What Is the Bitcoin Lightning Network? Instant, Near-Zero-Fee Payments

The Lightning Network is a layer-2 payment network on top of Bitcoin: two parties open a "payment channel", then settle countless small transfers off-chain — instant and near-zero fee — touching the main chain only to open or close the channel. Here is how it works, its uses and limits.

The Lightning Network is a layer-2 payment network on top of Bitcoin: two parties open a "payment channel", then settle countless small transfers off-chain — instant and near-zero fee — touching the main chain only to open or close the channel. Here is how it works, its uses and limits.