By successfully integrating the Bitcoin Lightning Network onto its platform, Binance, one of the top cryptocurrency exchanges in the world, has made a substantial contribution to improving the efficiency of Bitcoin transactions.
Users of Binance can now take advantage of the Lightning Network’s capabilities for their Bitcoin deposits and withdrawals thanks to this integration, which was announced on July 17, 2023.
A second-layer Bitcoin solution called Lightning Network enables quicker and less expensive transactions. It fixes the scalability problems with the Bitcoin blockchain, enabling faster transfers.
This is done by establishing methods of payment between users, which are effectively transactional off-chain channels. These channels allow users to conduct business directly with one another without needing to record each transaction on the Bitcoin blockchain.
After temporarily stopping BTC withdrawals due to a spike in outstanding transactions in May, Binance made a decision to implement the Lightning Network. The development of memecoins on Bitcoin in the form of BRC-20 tokens, a new token standard on the network, is partly responsible for this increase.
“The Bitcoin network has struggled to process a large number of transactions, currently managing just seven to ten transactions per second.” Binance states in a blog.
The exchange stated that because of this limitation, projects like the Lightning Network, which can speed up transactions without affecting the main network, have become more and more popular.
Although Lightning payment channels can significantly lower the cost of Bitcoin transactions, they also come with considerable centralization risk and additional trust presumptions, and have a difficult time becoming widely used.
ZhangHeng announced by Binance:
Also, On July 12th, prominent cryptocurrency exchange Binance announced “ZhangHeng,” the upcoming upgrade to the BNB beacon chain.
On April 17, BNB Chain announced that the Barral hard fork upgrade would be applied to the Beacon Chain at block height 310,182,000.
Wallet maintenance for BNB Beacon Chain (BEP2) will be carried out by Binance on Tuesday, April 18, at 7:00 UTC, in advance of the significant update. The exchange will suspend BNB deposits and withdrawals for an hour.
Binance burned 2,020,132.25 BNB tokens using the 23rd quarterly BNB token burn mechanism. The most recent price hike is a result of the most recent burning.