On July 17, Binance announced via tweet that the Bitcoin Lightning Network has been successfully integrated into the digital currency exchange Binance’s platform for deposits and withdrawals of BTC.
In a blog post published on July 17, Binance said that customers can now utilise the layer-2 scaling solution for BTC deposits and withdrawals.
Moreover, users can now pick “LIGHTNING” as an option when they decide to deposit or withdraw Bitcoin from the exchange. Additional choices include BTC (SegWit), Bitcoin, Ethereum ERC-20 and BNB Beacon Chain (BEP2).
Binance initially made a suggestion that the Lightning Network will be integrated in May, when it had to briefly halt BTC withdrawals because of an overflow of leftover transactions driven by “the recent surge in BTC network gas fees.
The development of meme coins on Bitcoin in the form of BRC-20 tokens, an entirely new standard on the network, is mainly to blame for the growth in transaction costs.
After users discovered Binance’s own Lightning nodes, Binance subsequently acknowledged that it was preparing to join the Lightning Network on June 20.
Along with other well-known exchanges like OKX, Bitfinex, Kraken, River Financial and CoinCorner, Binance has adopted the Lightning Network.
Brian Armstrong, the CEO of Coinbase, also made an indication in April that he intended to incorporate the Bitcoin layer 2 network on Coinbase. He did not, however, provide an estimated date for when that would occur.
The Lightning Network enables customers to establish off-chain transaction channels, which should speed up and reduce the cost of Bitcoin transactions.
