SatsAtlas

Bitcoin glossary

Lightning Network

Bitcoin’s payment layer: instant, near-free transactions settled off-chain.

The Lightning Network is a second layer built on Bitcoin where payments move instantly through a network of pre-funded payment channels, settling to the blockchain only when channels open or close. Fees are typically a few sats regardless of congestion, making coffee-sized — and streaming-sized — payments practical.

Lightning is why “Bitcoin can’t buy coffee” is dated: the base chain is the settlement layer; Lightning is the payments layer on top.

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