Mexican retail and banking company Grupo Elektra plans to accept Bitcoin through Bitcoin Lightning Network.
A new payment method is coming to Elektra stores
According to a tweet by the owner Ricardo Salinas Pliego, a new payment method is coming to Elektra stores. In the tweet, he used the hashtags #Bitcoin and #LightningNetwork. Salinas Pliego is the third-richest man in Mexico with an estimated net worth of $15.4 billion. He has been a well-known bitcoin advocate for some time and announced in November that he would invest 10 percent of his portfolio in Bitcoin.
Grupo Elektra is a Mexican financial and retail company with more than a thousand stores in Mexico. The company also has stores in numerous other countries in South America. According to Forbes, the company was hit hard by the side effects of the COVID pandemic and had to close stores in Peru. It seems that accepting Bitcoin payments through the Lightning Network is a way for Grupo Elektra to adapt to the current changes in the world.
What is the Lightning Network?
Normally, transactions with Bitcoin are slow, and a store or bar would not be able to accept Bitcoin on its original network. However, the Lightning network is a layer two scaling solution that enables bitcoin transactions in a real-time, cheap, and secure way. This means that a business can use the Lightning network to accept Bitcoin without being limited by the current bitcoin network, which currently only does five transactions per second. In addition, costs are much lower on the Lightning Network. Customers can send payments with transaction costs as low as a few cents.
Companies that have announced plans to use the Lightning Network include Twitter for their recently announced Tipping Bot. Substack also plans to start accepting bitcoin through this new system. The Lightning Network is also one of the main reasons why El Salvador is confident in making Bitcoin a legal tender, and now Grupo Elektra has also announced that it is interested in using it in its stores.