According to a research report, the Bitcoin Lightning Network was able to double the number of unique channels within a year. In addition, payment volume has increased by 400%.
Arcane Research, a leading on-chain analytics firm, released a detailed report summarizing the latest metrics surrounding the Bitcoin Lightning Network. The report “The State of Lightning Volume 2” dives deep into the reasons behind the surge in adoption of the Layer 2 payment solution.
In the last 12 months, the number of unique channels on the platform has grown by 100%, or over 88,000. The capacity of the network is also 3,621 bitcoins (BTC). Metrics such as the connectivity measure and the number of channels per node have also increased significantly. According to Arcane Research, the implementation of the Lightning Network is driving growth. BlueWallet, Zebedee, and Reez are among the growing number of digital wallets leveraging Lightning Network technology.
El Salvador’s Chivo Wallet has successfully deployed the network. Cash App made the network accessible to more than 80 million users. The Bitcoin Lightning Network is also used by Strike, Bitnob and Bottlepay. Furthermore, the social platform Twitter uses the Lightning Network for the tipping service.
According to the report, the Lightning Network is increasingly being used by gift card and coupon services like Bitrefill. At the same time, more and more gaming platforms are using the technology to offer rewards to players. For example, Thndr Games pays out massive amounts in the form of micropayments to players using their platform.
Arcane Research also gave some exciting predictions for the future of the network. However, according to the analysts, there is still a lot to do so that the BTC Lightning Network can keep up with classic payment networks such as Visa.
However, the research team believes that hyperbitcoinization is not required for widespread use of the network: “With infrastructure providers enabling seamless and cost-effective conversion between fiat currencies and bitcoin, the Lightning Network can be used as a superior payment platform without that people know or care that they are using Bitcoin on the Lightning Network.”