Bitcoin Treasury Companies Embrace Lightning Network for Active Yield Generation
- Square will enable over four million small businesses to accept Bitcoin payments via the Lightning Network starting November 10.
- Cash App reported that approximately 25% of its Bitcoin payments were processed using Lightning earlier this year.
- LQWD disclosed a substantial annualized yield of 24% from routing fees in their filings.
- Cash App highlighted a yield of 9.79% on Lightning, indicating rising demand for liquidity.
- The Lightning Network enhances Bitcoin’s utility, transitioning it from a passive store-of-value to an active medium of exchange.
As more merchants adopt Bitcoin through the Lightning Network, the need for liquidity increases, creating a cycle that boosts payment volume and network efficiency. The integration of Cash App and Square is seen as a significant catalyst for this growth.
Treasury companies are encouraged to shift from merely holding Bitcoin to actively participating in the network, leveraging yields such as LQWD’s 24% and Cash App’s 9.79%. This represents a transformative moment for utilizing Bitcoin beyond speculation.
