Lightning Payment Channels Market Grows 600% in 1 Month

Key facts:
  • The liquidity of the magma increased by more than 10 BTC in a month.

  • Payment channel sellers on Magma have received a total of more than 3.5 million satoshis.

Magma, the Bitcoin Lightning Network (LN) payment channel market operated by Amboss Technology, has grown from around 40 payment channels open on its platform after its launch to 345 LN channels available today.

The increase in the number of payment channels offered in Magma is 600%. This number also affects the liquidity of the mentioned market, which It went from 2.81 BTC in its early days, to 14.54 BTC today; That is five times the liquidity.

The importance of having this type of market is that it facilitates access to the payment channels of the Bitcoin Lightning Network. The main stakeholders in being clients of these markets are LN users who wish to have more liquid payment channels, but do not have the necessary amount of BTC to fund their own channel(s).

As the just-quoted tweet mentioned, LN payment channel sellers on Magma received over 3.5 million satoshis in total as payment for their services. This amount has been converted into fiat currency Equivalent to approximately $953 at current BTC prices in the foreign exchange market.

Certainly, the total amount of money distributed among all those who sold a paid channel on Magma is not so much. However, this also means that the cost of acquiring a payment channel in this market is minimal.

CriptoNoticias reached out to Amboss Technology to get their perspective on Magma’s rapid growth this month. Unfortunately, as of the time this article was published, there had been no response.

Magma has its own competing markets, including Lightning Pool, developed by Lightning Labs, and Lightning Ads, owned by Blockstream. Both platforms, like Magma, act as liquidity pools, another name that can be given to the Bitcoin Lightning Network payment channel market.

The LN payment channel trading platforms developed by Blockstream and Lightning Labs have some advantages over Magma, such as greater privacy for their users and the fact that they do not need a commission to use this tool.

however, Magma’s advantage over its competitors is its user interface, which greatly simplifies its use. In addition, it provides access to information such as the one discussed in this article. Whereas in other cases everything is handled through lines of programming code.

Bitcoin Lightning Network

A recent article in CriptoNoticias reported that the number of monthly transactions made via Lightning has grown by 410% compared to the 2021 figures. According to data provided by Arcane Research, LN went from processing 100,000 monthly payments at the beginning of last year, to 500,000 transactions per month currently.

 

 

 

 

 

Bitcoin Review

Leave a Comment