Based on a standard for standardizing wallet and bank account addresses and using the Lighting Network, Lightspark is offering its new instant payment service dedicated to businesses on American soil.
With Extend, Lightspark offers a near-instant payment solution for businesses
Lightspark, a company offering financial services based on the Lightning Network, now offers a near-instant payment solution called Lightspark Extend.
With this new service, only available in the United States, the group hopes to make daily life easier for its users, and more particularly for businesses who make payments daily.
Lightspark Extend is based on the Lighting Network. It is of a decentralized network built on top of the Bitcoin (BTC) network enabling instant and near-free peer-to-peer payments.
💡 To better understand – What is the Lightning Network?
Thanks to this payment protocol, Lightspark can offer very low fee settlements, in the order of 0.15% per transaction. For Lightspark, the arrival of its Extend service on the market is “ one step closer to its goal of making instant Bitcoin payments more accessiblewhether for businesses or individuals “.
This solution integrates with wallets, exchanges and bank accounts based on the Universal Money Addresses (UMA) standard designed by Lightspark. This is a standard that allows an account to be identified from an address composed of numbers and letters.
This way, anyone can receive payments without having to provide passwords, account numbers or IBANs to the issuer. Many U.S. banks that accept real-time transactions offer bank accounts that can be linked to a UMA address..
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Increasing use of the Lightning Network
Now, any company interested in adopting Lightspark Extend can register to obtain their UMA address in order to associate it with a bank account or a wallet and thus receive their payments instantly.
Please note that the company signed an agreement with Coinbase. Its users can use Extend, but also its multiple services, to instantly send up to $10,000 to the exchange. All this is possible since The crypto platform has integrated the Lighting Network last April.
Since February 2015, when the network was first presented, More and more entities are adopting the Lightning Network to offer financial services.
Nubank, the largest neobank in Latin America, announced in June that it had entered into a strategic partnership with the decentralized network in order to develop innovative products based on instant payments and transfers.
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This protocol was designed to meet to a problem linked to intense use of the Bitcoin network. Bitcoin transactions sometimes taking a while before being validated, and this with high costs which could be around several tens of dollarsthe Lightning Network provides a solution that provides both speed and economic efficiency.
Today, the Lightning Network is being leveraged for other projects like the Taproot Assets protocol enabling near-instantaneous transfer of fungible tokens and leaving the door open for the arrival of stablecoins on the Bitcoin network.
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Source: Lightspark
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Surprised by the rise of crypto-assets in the late 2010s, I started to closely follow this sector that fascinates me to the highest degree. When I am not in football stadiums, rugby or handball halls, I work on writing relevant articles about cryptocurrencies and more broadly, Web3.
Zacharie Tazrout
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