Lightning Labs, a Bitcoin Lightning Network development firm, has introduced a new toolkit that allows artificial intelligence (AI) models to transact and hold Bitcoin on the Lightning Network. The toolkit enables AI applications like OpenAI’s ChatGPT to interact with the Bitcoin network and perform functions such as sending, receiving, and holding the cryptocurrency. This development aims to make payments faster, cheaper, and more accessible for AI developers, allowing them to distance themselves from traditional payment methods and enabling pay-per-use AI models on the Lightning Network.
The tools released by Lightning Labs are based on the L402 protocol, which is a Lightning native authentication mechanism. Additionally, they utilize Langchain, a library that simplifies operations with AI applications. By leveraging these tools, developers can create a more accessible AI infrastructure for both humans and AI agents.
One of the challenges faced by AI application developers is the lack of native web-based payment options for large language models (LLMs). Currently, these models rely on outdated payment methods like credit cards, which incur additional expenses for users. Furthermore, as these AI agents are not registered entities, they encounter difficulties accessing fiat payment systems.
Kody Low, a developer at the community payments platform Fedi, highlighted the potential of using Bitcoin for AI monetization. He explained that Bitcoin is the ideal solution for AI companies seeking monetization opportunities.
According to data from LN analytics platform 1ML, the current Lightning Network capacity stands at approximately 5,432 BTC, equivalent to around $163.5 million. However, Bitcoin Visuals has reported a decrease in the number of Lightning Network channels over the past year, from approximately 80,000 in July 2022 to around 70,000 at present.
By providing AI models with the ability to transact and hold Bitcoin on the Lightning Network, Lightning Labs aims to facilitate innovation and enhance the monetization options for these models. This development has the potential to revolutionize the AI industry by eliminating the need for outdated payment methods and enabling more efficient and cost-effective transactions.
