Welcome, welcome to One Minute Crypto! I'm your host, Chronos, and today I want to talk about a recent headline announcing that Coinbase is now supporting the Lightning network, but it turns out there's a catch Coinbase is an absolutely huge cryptocurrency exchange, so this is pretty exciting
They're responsible for good chunk of the traffic on the bitcoin network today By the way, I picked up the story from the CoinGecko daily email newsletter, which I guess I would recommend if you want to keep up to date on the latest crypto news They do get a few things wrong sometimes, but overall, it's a decent source for the latest news in the ecosystem Anyway, back to Coinbase It turns out that this news isn't as big as I first thought
They aren't actually adding direct support for Lightning Instead, they had an existing partnership with a company called Bitrefill, and THAT company connected their Lightning API to Coinbase You actually have to log into Bitrefill's website in order to initiate a Lightning transaction that pulls from your Coinbase account Still, this is a big step forward I think a lot of the traffic on the bitcoin blockchain today is just traders moving their coins in and out of exchanges, to arbitrage between price differences around the world
This is a great use case for the Lightning Network, which offers cheap, instant transactions, taking this load off the base layer blockchain It's a win-win, in my opinion I'm Chronos Thanks for watching!