Amboss, a company best known for building tools and liquidity infrastructure for the Bitcoin Lightning Network, announced the launch of RailsX, a new peer-to-peer exchange designed to let users trade bitcoin and stablecoins directly with one another — without relying on centralized exchanges or giving up custody of their funds, the company shared with Bitcoin Magazine.
Today, the announcement was made at PlanB Forum El Salvador.
RailsX is a solution to a common problem that many Bitcoin users face. To move between Bitcoin, Dollars, and other currencies, you usually have to trust centralized platforms, which can charge fees or even freeze your account.
RailsX, on the other hand, uses Bitcoin’s Lightning Network for direct transactions between users. Users retain control of their funds at all time.
RailsX is not a traditional crypto-exchange. It does neither hold or manage customer assets, nor do they operate an “order book” in the usual sense. RailsX facilitates peer-topeer exchanges via Lightning payment channels. Users can instantly trade bitcoins and Lightning issued stablecoins.
Amboss According to the company, this system was designed to allow stablecoins to be issued using Bitcoin and Taproot Assets. This is a more recent protocol which allows tokens pegged to dollars to created and sent over Bitcoin Lightning Network. Users can now move seamlessly between Bitcoin and Stablecoins using the Lightning Network without ever leaving Bitcoin infrastructure.
Amboss lightning-based stablecoins may democratize the currency market across Bitcoin
Why is this important? Today, the global foreign exchange market — where currencies like dollars, euros, and pesos are traded — moves roughly $9.5 trillion per day, but access to it is largely limited to banks, brokers, and large financial institutions.
Amboss claims that Lightning-based stabilitycoins, peer-to-peer trades, could allow anyone to exchange currencies with a Lightning wallet and their own funds.
RailsX extends Amboss’s Rails which allows Lightning channel users to generate fees and provide liquidity while keeping custody of their bitcoins or stablecoins. Both products are designed to increase the liquidity of Lightning. making it easier for payments and trades Route efficiently on the network.
Amboss, in order to bridge the gap between Bitcoins and conventional finance, is also working with Magnolia and Bringin on providing fiat off-ramps and on-ramps for the U.S.A. and Europe. The users would be able to switch between Lightning and bank assets without the need for a crypto exchange.
This launch coincides with renewed interest to bring stablecoins into Bitcoin. Tether CEO Paolo Ardoino as well Lightning Labs CEO Elizabeth Stark have been among industry leaders to speak out. recently signaled support Taproot Assets allows you to issue USDT, and other stablecoins on Bitcoin natively.
“RailsX represents the next step in Bitcoin’s evolution,” Amboss CEO Jesse Shrader said in a statementThis product was marketed as an alternative to Bitcoin speculation for everyday use.
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Source: bitcoinmagazine.com
