Data from on-chain analytics provider, Glassnode reveals that Bitcoin’s layer-two solution, the Lightning Network (LN), node count has spiked to a new all-time high (ATH) following the adoption of the network, especially in Latin American country, El Salvador.
According to Glassnode’s latest weekly on-Chain report, the number of Lightning Network nodes increased by 160% so far in September to tag a record high of 15,600, from the 6,000 LN nodes at the end of August.
On this statistic, Glassnode’s report explains that due to the growing adoption of the layer 2 solution, a suite of metrics which includes the network’s node will be released going forward to help, “describe the extraordinary growth of the protocol over recent months.”
What the report is saying
Asides from this, the number of channels or connections between different nodes, on the LN has also hit a peak of 73,000 representing an average of 4.6 channels per node, the report added.
It further stated, “This is around double the number of channels that were live through the period from 2019-20, with most of this growth occurring since May 2021.”
Another lightning network metric discussed was the total capacity of the Lightning Network. The report stated that “Total BTC capacity in LN channels has seen explosive growth over the last nine months.”
The metric refers to the total amount of BTC that can be transferred using the LN. It further explained that the network’s capacity is currently at an all-time high of 2,904 BTC ($121.2 million at current prices). The milestone marks an increase in capacity of 170% since January with approximately 514 BTC ($21.5 million) being added to the network in September alone.
The final lightning network metric discussed is the network’s channel size. The average channel capacity or amount of BTC sent per channel, increased from 0.028 BTC ($1,169) to currently stand at 0.04 BTC (around $1,670), representing another all-time high for the network. This is an increase of 43%.
What you should know
The Lightning Network has recently been in the headlines as a result of Twitter partnering with Strike to integrate the LN for tipping. Asides from this, the network’s national roll-out on the El Salvador government-issued Chivo wallet.
Bitcoin is currently trading $41,750, down 5% for the day, as of the time of this writing.
