Robinhood Will Use Lightning Network For BTC Transactions

Robinhood will use a lightning network for bitcoin transactions according to the latest announcement as the platform is taking the next steps into crypto investing so let’s read more in today’s latest Bitcoin news.

Stock and crypto trading app Robinhood will use a lightning network for BTC transactions which will make the transactions faster. The platform also shared that the eligible users from the crypto waitlist can send and receive crypto via its crypto wallet feature. Lightning is a layer-2 network that is built on top of bitcoin which allows for faster and low-fee tranactions. Through its wallet feature on the app, Robinhood joined a number of tech and finance companies that will use the Lightning Network for faster BTC transactions. Kraken on the other hand announced an integration this month with El Salvador using it for BTC transactions with Twitter relying on LN via payments company Strike for the mobile tipping feature.

Robinhood’s announcement came over six months after the new plans to fully develop the wallet feature that will allow the users to deposit and withdraw crypto assets. The feature acquired a long waitlist with 2 million people requesting access. Robinhood released the new wallet beta back in January and allowed the users to transfer BTC, ETH, and DOGE. Before then, Robinhood customers can only buy and sell crypto with the app keeping the custody of it. The users can not transfer it out in order to spend it or make trades on the DEFi platforms. The users who signed up for the waitlist will have the ability to purchase and sell and move their assets off Robinhood.

According to the website, Robinhood’s corporate wallets secure the customers’ coins so they can’t provide customers with the private keys to the wallets. For everyone that is looking to have bigger control over their crypto, it is possible to do so and move their assets off to Robinhood to a software wallet such as MetaMask or a hardware wallet like Trezor and Ledger. Robinhood offers to trade in BTC, DOGE, LTC, ETH, ETC, BTC, and more. Robinhood CEO Vlad Tenev said that adding crypto deposits and withdrawals are only a few steps the company taking onto crypto.