In an effort to improve payments speed, lower costs, and give clients privacy, a Las Vegas strip club is accepting Bitcoin payments via the Lightning Network.
Crazy Horse 3, also known as a “gentlemen’s Club”, claims it is the first major entertainment venue to accept Lightning payments.
OpenNode, a Bitcoin payment processor and infrastructure provider, oversees the club’s new payment rail. This allows guests to place orders via the club’s website.
Some might wonder why.
The Lightning Network for Bitcoin is a layer-2 protocol solution that allows transactions to be settled off-chain. It was created to reduce transaction times and the associated fees.
In 2009, Bitcoin’s ability to settle seven transactions per minute (TPS), was a new feature that was made public for the first time. As the number of users and network has grown, so has the demand for Bitcoin’s infrastructure.
Lightning Network aims to address this demand by increasing the maximum throughput up to 25 million TPS. Crazy Horse 3 is looking to capitalize on bitcoin’s growing acceptance as a payment method.
Lightning offers additional protection for transactions. For instance, it uses Tor’s anonymic communication network known as onion routing. Nodes can send transactions to each other through routing, but the transaction is encrypted.
Crazy Horse 3’s representative stated in a statement that they are accepting Bitcoin as a way to provide convenience, first-class hospitality, and an additional level of anonymity to our guests.
According to them, privacy in adult entertainment is sacred.
What’s the point of the Horse?
Crazy Horse 3 is located just a few steps from the Allegiant Stadium. The club is subject to financial judgment, as it is categorized as a high-risk industry.
Therefore, the fees charged to traditional railway payment processors are more expensive. However, bitcoin payments are much cheaper than traditional rails.
International clients who fly into Las Vegas can benefit from Bitcoin payments. They don’t have to use their debit/credit card to make quick payments.
The club accepts bitcoin for bottle service. However, it plans to expand its transactions to include admission, food selections and retail.
The Lightning Network can really make an impact in Tipping. The Lightning Network can make a significant impact on local economies by offering privacy, faster payments and lower fees.
The cost of microtransactions onchain bitcoin would be prohibitive and slow. Lightning payments are ideal for tipping and can be made in smaller amounts. Crazy Horse 3 is keen to expand its Lightning Network capabilities.