Bitfury Group has teamed up with business payments processor HadePay in an effort to bring lightning network Bitcoin payments to merchants in the US, Canada and the EU, industry website Coindesk has reported.
The blockchain technology firm announced yesterday that it had integrated its Peach Merchant API with HadePay’s platform. The move will allow businesses to accept Bitcoin payments over the lightning network. Merchants would be able to “immediately” convert these payments to fiat currency of their choosing through HadePay’s platform, Bitfury further explained.
“By bringing the Lightning Network to HadePay’s payment processing platform, we are making it easier for businesses across the United States to accept bitcoin payments,” Pavel Prikhodko, who oversees Bitfury’s team of lightning network developers, said, as quoted by Coindesk.
Meanwhile, HadePay’s founder and chief executive officer, Brian Nichols, said that the integration made Bitcoin payments “equally convenient as our fiat payment processing services, thereby paving the way for mass adoption in commerce”.
The lightning network is a second-layer blockchain solution, aimed at addressing Bitcoin’s scalability issues. The solution allows two parties to open a bidirectional payment channel to transfer BTC, without the need for those BTC transactions to be recorded on the blockchain. By eliminating block confirmation times, the lightning network is capable of processing millions of transactions per second, something that cannot be achieved on the underlying blockchain. Another benefit of the lightning network is that it allows for much lower fees compared to regular Bitcoin payments.
In its current state, the lightning network is still very much a work in progress, with start-ups like Bitfury and Lightning Labs working on bringing the technology into the mainstream.
Bitcoin’s younger sibling, the Litecoin (LTC) protocol, has enabled its own version of the lightning network. Stellar Lumens (XLM) has also announced that it will be integrating the protocol, while Ethereum (ETH) is working on its own off-chain scalability solution called Raiden.