Twitter CEO among backers of blockchain startup Lightning Labs

It has emerged that Jack Dorsey, CEO of Twitter and Square, is one of the investors in blockchain startup Lightning Labs.

Also supporting the project are David Sacks, former COO of PayPal, and Bill Lee, angel investor in Tesla and SpaceX, Jacqueline Reses, head of Square capital, and Charlie Lee, creator of Litecoin, reports CNBC.

Lightning Labs specialises in technology that promises to make Bitcoin cheaper and faster to use, and it has raised seed funding of $2.5 million.

CEO Elizabeth Stark told CNBC: “If bitcoin is like a decentralized savings account, Lightning is a decentralized checking account where users can send money instantly.”

“One thing we’ve learned is that it can be hard to predict bitcoin fees in advance, and there may be large swings, so having a solution like Lightning with very low fees on the network is key. You still pay on-chain bitcoin fees when getting on or off of Lightning, but that may happen infrequently, like once a month or year.”