Thus far, bitcoin Game Deals shop has been processing orders via the decentralized peer-to-peer Bitcoin marketplace of the future, openbazaar.
Since we want to fulfill the decentralized future the blockchain technology is promising, we avoided implementing other payment gateways that rely heavily on centralized third parties servers. While these online payment processing services may have contributed to today’s Bitcoin & crypto adoption, we do not consider them to be an integral part of the digitalized DIY future.
Still, since openbazaar offers the option to shop with Bitcoin, you must be wondering why you can’t actually pay with the number one cryptocurrency and only with Bitcoin Cash, Litecoin, and Zcash.
The answer is provided below, in full. If you read our blog post till the end, you’ll also find out our plans for the near future with the implementation of a unique alternative that will make your life easier when you want to buy steam games with Bitcoin.
Why We Don’t Use Bitcoin Mainnet
Bitcoin has come a long way since 2009. The price has skyrocketed to the moon from basically nothing – the first-ever transaction included a pizza and 10,000 BTC – to almost $20,000 at its peak, in December 2017. Since then, Bitcoin fell off a cliff to around $3,500 and now it’s gathering steam once more, conquering the five-digit mark with a vengeance, in the last month or so.
These spikes usually lead to network congestion and a noticeable fee increase that render all micropayments obsolete. Remember, we are still early in the adoption phase, therefore the problems with Bitcoin mainnet can only get worse if everyone uses it.
As of today, we have a great deal of steam games that cost 1 EUR or less and we plan to add even more in the future, so you, the gamer can enjoy your favorite products at the lowest prices. That is why we can’t offer you the option to pay with Bitcoin… just yet.
We do plan, however, to implement BTC as a payment option, in the near future. Not using the traditional mainnet system, though. We will give you the option to pay via the innovative Bitcoin Lightning Network, a layer built on top of the blockchain, much more suitable for micropayments.
Fancy to buy a PC game that costs as little as a quarter of a Euro? No worries, besides the much less expensive altcoins – with much lower fees, as a result – you will be able to pay using your favorite cryptocurrency, little to no fees involved. It doesn’t matter if BTC is $10,000 or $1 million, micropayments will always be viable with Lightning Network.
Bitcoin Lightning Network Explained
But what is this new payment layer how does Bitcoin Lightning Network actually work?
Imagine a one-lane road with little capabilities to support heavy traffic. Bitcoin is such a ‘road’ that can process anywhere from 3 to 7 transactions per second. This one-lane road opens up to a fully-fledged highway with four lanes on each side. That is the Lightning Network.
The proposition LN offers to the world is scalability; basically, it has unlimited potential. Are the four-lanes already jammed? Then, the highway can extend to six or eight lanes and soon enough, it can potentially pass the VISA payments mark that processes around 1,500 transactions every second (over 150 million transactions per day).
Technically, Lightning Network is a payment relay for BTC that can take the heavy load, package countless micropayments into one big transaction and broadcast it on the Bitcoin mainnet.
It’s a peer-to-peer network just like BTC and many other cryptocurrencies, specialized on payment processing.
Anyone can create his/her own Bitcoin Lightning Network node, open a channel with another node, make some micropayments for little to no fees, and store them within the channel. When the channel closes, all these micropayments are packaged into a macro-payment that is eventually added into the blockchain.
Bitcoin Lightning Network has a lot of potential and, as development moves on, it becomes more and more hassle-free and easy to implement.
Luckily, there is already an open-source application that can help any Bitcoin shop solve the micropayments problem. Furthermore, this application is in line with our principles: not relying on any centralized authority, open-source and verifiable to all, not to mention self-hosted. Anyone can use it to further enhance his or her financial freedom.
What’s the application we’re talking about?
BTCPay Server: An Open-Source Bitcoin Payment Gateway
BTCPay Server is a Bitcoin payment gateway forked from the more popular, yet centralized BitPay.
There are no fees, licenses, or subscriptions, only the vendor, the environment hosting BTCPay Server, and the buyer.
The open-source payment application can be deployed in multiple ways, via your own VPS, Azure, Google Cloud, or even your untouched Raspberry Pi. To learn more about this unique project, click here.
Once we’ll activate it and implement it on bitcoin Game Deals shop, you’ll have yet another neat and easy way to spend Bitcoin online, on your favorite steam games.
Among others, BTCPay Server offers the feature of using the Lightning Network at its full potential, including for micropayments. You will also have the option to use other cryptocurrencies like Dogecoin, for example. More details will be revealed in our future blogs posts. Be sure to stay tuned and regularly check our shop and blog page.
We at bitcoin Game Deals don’t want to just wait for the future. We want to embrace it as soon as possible, therefore we are bringing to you the latest decentralized blockchain-based technology, so you can make the giant leap into the future with us.
Bitcoin Lightning Network and open-source payment gateway BTCPay Server are part of the future we envision. Don’t worry though, the ‘Pay via openbazaar’ button will always be there for you, even after we implement our very own BTCPay Server.
The more options, the better!
What do you think? Is Bitcoin Lightning Network the future? Will Lightning Network save Bitcoin from the scalability problem? How about BTCPay Server? Is it part of the future too? Leave your comment in the comment section below!