David Marcus Launches Lightspark for the Lightning Network
The world needs an open, functional, and affordable protocol. The crypto community needs transactions that are not only cost-effective but also processed in real-time!
Money should move online like emails or text messages, and the Lightning Network has the best chance of becoming the standard protocol that enables that and much more for everyone around the world,David Marcus, the CEO and co-founder of Lightspark, believes.
The Lightning Network operates on the highly secure and well-tested decentralized blockchain of Bitcoin, as Marcus has mentioned. However, Lightning transactions are conducted off-chain, which makes the payment system both affordable and swift.
Although fast and cost-effective transactions are common in the cryptocurrency industry, they are usually associated with microtransactions and P2P settlements. However, for the corporate sector, the cost of services increases, and transaction times are longer. Therefore, according to David Marcus, scalability was one of the primary requirements when selecting a network, and Lightning Network meets these requirements. These are just some of the advantages of the network.
When it comes to the drawbacks, the Lightning Network requires significant setup and adjustment work to showcase the kind of functionality that users expect from a modern payment system. This includes simplifying the node management process and ensuring stable connectivity, among other things. However, due to the high operational costs, many companies have abandoned this initiative halfway through.
That's why Lightspark has decided to focus on making the network more accessible and user-friendly. Currently, they're offering three main features:
- Lightspark Connect: Automated deployment and management of enterprise-grade nodes.
- Lightspark Predict: Intelligent routing to ensure transaction efficiency. This feature uses automated liquidity deployment to optimize capital efficiency.
- Lightspark SDK and API packages: Developed by developers for developers, these tools allow for easy integration of Lightning payments into products and services, as well as node and account management.
It's now intuitive and easy to reliably send and receive payments on the network or to build payment experiences without any of the constraints of antiquated rails. Hello, streaming money!says Marcus.
David Marcus, a co-founder of Lightspark, is a prominent figure in the finance industry, having previously served as the president of PayPal. This has given him a deep understanding of the inner workings of financial markets. Marcus was also involved in the creation of Diem, a global cryptocurrency project by Meta, which unfortunately failed to take off due to resistance from US regulators.
Let's now turn our attention to Lightspark's partner, Xapo Bank, a banking provider. Wences Casares, an entrepreneur from Argentina, founded this financial institution after becoming tired of the instability of his country's financial market. As a result, he switched his business to the more stable Bitcoin.
When Casares first purchased Bitcoin in 2011, he had trouble finding a secure place to store it, which led him to create his own solution. Xapo Bank is now one of the most secure cryptocurrency wallets in the world. In 2022, Xapo Bank relocated to Gibraltar, and in 2018, its custodial business was acquired by Coinbase.
As we previously reported, Coinbase CEO Brian Armstrong has confirmed his intention to integrate Lightning Network protocol into Coinbase's trading platform.
