Everything so far was about on chain transactions, written directly into the blockchain. Bitcoin also has a second layer built on top of it: the Lightning Network.
On chain
- Recorded in a block, visible to all, final after confirmations.
- Takes about ten minutes or more for a first confirmation.
- Best for large amounts and long term savings.
Lightning
- Payments settle in a second or two.
- Fees are often a few sats or less.
- Best for small, everyday payments, like a coffee or a tip.
- You pay with an invoice, often a QR code starting with lnbc, or a Lightning address that looks like an email.
Many wallets now handle both. You will see how Lightning works inside at the Pathfinder level.
▶ SEE IT IN THE MACHINELIGHTNING NETWORK shows payments flying between channels above the chain.