{"id":59675,"date":"2022-04-06T11:30:56","date_gmt":"2022-04-06T08:30:56","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=59675"},"modified":"2025-09-04T23:10:11","modified_gmt":"2025-09-04T20:10:11","slug":"lightning-labs-unveils-protocol-to-issue-stablecoins-on-the-lightning-network","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/lightning-labs-unveils-protocol-to-issue-stablecoins-on-the-lightning-network\/","title":{"rendered":"Lightning Labs unveils protocol to issue stablecoins on the Lightning Network"},"content":{"rendered":"<p>The Lightning Labs team closed a $70 million Series B funding round. The proceeds will go toward developing the Taro protocol, which enables issuing assets, including stablecoins, on the Bitcoin network and using them in Lightning Network applications.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Today we&#8217;re announcing Taro, a new protocol to issue assets on Bitcoin and Lightning, and our $70M Series B fundraise! \ud83c\udf60<\/p>\n<p>One small step for bringing bitcoin to billions. \ud83c\udf0d<\/p>\n<p>One giant leap for powering the world&#8217;s financial system with <a href=\"https:\/\/twitter.com\/hashtag\/bitcoin?src=hash&#038;ref_src=twsrc%5Etfw\">#bitcoin<\/a>. \ud83d\udcb1<a href=\"https:\/\/t.co\/dpzdrwDMTZ\">https:\/\/t.co\/dpzdrwDMTZ<\/a><\/p>\n<p>\u2014 Lightning Labs\u26a1\ufe0f\ud83c\udf60 (@lightning) <a href=\"https:\/\/twitter.com\/lightning\/status\/1511359082149691394?ref_src=twsrc%5Etfw\">April 5, 2022<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Taro is infrastructure that enables creating a wide range of assets, including stablecoins, and moving them on the <a href=\"https:\/\/forklog.com\/en\/news\/lightning-network-faster-cheaper-bitcoin-transactions\">Lightning Network<\/a>. The creation of the protocol became possible after <a href=\"https:\/\/forklog.com\/en\/news\/taproot-upgrade-activated-on-the-bitcoin-network\">activation of the Taproot upgrade<\/a> in November 2021.<\/p>\n<p>Taro aims at the \u201cBitcoinization of the dollar,\u201d using the security and stability of the Bitcoin blockchain, as well as the speed, scalability and low fees of the Lightning Network.<\/p>\n<p>The technology could be particularly in demand in developing markets facing high inflation \u2014 requiring only mobile internet access instead of a bank account. Taro could cement Bitcoin\u2019s status as the \u201cmoney of the internet\u201d and a protocol for transferring value, Lightning Labs believes.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWhen it comes to the Lightning component, you route the payments through Bitcoin. You literally convert \u201cdollars\u201d into bitcoins and back,\u201d<\/em> said <a href=\"https:\/\/www.theblockcrypto.com\/post\/140560\/lightning-labs-taro-protocol-stablecoins-fundraise\">The Block<\/a> Elizabeth Stark, co-founder and CEO of Lightning Labs.<\/p>\n<\/blockquote>\n<p>By &#8220;dollars&#8221; she means USD-backed stablecoins. The executive aims to increase the share of stablecoins in everyday payments, &#8220;driving Bitcoin to billions.&#8221; According to Stark, some &#8220;major players&#8221; have shown interest in issuing stablecoins via Taro.<\/p>\n<p>More details on how the algorithm works can be found on the Lightning Labs page.<\/p>\n<p>The developers published the protocol code in open source form for integration into other Lightning Network implementations from Blockstream and others.<\/p>\n<p>The investment round was led by Valor Equity Partners and Baillie Gifford. Other participants included Goldcrest Capital, Kingsway, Moore Strategic Ventures, Brevan Howard, Robinhood CEO Vlad Tenev, head of NYDIG and Silvergate Alan Lane.<\/p>\n<p>Earlier in November 2021, NYDIG <a href=\"https:\/\/forklog.com\/en\/news\/nydig-confirms-acquisition-of-bottlepay-a-bitcoin-payments-service\">acquired<\/a> the BottlePay Bitcoin payments service built on the Lightning Network.<\/p>\n<p>Earlier, the app team raised <a href=\"https:\/\/forklog.com\/en\/news\/alan-howard-and-nydig-back-bottlepays-micro-payments-service-in-a-15-5-million-seed-round\">$15.5 million<\/a> in a seed round with participation from Alan Howard and partners from Goldman Sachs and NYDIG.<\/p>\n<p> Subscribe to ForkLog news on Telegram: <a href=\"https:\/\/t.me\/forklogfeed\" target=\"_blank\" rel=\"nofollow noopener\">ForkLog Feed<\/a> \u2014 the full news stream, <a href=\"https:\/\/telegram.me\/forklog\" target=\"_blank\" rel=\"nofollow noopener\">ForkLog<\/a> \u2014 the most important news, infographics and opinions <\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Lightning Labs team closed a $70 million Series B funding round. The proceeds will go toward developing the Taro protocol, which enables issuing assets, including stablecoins, on the Bitcoin network and using them in Lightning Network applications.<\/p>\n","protected":false},"author":1,"featured_media":59676,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1896,325,807],"class_list":["post-59675","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-lightning-labs","tag-lightning-network","tag-stablecoins"],"aioseo_notices":[],"amp_enabled":true,"views":"29","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/59675","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=59675"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/59675\/revisions"}],"predecessor-version":[{"id":59677,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/59675\/revisions\/59677"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/59676"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=59675"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=59675"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=59675"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}