John Deaton Criticizes Lightning Network, Advocates 'Spend The Bits' as More Secure Alternative
Summary:
John Deaton, a lawyer and cryptocurrency proponent, criticizes the Lightning Network on the Bitcoin blockchain as less efficient than the 'Spend The Bits' protocol on the XRP Ledger. Deaton, who has invested in 'Spend The Bits' and also serves as its Chief Legal Officer, voiced his concerns via a tweet. His disclosure comes around the same time as a crypto researcher's tweet identifying a significant security flaw in the Lightning Network, leading to questions about the network's security and sustainability. With the Lightning Network capable of handling only 0.025% of Bitcoin's total supply, concerns about its long-term viability are increasing.
Cryptocurrency advocate and legal expert, John Deaton, has issued a critique of the Lightning Network, suggesting that it falls short of the performance of the 'Spend The Bits' protocol on the XRP Ledger (XRPL). The Lightning Network, a secondary solution superimposed on the Bitcoin blockchain, is tailor-made to enhance Bitcoin transactions' scalability and efficiency by introducing off-chain, peer-to-peer exchanges. On Saturday, Oct. 21, Deaton took to Twitter to voice his opinion. He disclosed his investment in 'Spend the Bits' and his new role as the main legal figure.
Remarkably, this is not the first time Deaton has proclaimed his preference for 'Spend The Bits' over the Bitcoin blockchain's widely recognized Lightning Network. Last month, Deaton, a firm supporter of Ripple, praised the 'Spend The Bits' protocol as a more secure channel for Bitcoin users compared to the Lightning network.
"I am not only speaking as an external supporter; I am also an angel investor in @Spend_The_Bits, and currently, its Chief Legal Officer. So, my remarks come with some degree of involvement. One of the key reasons why I have invested in @Spend_The_Bits is... https://t.co/aheyTxjGxp— John E Deaton (@JohnEDeaton1) October 21, 2023
Deaton's revelation on Saturday coincidentally fell under the same timeline as a cryptic tweet from crypto researcher 'WhaleWire,' which raised critical security questions about the Lightning Network. The tweet pointed out a significant security flaw in the Lightning Network that provoked a prominent Bitcoin developer to leave the project. The developer suggested that the Lightning Network's code seemingly contained intentional vulnerabilities that could potentially hand over the network control to potential attackers. The Lightning Network is strongly backed by big names such as Tether, Bitfinex, and BlockStream, which brings about queries and concerns regarding its security reliability.
In its current state, the Lightning Network can facilitate transactions with just 5,338 BTC, as documented by 'IML,' which equates to a mere 0.025% of Bitcoin's entire supply. This fact calls into question the resilience and long-term sustainability of the network. The gravity of this situation is further amplified by a recent downswing of 15% in the Layer 2 payment protocol's capacity over the last roughly three months.
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Published At
10/22/2023 7:42:34 AM
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