Bitcoin Global News (BGN)
August 15, 2018 -- ADVFN Crypto NewsWire -- Perhaps
the Lightning Network is not as
far-fetched a solution as its critics seem to think. A report by
Coindesk, which was released yesterday, brought
to light a little known incentive related to running a Lightning
node that some Blockchain enthusiasts might not be aware of as of
yet.
Before we get into exactly what
this is, let’s review for clarity’s sake, precisely what the
Lightning Network is. At a foundational level, it is a protocol
that is made to work with a Blockchain and whatever existing
protocol it runs on, to speed up and optimize Cryptocurrency
payments.
Keep in mind that by protocol, we
basically mean an algorithm, which is also a set of rules that tell
a network how to operate. A common example of this in the
Blockchain world is a Proof of Work protocol, which tells
a blockchain network how to record and validate
transactions.
Over the course of the last year,
the Lightning Network has been coming under fire due to critics who
have been saying that payments on it fail more often than they
succeed, as well as that it is not the scaling solution that it is
cracked up to be.
While it is true that the Lightning
Network is in its early stages, it has already reportedly
consistently achieved fees that are as low as about 1 cent in US
dollars. As compared to the current state of Bitcoin fees, which
clock in somewhere between 6 cents and 22 cents, this
is definitely an improvement.
As far as the incentive mentioned
above, Coindesk’s article stated that Lightning node operators,
which are the users that help to keep the network running as it
should, can earn a small income from their participation in the
network.
The issue now is this “income” is
not quite what it seems to be upon first glance. In the case of
Coindesk’s article, their title is aptly chosen as it includes the
caveat “a little,” in connection with “you can get paid to use the
Lightning Network.”
Despite this, it is a good sign for
the future of the Lightning Network, especially if, again as
Coindesk suggests, these potential monthly profits can rise over
time. If they do, then people will see all the more reason to
participate in the network’s growth, including its movement to
support other blockchains, beyond Bitcoin’s as well as several of
the other most powerful Crypto projects.
In connection with this growth, it
should also be noted that all of this will depend on the Lightning
Network’s ability to fulfill its overarching vision of being the
fastest payment protocol in the world.
By: BGN Editorial Staff
News:
Lightning
Network
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