Bitcoin Lightning Startup ACINQ receives 1.7 million in financing for the development of LN
Home News Bitcoin Lightning Startup ACINQ receives 1.7 million in financing for the development of LN
Marcus Misiak –
The French Bitcoin Startup ACINQ has completed a $ 1.7 million Seed funding. The funds will be used to support the development of the Bitcoin Lightning Networks, as well as Tools and services for this purpose. The ultimate goal is to make Bitcoin Lightning Network for a mass adaptation accessible.
In the official press release says that the funding round was led by Serena Capital. Other investors Bertrand Diard (co-founder of Talend), Sebastian Lucas, Alistair Milne (VC Investor) and Yves Weissel Berger (founder of Snapcar). Including previous funding ACINQ – which started already in 2015, with work on the Lightning Network has collected shortly after they had described Joseph Poon, and Thaddeus Dryja for the first time in a white paper – is now 2 million dollars in the year 2018. The new funds are to be used, more Software developers and to develop new Lightning-Network-services.
So far, the ACINQ consists of only 3 Develop. Co-founder and CEO Pierre-Marie Padiou told Coindesk:
Everything we have done has been done with very little effort. With this increase, we are very excited to make a lot more with more resources. We will be able to be even more cool services for Lightning. This is not only good for us, but also for Lightning in General, and to drive Adoption.
ACINQ is at the moment in particular for the development of the Eclair Software Suite known works in addition to the implemented protocols of Lightning Labs, and block stream. Eclair brought also the first mobile Lightning-Wallet in the Google Play Store and is currently the most popular mobile LN-Wallet with more than 5,000 Downloads.
The Bitcoin Lightning Network
The Lightning network (LN) is a scaling solution for Bitcoin so that the Bitcoin network can process more transactions. Practically it should allow an unlimited number of instant payments at a very low cost. The LN is based on a technology called “Payment Channels” (in English: payment channels), which serve the purpose that the payments outside the Bitcoin Blockchain to be carried out (“Off-Chain”). The great advantage of this is that the transactions are not posted immediately (after they have been validated by the Miner) in the Blockchain.
Instead, the payments Off-Chain to be processed, which reduces the volume of transactions for the Bitcoin Blockchain. Instead of writing a lot of smaller transactions in the Blockchain, two or more parties by means of the Payment Channels to determine over what period of time you leave the channel open and thus ongoing payments and when the transactions in the Blockchain are recorded. For this to happen, the parties to the Payment Channels and a private key. Only when both parties sign it with your key, and thus signal that the transaction is completed, will be written the total amount and the balance in the Blockchain, and the channel closed.
Currently, there are two other companies that are currently working in addition to ACINQ in the development of the Lightning Protolls: Lightning Labs, and block stream. The developments are currently still in a Beta test phase.