bring its stablecoin USDT and Tether Gold onto the network.
⚡The Bitfinex Lightning Network integration is officially live!
You can now deposit and withdraw Bitcoin on Bitfinex via the Lightning Network.
— Bitfinex (@bitfinex) December 3, 2019
The new feature will enable users to withdraw and deposit BTC on the exchange over the Lightning Network. Besides, those running their own Lightning Node would also be able to connect with Bitfinex’s Lightning Node.
The Lightning Network is a second layer solution to Bitcoin’s scalability problem. Created by a San Francisco-based company Lightning Labs, building the next generation of decentralized financial infrastructure.
The exchange noted that the idea behind the initiative was to increase the transaction throughout of BTC’s blockchain network.
This open-source protocol enables instant payments at a low rate with millions of transactions every second and cross-chain atomic swaps.
Ardoino affirmed that the exchange believes this to be a game-changer in the industry.
“Since it supports P2P micro-payments it is bound to lure more users and could be about to experience an immense increase,” he added.
Besides, over the last two months, the firm has reportedly been working on implementing the technology. It is creating user experience designs, security, and safety remains some of the key concerns the development team faced.
Cryptocurrency gift card provider Bitrefill said Tuesday that it is providing Bitfinex support for the Lightning Network deposits/withdrawals.
We're proud to assist with the growth of the Lightning Network and @Bitfinex's support of LN deposits/withdrawals. Behind the scenes, we'll be using fat channel subnetworks, custom implementations, and dynamic settlements to power a new economy. ⚡️🚀 https://t.co/noN7GDYaSa
— Bitrefill (@bitrefill) December 3, 2019
Also, Bitcoin core developer, Jameson Lopp, stated that many other platforms will copy this latest development.