Coinbase, the largest US cryptocurrency exchange, has made a groundbreaking move by selecting Lightspark, led by CEO David Marcus, to integrate the Bitcoin Lightning Network onto its platform. This integration is set to revolutionize the way Coinbase customers conduct bitcoin transactions, making them instant and cost-effective.
Shan Aggarwal, VP of Corporate & Business Development at Coinbase, expressed the company’s commitment to making the global financial system faster and more efficient through this partnership with Lightspark. The goal is to eliminate payment barriers and enable faster and cheaper Bitcoin transactions by supporting the Lightning Network.
Lightspark has been working diligently for nearly two years to develop its platform as a premier entry point to the Lightning Network, specifically catering to institutional clients seeking reliable and efficient solutions for Bitcoin transactions. The integration with Coinbase includes a range of sophisticated tools and services provided by Lightspark, such as SDKs, APIs, and developer tools, to simplify the process of implementing and managing Lightning nodes.
One key aspect of the integration is Lightspark’s remote-key signing implementation, where Coinbase holds the Lightning signing keys while Lightspark hosts the Lightning node. This setup is designed to ensure scalability, reliability, and optimization of node infrastructure, allowing Coinbase to focus on delivering exceptional user experiences without the complexities of managing a large-scale Lightning implementation.
Coinbase Protocol Specialist, Viktor Bunin, praised the collaboration with Lightspark, highlighting the great technology and teamwork that went into the partnership. The official announcement of the integration comes almost a year after Coinbase CEO Brian Armstrong committed to integrating the Lightning Network onto the exchange, reflecting the company’s dedication to meeting the increasing demand for efficient Bitcoin transactions.
With Coinbase facilitating a significant $154 billion in quarterly volume traded across its platform, the integration of the Lightning Network comes at a crucial time, especially considering the rising Bitcoin prices and transaction fees. This move will give Coinbase customers access to cheap and efficient Bitcoin transactions, further improving scalability and enhancing the overall user experience.
