Chainalysis platform will add Lightning Network in 2022

The company said the move will help boost the network's popularity and help it scale

11.12.2021 - 07:45

619

1 min

What’s new? Chainalysis, a blockchain analytics company, will begin supporting the Lightning Network in February 2022. The compatibility with Lightning will be available to customers of the Chainalysis KYT (Know Your Transaction) software product. KYT helps the virtual asset service providers (VASPs), such as exchanges, to identify risk patterns and illicit activity.

Soon, Chainalysis will support Lightning Network transaction monitoring in KYT! Staying compliant with regulations will be vital as the second layer protocol is adopted and we’re excited to be the first in the industry to offer this support.More here: https://t.co/ahTQvDGrLd pic.twitter.com/7lBoesJ8OH— Chainalysis (@chainalysis) December 10, 2021

What are the advantages? VASPs will now be able to allow bitcoin deposits and withdrawals from the Lightning node in a compliant manner. KYT will be able to provide the Lightning transaction alerts and pre-check for withdrawals, the company added. Pratima Arora, Chief Product Officer at Chainalysis, said: