Forex in this article
• Lightning-Lab: use Taro to process all currencies in the world in a simple and bitcoin-based way
• The platform should be released by the end of the year
• $70 million for Lightning Labs in Round B funding
“People will be able to seamlessly switch between bitcoin and say a US dollar stablecoin or a peso, euro, yen, etc. And [diese Währungen] They can be sent around the world, immediately, and for extremely low fees.” With these words, CNBC quoted Elizabeth Stark, CEO of Lightning Labs, on her intention to release the so-called Taro Protocol by the end of Lightning Labs announced it in a press release in early April.
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The goal: to process all currencies in the world via Bitcoin
Lightning Labs is a Bitcoin-based financial services provider. After growing calls for access to Lightning for fiat-based stablecoins from regions with emerging markets last year, Lightning Labs decided to expand the technology, according to the press release. “With this technology, you can use any currency in the world through bitcoin,” Stark told CNBC.
Bitcoin volatility doesn’t matter when trading through Taro
Taro should be designed to be as simple and user-friendly as possible: you should be able to send and receive different currencies with one account. To prevent transactions from being made in the wrong currency by mistake, currency-specific transaction addresses must be set up for each customer.
Currency transactions should be processed through the Bitcoin blockchain, but not tied to the volatility of Bitcoin itself. The concept is that customers can decide for themselves whether they want to store their money in stablecoins or Bitcoin. According to Lightning Labs, it’s about making the technology more accessible to people who can’t financially afford to lose value due to Bitcoin’s high volatility. One of Lightning Labs’ goals is to be inclusive. The press release goes on to explain that customers don’t even need a bank account to use Taro. “[Taro] is one of those things where people don’t even know exactly how the credit card system works — it just works,” Stark told CNBC.
Taro does not change bitcoin into cryptocurrency
In fact, Lightning Labs gives anyone interested a peek into the work on the Taro protocol via GitHub. In the press release, the company explains that taro is only possible thanks to the Bitcoin Taproot update released in late 2021, which CNBC says increased the blockchain’s security, privacy, and transaction capacity. CNBC goes on to explain that the functionality of Bitcoin nodes has been optimized in the Taro protocol – so the new platform can handle hundreds of thousands of transactions per second, not five like with Bitcoin.
Investors who wish to continue investing in Bitcoin as before will not be affected by Taro: Using the Bitcoin blockchain as the basis for Taro will not affect the operation of the cryptocurrency itself or the number of units in circulation, according to Forbes business magazine.
Lightning Labs Raises $70M in Round B Funding
In the Taro Protocol announcement, Lightning Labs writes, “We view Taro as a major step in the bitcoinization of the dollar, combining the best of both worlds by 1) issuing assets such as stablecoins on the most decentralized blockchain and the most secure, Bitcoin, and 2) gives users the ability to transact through the fastest global payment network with the lowest fees, Lightning.” The developers currently need feedback on previous work on the new technology.
In addition to Taro’s information, Lightning Labs announced in the press release that it had raised a total of $70 million in Series B funding.
Olga Rogler / Editor finanzen.net
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