Coinbase CEO Brian Armstrong has revealed the exchange’s intention to potentially integrate Bitcoin’s prominent Layer 2 scaling solution, the Lightning Network.

In response to Jack Dorsey’s criticism, Armstrong, co-founder of financial services firm Block, has allayed concerns that Bitcoin and its lighting network are being ignored by Coinbase.

“Our challenge going forward is to decipher the best way to integrate Lightning. I fully support the idea of Armstrong elucidated.

The Lightning Network is an important means of innovatively addressing Bitcoin’s scalability problem. Its core mechanism allows users to establish payment channels among themselves and facilitate off-chain transactions. Importantly, these off-chain transactions are faster and more cost-effective than traditional on-chain Bitcoin transactions.

Why do we keep ignoring Bitcoin and lightning?

Which “cipher” is the better money transfer protocol and why?

— Jack (@jack) July 26, 2023

Coinbase stands on Bitcoin support

Armstrong retaliated against Dorsey’s claims that Coinbase was avoiding the world’s most valuable cryptocurrency. Coinbase CEO emphasized,

“I wonder why you believe we are ignoring Bitcoin, but we have been successful in introducing an unprecedented number of people to Bitcoin and this is probably the most More than any other organization in the world, let’s build this together.”

Dorsey, a well-known bitcoin advocate, expressed enthusiasm for Armstrong’s proposed partnership, saying, “If we could allocate more resources to those who initially focused on bitcoin and Layer 2 technology, It will be extraordinary,” he stressed. We would love to join forces. “

A Step Towards Bitcoin Layer 2 Integration

This isn’t the first time Armstrong has hinted at a Lightning Network integration following criticism that he is “actively ignoring” the protocol. Earlier this year, he acknowledged that “Lightning has great benefits and we are likely to embrace them.”

Should Coinbase Support Lightning? Communication networkBitstamp, Kraken, OKX, Bitfinex, and most recently Binance, all major cryptocurrency trading platforms that have integrated the solution.

Presenting his vision for global cryptocurrency payments, Armstrong said: twitter,

“Integrating Layer 2 technology, improving onramps, and streamlining the UX/onboarding process will require a joint effort from all of us, including Coinbase.”

However, his vision was called into question by prominent Bitcoin advocates because he did not explicitly mention Bitcoin.

Bitcoin Lightning Network: Benefiting Bitcoin Transactions

The Lightning Network is designed to power Bitcoin transactions by allowing users to create off-chain transaction channels. Some have argued that Bitcoin Lightning should be integrated into Coinbase, but Dorsey asked “what?”Cryptocurrency“Why would it be a better money transfer protocol than Bitcoin?”

After a short silence, Armstrong confirmed that Coinbase is considering supporting it. Bitcoin Lightning has repeatedly said he supports Bitcoin payments. Armstrong and Dorsey agreed to work together on Bitcoin and Layer 2 technology, ultimately aiming for an open protocol for money transfers over the internet.

conversation between two people industry The two leaders promised to move in the same direction and came to a conclusion in an upbeat mood.

Bitcoin price analysis

In the last 24 hours to the time of this writing, Bitcoin The (BTC) market is reigning bullish, with above-average investor demand pushing the price to an intraday high of $29,988, where it met resistance. As a result, the bears dominated the market and the price plunged to test the support level of $28,946.51.

The market is currently in a period of volatility as investors weigh the effectiveness of support levels and the possibility of further bear markets. Bitcoin’s market capitalization fell 0.20% to about $565 billion, while the 24-hour trading volume rose 25.84% to about $21 billion.