On March 2, Xapo Bank announced a partnership with Lightspark, led by David Marcus, former crypto boss at Facebook. The partnership aims to expand the utility of Bitcoin and the Lightning Network, which Xapo revealed on Thursday is the first fully licensed private bank to offer payments through the Lightning Network.
Xapo’s CEO sees the Lightning Network integration as a solution to high fees and long transaction times
Xapohas teamed upandwithLightsparkto integrate Lightning Network, according to an announcement sent to Bitcoin.com News. The company, founded in 2013, allows customers to use Lightning Network’s detailed that they can now pay for small purchases up to $100 at any vendor that accepts payments. In addition, Xapo offers an interest-bearing USD bank account and will soon do the same for Bitcoin; Xapo CEO Seamus Rocca believes that by using the Lightning Network, customers can avoid long waiting times and high on-chain fees He believes that customers will be able to avoid long waiting times and high on-chain fees.
“The average transaction confirmation time of one hour and the potential for large fees during periods of high usage make the bitcoin network unsuitable for everyday small-value payments such as groceries.” Rocca said in a statement.” By integrating with the ultra-efficient Lightning Network, we have streamlined this process and are the first bank in the world that allows our members to pay for small purchases in bitcoin without having to first convert it to USD.”
At the same time, Jack Dorsey’s payment company, Block, launched a new Lightning Network service provider called “c=” The c= venture notes on its website that it is partnering with wallets, companies, and Lightning nodes Rocca said in the Xapo-Lightspark announcement that “demand for bitcoin payment integration continues to grow against a backdrop of hyperinflation, economic uncertainty, and political turmoil. “Xapo’s CEO said that “this kind of integration that opens access to bitcoin payments is necessary,” he asserted.
To use the Lightning Network via Xapo, clients must havebitcoin (BTC)in the Xapo Bank App. The user can then scan the Lightning Network bill and pay any merchant in the application; Xapo details that the network charges a small satoshi for the transaction; Lightspark CEO and co-founder David Marcus explains that Xapo is one of the company’s closed beta partners.
Marcus said, “We are pleased that they have chosen Lightspark’s enterprise-grade solution that eliminates all of the complexity and operational overhead typically associated with running nodes on the Lightning Network, and ensures that they send and receive payments We are pleased that they have chosen Lightspark’s enterprise-grade solution to ensure that they are sending and receiving payments.” At the time of this writing, the total capacity of the Lightning network is 5,421.53BTC.
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