Stripe Tapped OpenNode And LN To Resume BTC Payments

Stripe tapped OpenNode and the Lightning Network to resume the Bitcoin payments and to allow customers to convert funds into BTC for the first time since 2018 so let’s read more today in our latest Bitcoin news.

The payments company Stripe tapped OpenNode and announced that customers can convert payments or balances into BTC four years after suspending the service. This time, Stripe’s BTC transactions will be powered by the app created in partnership with OpenNode. The startup leverages the LN as a BTC scaling solution which processes transactions off the chain and makes operations on the blockchain faster and cheaper. Back in February, OpenNode secured a $20 million Series A funding round.

The speed and affordability offered by the LN are key to Stripe’s return to Bitcoin. Back in 2018, when the BTC services were initially removed, the company cited rising fees and lagging transaction times as evidence that BTC became better suited to burning the asset than being a means of exchange. Stripe identified the Lightning Network at that time as promising technology which can one day improve the crypto’s status as a convenient digital currency for customers. The OpenNode head of strategy Josh Held added:

“The app gives businesses a simple and secure way to convert incoming payments to Bitcoin in real-time, automatically or on-demand.”

The development comes after many considered that the next crypto winter is coming. Bitcoin was down for a record of eight weeks since last November as it shed over 55% in value. Despite this, the last few weeks saw companies lining up to integrate crypto into their daily operations and not as speculative assets but as forms of accepted payment. The CEO of Balenciaga Cedric Charbit stated that such a strategy will be long-term thinking.

The payments company Stripe is launching a new crypto pilot on Twitter and this move comes as a part of the expansion strategy which will allow businesses to connect with the company’s payments APIs including its KYC onboarding. The service allows for different payment methods and currencies and it is available in over 70 countries. Today’s news only shows Stripe’s intention of including crypto in the services and cited difficulties in continuing to expand the company’s coverage.