I have no idea where you got this incredibly incorrect information from. I am assuming nowhere reliable because the lack of any educated points based in fact really shows.

The LN is most definitely a 2nd layer protocol built on top of the BTC blockchain (This is like intro to blockchain 101 stuff dude).

A sidechain operates on a completely separate blockchain, the LN doesn't. The LN creates off-chain payment channels that allow you to transact without broadcasting transactions to the BTC blockchain, until the channel is mutually closed & is then recorded on the Bitcoin blockchain after this.

The LN relies on BTC's blockchain security, consensus mechanism & HTLCs to secure/manage funds in channels. When channels close, balances settle on the BTC blockchain.

The shared ownership argument is weak, but the good news is that there is no need to dispute in court, because the blockchain has an amazing security feature designed just for this - it is called the "commitment transaction mechanism" - which makes sure that the latest valid commitment transaction is the one with the most recent balance state.

If there was ever a dispute between 2 people, both people would submit their latest commitment transactions & the blockchain would enforce the most up-to-date state. This security feature is designed to prevent attempts of fraud by people trying to broadcast an outdated transaction with a different/untrue balance.

Also, and most importantly, HTLCs make sure that funds can only ever be spent if both the sender & the receiver in the channel agree on the transaction & these funds cannot be spent outside the channel.

So, you are wildly incorrect - coins are not "owned" by the channel itself, they are under the control of the people who jointly manage the channel and make agreement on any payments made, which is later enforced by the underlying Bitcoin blockchain technology and is protected by the blockchain's security and privacy features. Impressive right? Bitcoin is rad.

(I have also left a fun visual explanation of how Bitcoin and its Lightning Network functions for you - just in case all of the above info went over your head)

Thank you for coming to my Blockchain for dummies Masterclass - that will be 500K Sats. Please send payment to baileyjakob@walletofsatoshi.com