TLDR
- BitGo integrates the Bitcoin Lightning Network to offer fast, low-cost transactions for institutions.
- The collaboration with Voltage enables institutions to use the Lightning Network with secure custody.
- BitGo’s qualified custody solutions simplify Lightning Network access for institutional clients.
- Voltage and BitGo streamline the infrastructure needed for institutions to utilize Bitcoin’s Lightning Network.
BitGo has announced a strategic partnership with Voltage to offer institutional access to the Bitcoin Lightning Network. This collaboration combines BitGo’s trusted custody infrastructure with Voltage’s Lightning Network capabilities, enabling institutions to benefit from faster, more cost-efficient Bitcoin transactions. The partnership aims to simplify and secure the way institutions engage with Bitcoin’s layer-2 solution, all while maintaining the stringent custody standards that institutional clients demand.
By leveraging Voltage’s expertise in Lightning Network infrastructure, BitGo is positioning itself as a key player in providing institutions with a secure and seamless method to integrate Bitcoin transactions. This integration allows institutions to process Bitcoin transactions more efficiently, bypassing the limitations of traditional on-chain methods.
Simplifying Access to Bitcoin Lightning Network
The Lightning Network is a layer-2 scaling solution built on top of the Bitcoin blockchain. It improves Bitcoin’s scalability by enabling faster transaction processing and reducing fees when compared to on-chain transactions. This makes it especially appealing for institutions handling large volumes of transactions.
With BitGo’s integration of the Lightning Network into its qualified custody platform, institutions can now leverage these benefits without needing to manage the underlying infrastructure.
Institutions adopting this service will no longer have to worry about the technical complexities of running their own Lightning nodes or managing liquidity. BitGo and Voltage handle all infrastructure needs, including node management and key security. This streamlined approach allows clients to focus on their core business operations rather than worrying about the technical aspects of the Lightning Network.
Lightning Network and Custody Solutions for Institutions
The partnership between BitGo and Voltage also ensures that institutional clients can meet the highest security standards. BitGo’s award-winning custody infrastructure is designed to secure digital assets, offering a range of protections including private key management. Through this collaboration, clients can use the Lightning Network while ensuring that their assets are safeguarded in line with institutional-grade security protocols.
Mike Belshe, CEO of BitGo, emphasized the importance of this integration:
“By offering institutional access to Lightning directly from custody, we are allowing our clients to focus on innovation instead of infrastructure. We are combining the speed and lower transaction costs of Lightning with the trusted security of BitGo to make bitcoin practical for everyday payments.”
For institutions, security is a top priority when adopting new technology, and BitGo’s infrastructure ensures that the assets remain under secure custody. This partnership makes the Lightning Network more accessible to larger enterprises that require robust security and compliance.
Enabling Scalable and Cost-Effective Bitcoin Transactions
The integration of the Lightning Network into BitGo’s platform provides an efficient solution for handling Bitcoin payments. As Bitcoin continues to grow as a global asset class, there is increasing demand for transaction solutions that are both fast and affordable. The Lightning Network addresses this by enabling institutions to conduct Bitcoin transactions at lower fees and with faster confirmation times.
With this new offering, institutions will be able to send and receive Bitcoin quickly, benefiting from the reduced costs and scalability the Lightning Network provides. The collaboration with Voltage ensures that clients can take full advantage of these benefits without the operational burden of managing Lightning nodes or liquidity.
As the cryptocurrency industry continues to mature, this partnership sets a new standard for how institutions can access and utilize Bitcoin’s capabilities. By integrating secure, scalable, and low-cost solutions, BitGo and Voltage are helping institutional clients navigate the complexities of the cryptocurrency landscape while maintaining high security and compliance standards.
