John Deaton, pro-XRP lawyer, criticizes Bitcoin’s Lightning Network for security flaws and endorses rival protocol Spend The Bits.
Cryptocurrency enthusiast and lawyer John Deaton has openly criticized Bitcoin’s Lightning Network for its alleged security issues and inefficiency. His critique coincides with an alarming revelation about a security vulnerability in the Lightning Network. These concerns, coupled with Deaton’s recent financial and legal affiliation with an alternative protocol, Spend The Bits, raise serious questions about the long-term viability and safety of Lightning Network.
John Deaton serves as the chief legal officer for Spend The Bits, a protocol on the XRP Ledger (XRPL). He also holds an angel investor position in the project. His close association with Spend The Bits adds weight to his argument favoring it over the Lightning Network, a second-layer solution designed to boost Bitcoin’s scalability.
Security Vulnerabilities Question Trustworthiness of Lightning Network
The scrutiny on the Lightning Network has intensified following an online post by crypto investigator WhaleWire. The post disclosed that a key developer had abandoned the Lightning project due to an alleged deliberate security backdoor in the code. According to these claims, the vulnerability could give attackers full control over the network, raising concerns about the trustworthiness of the entire protocol. To add fuel to the fire, major organizations backing the Lightning Network, like Tether, Bitfinex, and BlockStream, are now under the lens, further tarnishing the project’s reputation.
Recent statistics indicate that the Lightning Network’s capacity has dipped by 15% over the last three months, currently standing at 5,338 BTC according to 1ML. This contraction in network capacity casts more doubt on the system’s ability to function effectively in the long term.
John Deaton’s endorsement of Spend The Bits as a more secure and efficient alternative to the Lightning Network couldn’t come at a worse time for the latter. With the discovery of alleged vulnerabilities and a shrinking network capacity, the Lightning Network faces a critical period ahead. It will be interesting to see if it can resolve these issues and regain the trust of the crypto community, or if alternative protocols like Spend The Bits will take the lead in the race for scalability and security.