- You will now be able to send more significant Bitcoin (BTC) payments through the send-layer implementation, Lightning Network, following the successful launch of payment channels labeled, Wumbo.
In an announcement this Thursday, the Lightning Network Implementation, LND, developed by Lightning Labs, announced the introduction of “Wumbo” channels that will allow uses to send and receive more Bitcoins than before.
Since launch in 2018, the LND developers have been iterating and experimenting on the Layer-2 protocol to allow fast and low fee off-chain transactions for users. The platform enables two users to create direct payment channels to make small, quick transactions. The developers set a maximum receiving limit of 0.16777215 BTC and a maximum payment of 0.04294967 BTC through the channels.
These restrictions were put in place to limit the amount users can send due to the LND network still being in its testing phase. With the introduction of Wumbo, these caps have been abolished, allowing higher amounts of BTC to be sent on the channels. However, Blockstream’s developer, Rusty Russell, urges caution while sending large sums to avoid losses.
“As always, it’s best to think of Lightning as your petty cash, rather than your life savings.”
The Wumbo channels have been previously implemented on other Lightning implementations, including ACINQ’s eclair and Blockstream’s c-lightning. Wumbo, in each application, allows users the option to accept and send large transactions through the update or keep the maximum caps in place.
Lightning Labs CEO Elizabeth Stark, states the opening of Wumbo channels aims at increasing the utility and adoption of LND across retailers, businesses, and enterprises. The opt-in feature allows companies to transact more copious amounts of BTC safely and securely, Stark said. She added,
“With larger channels, node operators and companies deploy more capital per channel, which reduces the need to open additional channels or cycle through channels as quickly.”
So far, several companies had already adopted the Wumbo channels operating larger liquidity nodes long before the official implementation was released.