Coinbase head Brian Armstrong reveals Bitcoin lightning network plan

According to a tweet on August 2, Brian Armstrong, the CEO of Coinbase, mentioned that the exchange is actively working towards integrating the Bitcoin Lightning Network (LN) as part of its efforts to promote cryptocurrency payments worldwide. 

Coinbase aims to integrate Bitcoin lightning network

Armstrong’s statement was in response to a tweet from Jack, co-founder of Twitter, who questioned why Coinbase was not prioritizing the implementation of LN for expanding crypto payment options. The CEO said,

“We’re looking into how to best add Lightning. It’s non-trivial, but I think it’s worth doing. I’m all for payments taking off in Bitcoin.”

LN is a layer 2 payment protocol developed on the Bitcoin network. This scaling solution enables faster and more cost-effective transactions between network participants, addressing the scalability challenges of BTC and ultimately enhancing user experience. As a result, broader adoption of this leading digital asset can be realized. It is worth noting that LN is currently the most popular layer 2 solution for BTC.

Bitcoin Lightning Network adoption has experienced growth in the past year, with the Total Value Locked (TVL) reaching its highest point in July, surpassing 5000 BTC. 

While Armstrong did not provide a specific timeline for the Coinbase integration earlier this year, he hinted at incorporating LN into the platform after community members raised concerns about the exchange’s limited access to this scaling solution. In July, Binance joined other major exchanges, such as Bitfinex, Kraken, and OKX, in integrating the LN solution.

LN adoption has observed consistent growth throughout the year. The recent collaboration between Voltage exemplifies it, a Bitcoin Lightning infrastructure provider and Google Cloud to expand hosting capacity and global presence. 

Bitcoin Lightning Network Capacity

Glassnode data further support this upward trend, revealing that the total value of assets locked on the Lightning Network surpassed 5000 BTC in early July. This represents significant growth compared to the approximately 4000 BTC locked at the beginning of the year.