Lightning Labs Raises $70 Million to Integrate Stablecoins into the Bitcoin Network

Lightning Labs, the developers behind the Layer-2 Bitcoin Lightning Network, has raised $70 million in a Series B funding round to build a stablecoin and asset protocol on the Bitcoin network.

The network, dubbed “Taro”, will be based on Taproot, a recent blockchain upgrade. The funding round was led by Valor Equity Partners and joined by Baillie Gifford, Goldcrest, Kingsway, Stillmark, Brevan Howard, and NYDIG.

Taro: Instant Stablecoin Transactions on the Bitcoin Network.

Elizabeth Stark, co-founder and CEO of Lightning Labs, announced the launch of Taro, an open protocol based on the Bitcoin Taproot upgrade.

Lightning Labs describes Taro as an asset overlay network on Bitcoin. According to the announcement, Taro aims to bring stablecoins to the Bitcoin blockchain for instant USD and other fiat-pegged asset settlements.

Taro will help developers issue assets on the Bitcoin blockchain and onboard them to the Lightning Network for speed and scalability. Lightning Labs further explained Taro will leverage Bitcoin’s liquidity to ensure interoperability between assets.

Lightning Labs will not be issuing a stablecoin, as Taro is not a stablecoin but rather a protocol that will support the movement of assets across Lightning.

On The Flipside

Why You Should Care

Taro could aid in furthering Bitcoin’s adoption, as it would potentially allow more users in developing countries to send fiat-backed stablecoins without needing to tap into the traditional systems.

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed to be financial legal or tax advice. Trading Forex, cryptocurrencies, and CFDs poses a considerable risk of loss

Rate This Article
In order to improve, we give you the opportunity to rate DailyCoin content

Milko Trajcevski has been in the crypto world for years, and as such has gathered both a skill for writing as well as a native prowess when it comes to understanding everything that occurs within that world. Through skilled writing and determination, he covers articles about cryptocurrency, tokens, blockchain, crypto-asset regulations, crypto wallets, exchanges, liquidity, DApps, forks, mining, security, and blockchain technologies. He is a professional with a track record of proven expertise within the crypto space.