SENDING BITCOIN IN SMALLER AMOUNTS AND FASTER. BOOM DONE

MADEIRA NOSTR PARTY EXPLAINS 😈😎😎

It's like that cryptocom stadium FTX stuff right?

yeah, and especially when english is neither your and their native language

Lightning network is made up of payment channels that can route to each other if there is enough liquidity balanced in the channels.

To open a Lightning channel with a someone requires paying a L1 bitcoin fee.

Basically it works like bar tab. Instead of paying the L1 fee every time you make a payment. You only need to pay the L1 fee once to enable payments.

It gets pretty complex when you start talking about LSPs and node runners though.

So that’s why custodial wallets like Wallet of Satoshi are very popular as it removes all the complexity but you instead of to trust a custodian with your funds.

Recently made this analogy for a friend that worked for a simplistic overview:

Imagine a network of big offices in a city that send large amounts of money to each other in expensive armored cars that are slow and often stuck in traffic.

Now imagine there are an even bigger subset of small offices that occasionally get chunks of money from the big offices

and they send people out on zippy scooters to deliver and pick up the money from the other small offices.

The scooters are much faster and cheaper than the big armored cars, and generally carry much smaller amounts.

Every now and then, a couple of the small offices settle up with one of the big offices.

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Curious if anyone has thoughts to add?

Very simplified I know,

and not dealing with many details like opening/closing channels, channel sizes,forced closes, finding routes etc.