More Examples

“Open a payment channel on Lightning Network.”

Lightning Network is built into the Muun wallet.”

“Send me a Lightning invoice.”

Definition(s) from the Web

  1. Lightning Network is a proposed implementation of Hashed Timelock Contracts (HTLCs) with bi-directional payment channels which allows payments to be securely routed across multiple peer-to-peer payment channels. This allows the formation of a network where any peer on the network can pay any other peer even if they don’t directly have a channel open between each other. As of March 2019, there were more than 37,000 channels carrying more than 764 bitcoins. Source
  2. Lightning Network is the additional payment protocol, a layer embedded on top of a blockchain to enable users to send or receive payments instantly and at zero cost. It involves the use of peer-to-peer payment channels that mean users can defer broadcasting their transactions to the blockchain, making it scale. It is intended to help Bitcoin cryptocurrency scale. Source
  3. The Lightning Network is a “layer 2” payment protocol that operates on top of a blockchain-based cryptocurrency (like bitcoin). It is intended to enable fast transactions among participating nodes and has been proposed as a solution to the bitcoin scalability problem. It features a peer-to-peer system for making micropayments of cryptocurrency through a network of bidirectional payment channels without delegating custody of funds. Lightning Network implementation also simplifies atomic swaps. Normal use of the Lightning Network consists of opening a payment channel by committing a funding transaction to the relevant base blockchain (layer 1), followed by making any number of Lightning Network transactions that update the tentative distribution of the channel’s funds without broadcasting those to the blockchain, optionally followed by closing the payment channel by broadcasting the final version of the settlement transaction to distribute the channel’s funds. To perform as intended, Lightning Network required a transaction malleability fix in the layer 1 blockchain, such as Segregated Witness (SegWit) in bitcoin. Source

See Also

Layer 2

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