Bitcoin (BTC) Lightning Network (LN) is Helping BTC Price Surge, Says CNBC Analyst
- Bob Iaccino of Path Trading Partners believes that the ‘Lightning Network’ is making things a lot easier for BTC holders — especially in terms of ‘adoption’.
- Many experts are of the opinion that while Visa’s native tx capacity is far greater than that of BTCs, the flagship crypto asset is much easier to use because of its decentralized framework.
As many of our readers are probably well aware of, Bitcoin has made a resurgence of sorts over the past few months — with the flagship crypto asset recently breaking past its all-important $8,000 barrier a few days back.
In regards to the matter, a number of analysts are trying to put their fingers on a few catalyzing factors that might have helped in spurring the value of BTC. For example, Seema Mody of CNBC recently stated that a couple of established “crypto trading desks” had given her inside information that investors who purchased significant amounts of alt-assets back in 2016 had returned to the market earlier this year.
— CNBC Futures Now (@CNBCFuturesNow) May 15, 2019
Similarly, when Bob Iaccino, the chief market strategist at Path Trading Partners, was asked to comment on the issue, he replied by saying:
“Well it’s entirely possible. I don’t have any more direct insight, me being more of a futures and equities guy, as to who’s actually doing the buying. I do believe I know part of the reason why, and that has to do with the inception and application of software called the Lightning Network.”
What Is The Lightning Network?
In its most basic sense, we can think of LN as being a “second-layer scaling technology” that has been designed to help BTC and another crypto-coins scale up their native TPS rates in an easy, streamlined fashion.
Additionally, from a technical standpoint, we can see that by moving to an off-chain processing model, the Lightning Network allows its users to facilitate millions of transactions within a matter of seconds — all while keeping tax rates and other peripheral costs quite low.
In closing out this piece, it should be pointed out that while the L.N. continues to garner more and more mainstream support with each passing day, it is still not ready for “mainstream adoption” — since the technology is ridden with a few creases and glitches that need to be resolved before it can be deployed for mass use.