The VBTC exchange also adhered to batch transactions in this latest update. The overall goal is to lower withdrawal costs for users.
VBTC, the first Bitcoin exchange of Vietnamese origin, opted to consolidate the Bitcoin Lightning Network (LN) and SegWit transactions grouped by batch for withdrawals of its funds. The adoption received praises from the Lightning Labs group, Elizabeth Stark, who believes that the exchange will help this payments network expand in Asia.
According to a series of tweets that appeared on the official VBTC account, users of the exchange will now withdraw bitcoin purchases through Lightning. The directive explained that this new network brings to their clients the ability to choose minimal transaction fees.
The increasing demand for bitcoins, especially in bullish periods, has also increased transaction fees recently. According to VBTC calculations, some clients pay 100,000 satoshis in commission to withdraw cryptocurrencies from the exchange due to this event. This payment would cost up to $ 30 to concrete a transaction. This price may vary due to bitcoin’s sudden changes in price (volatility).
The exchange’s directive assures that the current cost of a transaction would be around the 1,000 satoshis, an equivalent to 0.30 cents thanks to the Lightning payment network’s adoption. The main goal is that the commission does not surpass 0.2% of the transactions’ total value.
The Adoption of SegWit Signatures in its Nodes
Stark pointed out that exchanges can be the perfect tool to lower the fees that users pay with Bitcoin’s Lightning and take advantage of the benefits of instant transactions. Exchange houses such as Kraken has also chosen to incorporate LN into their menu of services.
Although the Lightning Network has been at the central focus of the Bitcoin ecosystem in recent years, it is still at an experimental phase. The adoption of the network has influenced the North American community in a very positive way.
More than 40% of its nodes accumulate. University-level studies concluded that a continent like Asia only has a little more than 6% of the network, even though this is a market where Bitcoin is very popular.
By: Jenson Nuñez
