Breez payment startup has introduced a new feature that allows lightning based bitcoin purchases directly from its mobile application.
The function, made possible by a partnership with the trustee to cryptographic MoonPay, is available to users in 35 countries. According to the company, it simplifies the currently extended procedure for lightning payments.
A “layer 2” payment protocol that operates on top of a blockchain, many believe that lightning in the blockchain industry solves the problems of Bitcoin scalability. But it is still an experimental technology and users can potentially lose money during transactions due to undiscovered errors, security experts say.
While buying lightning directly with a credit card seems like a simple function, Breez says that this functionality has not been possible until now.
Breez CEO and co-founder Roy Sheinfeld told CoinDesk:
“Breez is not just a wallet. It’s a lightning payment service that aims to provide a holistic experience. Breez’s goal is to take the lightning technology and infrastructure and expose it in an experience regular folks could use with compromising on the bitcoin values. Other [lightning] wallets are less UX focused.”
Previously, if users wanted to buy lightning, they would have to buy bitcoin, move that bitcoin to a wallet that supports lightning and then wait for that transaction to take place (the industry standard is to wait approximately one hour to make sure the transaction is final) Buying lightning directly into a wallet allows them to skip a step.
Breez’s new role is part of a growing effort to make lightning payments less arcane for average people.
“Entering a website and going through a cumbersome process just to recharge your wallet with a hundred dollars is not the user experience we want to offer. Our goal is to provide a UX that is at least on par with the fiat, ”said Sheinfeld.
Developers are still solving security problems with lightning, for example, by developing third-party “watchtowers” that control suspicious activity in the chain.
Breez does not require users to provide personal information for monthly purchases up to a total of 150 euros. But for amounts greater than that, it requires users to prove their identity under the laws. Know your client (KYC) intended to prohibit money laundering and other criminal acts.
Lightning image via Shutterstock