Blockstream to launch bitcoin’s first production sidechain

FinTech | November 11, 2015 By:

Blockstream has announced the first commercial application of sidechain.

“Liquid, our first production sidechain. Liquid will improve capital efficiency and market liquidity by facilitating rapid and secure transfers between accounts held at any participating exchange or brokerage,” said Blockstream.

The company’s latest offering will serve bitcoin exchanges, payment processors and traders by reducing the time in which bitcoin-denominated funds can be transferred between accounts at these institutions.

Five major bitcoin startups – Bitfinex, BTCC, Kraken, Unocoin and Xapo – will operate the private sidechain, allowing partner exchanges to move funds between order books without the need to transfer funds on the bitcoin blockchain.

Blockstream suggested Liquid is set to launch in Q1 of 2016.

Blockstream is a company that develop new ways to accelerate innovation in cryptocurrencies, open assets and smart contracts.