Lightning Network was created over several years, and the White Paper was produced in January 2016. Finally, the independent development team has announced that it has completed the first tests in the core network of bitcoin.
Three teams, each of which is currently working on his own independent implementation of the Lightning Network, announced that their respective systems have completed testing of payments in the core network of bitcoin. The most important thing that has been proven interoperable in the same network. They will be able to work freely, receive and send each other payments.
Laboratory ACINQ, Blockstream and Lightning Labs – these are the three independent teams that are currently working on creating a production network. This testing showed that their system closer to mass deployment. Team together with other members of the bitcoin community have also developed a number of standards that must be adhered to for any team if it wants to create its own implementation. Standards ensure that regardless of implementation, users will connect to the same network.
Success has been achieved: we have created a Network of Lightning is fully compatible with bitcoin!
The developers maintain a clear position not to implement the software prematurely. Member of the team under the nickname /u/RustyReddit, commented on the timing of the release:
I expect the implementation of the Lightning Network in the test mode this year in the alpha, maybe even in beta. Otherwise there is a possibility that you will lose real money!
These implementations can seriously affect how cryptocurrency works, whose market capitalization exceeds 280 billion dollars. Any software that may result in the loss of customer funds – it is dangerous to the ecosystem. All implementations must pass strict testing to ensure that they are safe for mass use.
Companies and businesses still prefer credit card payments because at present, the fee for bitcoin transactions is high. With the introduction of the Lightning Network appears the possibility that more companies and businesses begin to accept bitcoin, because LN offers a fairly low fee.
Lightning Network – just incredible technology, the next step in scaling. It allows two parties to carry out transactions between themselves many times before you actually commit the transaction on the blockchain. Take, for example, two companies that hold a transaction dozens of times a day. Both companies placed in the payment channel is one bitcoin and can pay the necessary number of times. Company A can pay company B for 0.1 BTC, then company B pays company A for 0.3 BTC, again and again. In the end, say, balance A equal to 1.1 BTC and the balance of company B at 0.9 BTC. Instead of broadcasting each transaction to the blockchain and pay the relevant fee, the company B transmits only one transaction of 0.1 BTC.
This is a very interesting time for Bitcoin, but Lightning Network will be revolutionary for all of cryptocurrency.