Bitcoin Lightning Network, a layer 2 solution built on the BTC blockchain has experienced a new ATH (all-time high) in its USD transactions. The recent Bitcoin price rally obviously had an impact on the Lightning Network as it sees an increase in its USD capacity.
Live data from The Block’s on-chain metrics show that there has been a spike in USD transactions resulting in a new all-time high since its creation. According to the data, Lightning Network USD capacity has reached 5,630 BTC which is worth $171.99 million.
While that expansion has shown how widely used the Lightning Network is, the capacity of the protocol in terms of Bitcoin has increased by as much as 42%, while the capacity in terms of U.S. dollars has increased by a staggering 105%.
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For context, Bitcoin Lightning Network is a second layer built on the Bitcoin blockchain to improve the blockchain’s capacity and also allow for faster and cheaper transactions. In summary, Lightning Network is built to address all the glitches associated with Bitcoin. Lightning Network provides the same solution that Layer 2 (L2) protocols like Polygon and Arbitrum provide to the Ethereum Blockchain.
The growth in the USD capacity of the Lightning Network is evidence of Bitcoin’s growing adoption and acceptance as a potential alternative payment method. Recently, some key players in the crypto industry have reportedly implemented the Lightning Network into their platforms to serve their customers better.
In fact, Binance admitted that it is already working on integrating Lightning Network on its platform to further improve its services and deliver faster and cheaper Bitcoin transactions.
Bitcoin (BTC) price today
According to live data from CoinMarketCap, the price of Bitcoin today is $30,375. The price is down 0.90% in the last 24 hours. Furthermore, Bitcoin is the most popular cryptocurrency in the market and is ranked #1 on the chart. Finally, it has a market cap of $590,488,968,411 ($506 billion) with a max supply of 21,000,000 BTC tokens.
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Victor Swaezy
Victor Nnamdi Igbor "Swaezy" is a crypto enthusiast and writer with over 8 experience in blogging. He is an easy person and when not working, loves to have a good time.