Coingate Will Carry Out Tests for Litecoin Payments in Lightning Network
The company projects that it will be able to associate more cryptocurrencies to its payment system. Some 4,500 customers will have the option to use Litecoin in their financial operations
CoinGate, the company dedicated to payment processing, announced on past Thursday, in its official blog, it is in the testing phase to launch a platform that will allow Litecoin payments through Lightning Network.
The company announced the start of the system’s pilot test, which is expected to be completed by mid-February, once the platform is ready for launch. The system was developed with the help of Charlie Lee, Litecoin’s founder and part of the team at the Litecoin Foundation.
To conduct the test, the company partnered with the company Surfshark, a VPN (Virtual Private Network) service provider that will be the first company to use the platform as a tool in micropayments with Litecoin by Lightning Network.
With this alliance it is expected, in addition, that in the future this way of payment with cryptocurrencies can be used to cancel debts to companies dedicated to providing this type of service. Representatives of CoinGate mentioned in the statement that it will not be the only company to test the tool, since consequently more participants and strategic allies will be added.
CoinGate is committed to the future use of this payment tool and ensures that its creation represents “a crucial step in the further development of Litecoin’s blockchain”, so its representatives say that this new solution will allow users of its platform to make payments and transactions instantaneously and with such insignificant costs that are “practically free” and that, in turn, will reduce problems and barriers between traders and buyers. In addition to generating an environment of more confidence to entrepreneurs, so that in a future they can accept payments in cryptoactives.
In the statement published by CoinGate, the developers of the project comment to feel “proud to be among the first company to adopt the ability of providing work solutions in the cryptocurrency community and merchants around the world”. As they say they have high hopes their Litecoin Lightning Network platform works perfectly as it does with Bitcoin.
In another sense, the VPN solutions company, Surfshark, issued a statement referring to its alliance with CoinGate, assuring it could be an important step forward so that its clients can have the ease of choosing the means of payment they wish. “It is essential that such transactions are conducted in a timely manner, and the CoinGate Lightning Network payment solution will help us to achieve this”, said Magnus Steinberg, Marketing Director of Surfshark.
In the middle of last year, CoinGate tested the service with bitcoins through the support of the same Lightning Network, which turned out to be a success. For that occasion it counted on the alliance of more than 100 merchants, and to date they have made more than 30,000 operations in Bitcoin. This represents greater support and confidence in the cryptocurrency technology. “Recognizing the enormous potential and growing demand, we decided to develop the function, but this time for Litecoin”, reads the statement.
Once the tests have been completed, the company states that they will make available to more than 4,500 customers the option of using Litecoin in their financial operations in an economical, fast and safe way.
Using this platform to make instant payments in Bitcoin and now in Litecoin turns out to be extremely attractive for the commerce sector, which expects to project its business to global markets and offer different payment mechanisms in a diversified economy.
Earlier this year it was learned that Bitcoin’s Lightning Network already had around 5,000 public nodes, 18,000 payment channels and a capacity of more than 500 BTC.
Although this technology turns out to be new, and is still in the development and testing stage, it has been widely accepted in the market, so it is expected that it will continue to grow throughout the year, in order to offer a viable and effective solution for those who want to use cryptocurrencies in their next business.
By María Rodríguez