Binance, one of the world's largest crypto exchange platforms, has announced their successful integration with the Lightning Network, a second layer that enables the scaling of the Bitcoin blockchain. This announcement, released on July 17, conveys that Binance users can now easily deposit and withdraw Bitcoin through new options provided via the Lightning Network.
Integration with the Lightning Network offers various benefits for Binance users. This layer-2 technology allows Bitcoin transactions to be faster and transaction costs lower, overcoming some of the scalability challenges faced by the Bitcoin network.
In terms of deposits, Binance accepts transactions ranging from 0.00001 BTC (approximately $0.30) to 0.05 BTC (approximately $1,510). In addition, for the BTC withdrawal process, Binance will only charge a network fee of 0.000002 BTC, which is equivalent to less than one thousand rupiah per transaction.
In May 2023, Binance teased a new integration coming to the exchange soon. As part of preparations for the integration, the exchange temporarily suspended withdrawals of Bitcoin due to significantly increased transaction volumes resulting from high interest in the Ordinal initiative.
“To prevent a similar incident from recurring in the future, our fees have been adjusted. We will continue to monitor on-chain activity and adjust as necessary. Our team has also worked on enabling Lightning Network BTC withdrawals, which should help in such situations," Binance wrote after successfully resolving the issue.
Coinbase Plans to Integrate Lightning Network
Several other exchanges have also followed Binance in integrating the Bitcoin Lightning Network into their platforms. Exchanges such as Bitfinex, River Financial, OKEx, Kraken, and CoinCorner have also enabled their users to use the Lightning Network to conduct Bitcoin transactions.
Brian Armstrong, CEO of Coinbase, has announced his plans to integrate the Bitcoin Lightning Network into the Coinbase platform. This is a step forward for one of the largest crypto exchanges in the world to strengthen and improve the user experience in making Bitcoin transactions. However, currently no definite date has been announced regarding when this integration will take place.
How to Deposit Bitcoin to Binance With Lightning Network
To make a deposit to Binance using the Lightning Network, the steps to follow are as follows:
1. Log in to your Binance account and select the "Wallet" menu then select the "Crypto" tab.
2. Next, select the “Bitcoin” option from the list of available cryptocurrencies.
3. After that, select the "Lightning Network" option as the deposit method.
4. Enter the amount of Bitcoin you want to deposit to Binance via the Lightning Network.
5. Create an invoice to start the Bitcoin deposit process.
6. Finally, follow the Bitcoin deposit process via the Lightning Network that has been determined by Binance.