TITLE:
Design and Implementation of a Microtransaction System Using the Lightning Network for Financial Inclusion in Developing Countries
AUTHORS:
Windmi Jonathan Kabre, Pegdwindé Justin Kouraogo, Wendpanga Cedric Bere, Elisee Sare, Hamidou Harouna Omar
KEYWORDS:
Micropayment, Lightning Network, Mobile Money
JOURNAL NAME:
Engineering,
Vol.17 No.1,
January
21,
2025
ABSTRACT: Bitcoin has gained widespread acceptance within the cryptocurrency community, and the Lightning network, an innovative and scalable extension of Bitcoin, is demonstrating remarkable advancements in electronic payments. The Lightning network addresses the historical criticisms of Bitcoin by facilitating rapid transfers at reduced costs, addressing scalability concerns. However, despite its potential, integrating the Lightning network into diverse systems has proven challenging due to inherent system heterogeneity. This study seeks to overcome these challenges by contributing to the effective implementation of a micropayment system, specifically targeting microtransactions involving individuals outside developing countries, with a focus on the diaspora regularly transferring money to their loved ones. Our objective is to establish a decentralized microtransaction system in Burkina Faso, within the broader context of pursuing monetary independence. We have developed and implemented a prototype microtransaction system, leveraging a transfer application that combines the Lightning network blockchain and mobile money. This unique solution not only integrates local African currencies but also enables direct payments for services and goods at local establishments, fostering economic inclusivity and financial autonomy.