Binance to Implement Bitcoin Lightning Network for Faster BTC Transactions
Binance Exchange has been working on adding Lightening Network support on its platform. However, the project is still a work in progress. The firm is reportedly working on the LN integration to make the deposit and withdrawals process more efficient on the platform.
The exchange platform has recently reported the addition of the new node on the LN maintaining that they have become live on the Layer-2 scaling forum. At the same time, the crypto exchange has informed the stakeholders that there is still considerable work to be done to complete the technical transition.
However, Binance has refrained from sharing a precise timeline for when the project will reach completion and go live. It is important to note that LN is the layer-2 scaling solution that was built on the Bitcoin blockchain to improve scalability and reduce the transaction fee. Binance recently shared that it is working on incorporating the LN in May.
The incident was inspired by the 2x Bitcoin withdrawals from the exchange within 2 hours. This massive withdrawal was triggered by a backlog of pending transactions to be processed on the network.
Binance exchange has maintained that at present Bitcoin genesis blockchain has a limited TPS of 7-8 transactions per second. However, Bitcoin is reportedly one of the most popular cryptocurrencies in the world.
The New Integration will Improve TPS
Thus, the Binance exchange has faced a buildup of pending Bitcoin transactions during the events of massive trading volume and price volatility. Such that Binance officials have reported that the firm has decided to lend support in the form of LN maintaining that it will improve the TPS for Bitcoin trades without affecting the mainnet.
However, some crypto investors have raised concerns about the possible centralization of crypto transactions taking place on LN to trump the reduction of gas.
Other cryptocurrency exchanges such as Kraken, River Financial, Bitfinex, and OKX have already LN support on their platforms. Kraken exchange officials have maintained that the LN layer can process millions of transactions per second.
The exchange platform has likened LN with VISA while maintaining that its TPS prowess surpasses that of the cashless payments services provider.
Meanwhile, the users on Twitter have called for the integration of LN to enable Bitcoin tipping on the social media network for El Salvadorian and US consumers with the exception of New Yorkers and Hawaiians.
Uniswap is the largest decentralized exchange in the crypto sector. At present, there is lots of competition in the DeFi market to catch up to the competition. However, according to some crypto market analysts, Uniswap can widen the gap between itself and other DEXs when its 4th edition hit the shelves.
The experts have pointed out that the DEX is currently leaning towards social consensus. The analysts have also maintained that the crypto entity has made itself more aligned with Ethereum blockchain to the point of becoming synonymous with the blockchain project.
The reporters also noted that the DEX platform is going to introduce a special smart contract-based protocol named hooks. These hooks will increase the programmability and editing features for the devs who are working with the DEX. It means that the devs will be able to add logic after every swap between two blocks.
The analysts have also noted that if the version proposal comes to fruition, it would mean that other DeFi devs will benefit from the tools provided by Uniswap rather than building them from scratch.
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