Key Metrics Highlighting the Lightning Network's Amazing July

Key Metrics Highlighting the Lightning Network's Amazing July
Photo by NOAA on Unsplash

July saw several new all-time highs and records for the Bitcoin Lightning Network.  This post is a brief look at a few key metrics:

Public Network Capacity

How much Bitcoin is deployed on the Lightning Network?

Public network capacity increased from 4,040 bitcoin on July 1 to 4,451 bitcoin on July 31, representing a capacity increase of 10.2%.

Public network capacity up 10.2% in July

Network Nodes

Total nodes on the lightning network increased from 18,371 to 18,387, which was flat growth for the month, although active nodes (those online with at least one active channel) decreased from ~15k -> 14.7k

Total node count remained relatively flat in July

Network Channels

The number of public payment channels on the lightning network increased from 86,601 to 88,710, representing an increase of ~2.3%.

Public channel count increased 2.3% in July

Top Lightning Companies and Exchanges

LNBIG with its 25 nodes, represents nearly ~23% of public network capacity, and exchanges represent another 37% of public capacity.

A Fantastic Research Piece on the Lightning Network Reference Rate

Nik Bhatia is a well known author in the Bitcoin and Lightning space.  His book Layered Money, offers a great foundation for understanding the history of gold, dollars, and central banking.  After publishing a series of articles on the Lightning Network Reference Rate, he and Joe Consorti have put together an incredibly comprehensive look into the future of the Lightning Network and its evolution into a new role in capital markets.  Their paper is linked and is well worth (multiple) reads.

"Standardizing and publishing the time value of bitcoin is a major step in attracting sufficient capital to make bitcoin and Lightning a substantial market for collateral—deep and liquid enough to compete for the role of a global capital market." - Nik Bhatia and Joe Consorti
The Time Value of Lightning Network
Exploring the maturation of bitcoin’s evolving capital market layer.

What's Next?

Lots of great announcements, innovation, and growth for Bitcoin and the Lightning Network this month - stay tuned for more.

What analytics would be most helpful for you?  Please get in touch about anything you would like to see.

Exponential Layers - Lightning Network Analytics
Bitcoin Lightning Network Analytics and Explorer. Get full visibility into the Bitcoin Lightning Network with network analytics, custom notifications and alerts, and a Bitcoin Lightning network explorer.