David Marcus, former head of crypto at Meta, has launched Lightspark, another payments company that will use crypto as a central payment tool. The startup, which Marcus will head as CEO, also includes some former Meta employees and will explore the possibilities of using the Layer 2 Lightning Network (LN) as a means for bitcoin payments.
Meta Crypto Boss Kickstarts Lightspark
David Marcus, former head of the Meta Cryptocurrency Project, doubles down on the importance he thinks crypto may have for payments in the future. Marcus announced this week on social media that he and others are launching a cryptocurrency company called Lightspark that aims to harness crypto’s capabilities in the payments arena.
Marcus is not alone in this task. Some of the former Meta employees have taken over this startup. While details of the company are still scarce, Marcus made it clear that the Lightning Network (LN), the layer two scalability protocol for Bitcoin, will be involved. On this, he advertiser:
As a first step, we are actively assembling a team to dig deeper into the Lightning Network.
While the company is still in the exploration stages, Marcus has managed to attract major names in the venture capital arena, including A16z and Paradigm, who co-led an initial investment round while raising an undisclosed amount. Other venture capitalists who took part in the round included Thrive Capital, Coto, Felix Capital, Ribet Capital, Matrix Partners and Zif Ventures.
Bear Market and the Lightning Network
For some, the timing of Lightspark’s launch may not be the best, as the market faces a downturn with the collapse of the Terra ecosystem and the fall of the stock market. However, Marcus ignored these comments on social media to explain which – which:
Downturns are good moments to focus on building and creating value with people aligned with the mission. We’re excited to dive into Lightning, learn more, and work alongside the community.
The Lightning Network, with its negligible transaction fees, could be very attractive to a payments company, although it hasn’t been without criticism in the crypto community. The technology, which was proposed in 2015, has come a long way since its launch, with 3,807.15 BTC now stored in its system, with more than 17,000 active nodes, according to 1ML, a statistics website for the Lightning Network.
What do you think of Lightspark, the newly launched crypto payments company? Tell us in the comments section below.
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