Some of the key advantages of lightning network

Findingnemo

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Quote from: Mr.suevie on August 17, 2023, 09:09:40 AM

Same here for me, it was just recently I saw the opposite of LN on the binance exchange although like you said many theories of how lightning network is super fast and more preferable when it comes to it's use for transaction with Bitcoin but still haven't also been able to access it use. I also see that my electrum wallets also support the LN but am just curious of how it still not the most preferred network used when it comes to transacting of Bitcoin although i know its use will be very good for folks actually running a business and currently accept BTC as a means of payment so every payment will be done in a matter of split seconds.

People have yet to get used to it, and it will take a few more years cause now only most users are adopting the segwit addresses.

LN is great to avoid the time and transaction fee but it requires an active channel which should be funded with Bitcoin on a chain that still requires transaction fee and confirmation time then only the user who wants to spend their BTC on LN can use it. People may be considered using LN when the fee was hiked recently but now it is sitting at 6-7sat/vbyte then they won't be using LN for now.

In case if you are wondering where to spend your BTC via Lightning network you can find most of the sites supports LN transactions

https://lightningnetworkstores.com/

Mr.suevie

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Quote from: Davidvictorson on August 17, 2023, 08:42:19 AM

Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

This is what I was able to convey and understand, but the threat is open to my fellow members who have done the same study as me and others who know more than me. The flow is open, and I welcome any other ideas and knowledge that other members will also add to what I've said.

I have read about the importance of the lightning network to bitcoin and how it enables easy transfers. I have yet to see it being used in my country though maybe we still need a lot of catching up to do in that area. Although I see an option like that when I use my Binance app in the section to select network, lightning is listed there but I have never used it. I have researched on it and still get fascinated with it. One of the questions that comes to mind whenever I read about it is what is the actual use case...to explain further, should I bother about using lightning network if all I do is spend less than $100 on bitcoin transactions per week? Secondly, between Moon and Wallet of Satoshi which is the best lightning wallet app to use?

Same here for me, it was just recently I saw the opposite of LN on the binance exchange although like you said many theories of how lightning network is super fast and more preferable when it comes to it's use for transaction with Bitcoin but still haven't also been able to access it use. I also see that my electrum wallets also support the LN but am just curious of how it still not the most preferred network used when it comes to transacting of Bitcoin although i know its use will be very good for folks actually running a business and currently accept BTC as a means of payment so every payment will be done in a matter of split seconds.

Davidvictorson

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Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

This is what I was able to convey and understand, but the threat is open to my fellow members who have done the same study as me and others who know more than me. The flow is open, and I welcome any other ideas and knowledge that other members will also add to what I've said.

I have read about the importance of the lightning network to bitcoin and how it enables easy transfers. I have yet to see it being used in my country though maybe we still need a lot of catching up to do in that area. Although I see an option like that when I use my Binance app in the section to select network, lightning is listed there but I have never used it. I have researched on it and still get fascinated with it. One of the questions that comes to mind whenever I read about it is what is the actual use case...to explain further, should I bother about using lightning network if all I do is spend less than $100 on bitcoin transactions per week? Secondly, between Moon and Wallet of Satoshi which is the best lightning wallet app to use?

Blitzboy

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Your understanding of the lightning network is just the tip of the iceberg! Understand that bitcoin and its innovations, such the lightning network, signal the new money age.

Have you rehashed some basic facts, but do you comprehend the problem's scope? Lightning network isnt just "faster"; its a major stride forward from slow banking systems that have held people back for centuries. You said bitcoin has 7 transactions per second, while the lightning network is like a lion against a mouse. And dont mention fees

I commend your initial attempts towards comprehending this cutting-edge technology, but a weak grasp is harmful. For the love of cryptocurrency, please research, study, and understand before spreading the message.

hd49728

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Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

I decided to do some research about the lightning network since I found that it is the fastest transaction network.

Fastest transaction network, where did you get the information?

Quote

I went to the history of the network and discovered that the bitcoin lightning network white paper was released on January 14, 2016, and it was finally launched on March 15, 2018. Through this process of learning, I learned something that I would like to share with my fellow newcomers who might not know about it on the forum.

[Table] All Lightning Network Threads In One Place
The adoption of Lightning network only began its parabolic curve since 2019 and 2020.
https://txstats.com/d/000000012/lightning-network?orgId=1&from=now-5y&to=now

Quote

The lightning network has a theoretical throughput of 1 million transactions per second, which is better than that of bitcoins, which is only 7 transactions per second.

You will have to choose security or transaction speed. If you can wait like 10 minutes to 30 minutes, you should choose Bitcoin network, not Lightning Network, for your transactions.

Husires

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Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

I decided to do some research about the lightning network since I found that it is the fastest transaction network. I went to the history of the network and discovered that the bitcoin lightning network white paper was released on January 14, 2016, and it was finally launched on March 15, 2018. Through this process of learning, I learned something that I would like to share with my fellow newcomers who might not know about it on the forum.

The lightning network has a theoretical throughput of 1 million transactions per second, which is better than that of bitcoins, which is only 7 transactions per second.
It also has a fast transaction processing time of under a minute, compared to that of bitcoin, which is processed in 10 minutes.
And also, lightning network fees are lower and negligible than those of the main bitcoin network.

This is what I was able to convey and understand, but the threat is open to my fellow members who have done the same study as me and others who know more than me. The flow is open, and I welcome any other ideas and knowledge that other members will also add to what I've said.

Transactions in the lightning network are instantaneous and take place at the level of the second layer, where the balance within the channel is updated instantly, but you have two transactions, one to open the channel and the other to close it, and both are on-chain transactions. Therefore, on average, you need to wait for 20 minutes, during which you can make instant payments for a month or more, depending on the second party .
There is no max number of TX per As I mentioned, it is instantaneous, and channel values is updated immediately.

un_rank

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- Jay -

Quote from: bayu7adi on August 16, 2023, 11:20:37 PM

However, do you reckon that the Lightning Network truly merits a more widespread embrace than Bitcoin?

It is not lightening network or Bitcoin, you still use Bitcoins on lightening network just as you do on the bitcoin chain.

Quote from: bayu7adi on August 16, 2023, 11:20:37 PM

Yet, it's important to note that the Lightning Network falls into the hot wallet category, which means that substantial storage within it carries a heightened level of risk.

It is applied for smaller and regular transactions so it is definitely sort of a hot wallet, and you should only use amounts that you spend regularly while keeping your Bitcoins on secure, cold wallets.

- Jay -

Jawhead999

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Quote from: adaseb on August 16, 2023, 10:54:59 PM

And other exchanges just recently started to use it. I am surprised why there wasn’t more rollouts years ago. Maybe Bitcoin fees just weren’t that high and it wasn’t needed anymore?

Nope, if you check in this site [1] you will see there were many exchanges accept lightning network in 2021. Binance accepting lightning network when BRC-20 tokens attacking Bitcoin network, but people choose to wait and not send their coins.

My assumption most of people are still use centralized exchange to hold their coins, so either the fee is high or not, they're not get any impact with that.

[1] https://github.com/theDavidCoen/LightningExchanges

bayu7adi

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dont be greedy

Indeed, it's true that the Lightning Network boasts swifter transaction speeds compared to Bitcoin. Even in the realm of transaction fees, the Lightning Network manages to maintain a wallet-friendly edge. However, do you reckon that the Lightning Network truly merits a more widespread embrace than Bitcoin?

For smaller transaction volumes, it does appear to hold its ground adequately. Yet, it's important to note that the Lightning Network falls into the hot wallet category, which means that substantial storage within it carries a heightened level of risk.

For a more comprehensive dive into the intricacies of the Lightning Network, should you wish to delve further, you can explore this thread:
>> Lightning Network Observer
>> Lightning Network -- Basics (documents, data pages, files, plots)

adaseb

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I remember first hearing about lightning back in 2016 and I assumed that it would be quickly adopted in a year or so. But with Segwit being delayed and taking forever for the pools to agree for the segwit fork, many forgot about it.

Then when it came out nobody used it. I assumed exchanges would be the first to adopt it but I think last month Binance finally added LN. And other exchanges just recently started to use it. I am surprised why there wasn’t more rollouts years ago. Maybe Bitcoin fees just weren’t that high and it wasn’t needed anymore?

Essential10

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Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

I decided to do some research about the lightning network since I found that it is the fastest transaction network. I went to the history of the network and discovered that the bitcoin lightning network white paper was released on January 14, 2016, and it was finally launched on March 15, 2018. Through this process of learning, I learned something that I would like to share with my fellow newcomers who might not know about it on the forum.

The lightning network has a theoretical throughput of 1 million transactions per second, which is better than that of bitcoins, which is only 7 transactions per second.
It also has a fast transaction processing time of under a minute, compared to that of bitcoin, which is processed in 10 minutes.
And also, lightning network fees are lower and negligible than those of the main bitcoin network.

This is what I was able to convey and understand, but the threat is open to my fellow members who have done the same study as me and others who know more than me. The flow is open, and I welcome any other ideas and knowledge that other members will also add to what I've said.

Bitcoin was not designed to handle large numbers of transactions. Lightning Network helps speed up transactions without impacting the network. Without network congestion, transaction fees are significantly reduced for the Bitcoin blockchain. Although it has some potential issues and pitfalls, it has a lot of promise and could very well help solve Bitcoin's scaling problem. But because of its promise, the Lightning Network is presented as the solution to everything. The Bitcoin Lightning Network is one of many payment networks in the crypto space. Although it is faster and more cost-effective than the main blockchain, it still relies on a proof-of-work consensus mechanism, which has been criticized for high energy consumption.

DifDrama

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Quote from: Zoomic on August 15, 2023, 02:25:44 AM

Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

Some of the key advantages of lightning network

The lightning network has a theoretical throughput of 1 million transactions per second, which is better than that of bitcoins, which is only 7 transactions per second.

It is fine you have interest in LN and you made your research to know the importance of LN. From the title of your article above to the body, it seems you are comparing LN to bitcoin. It is not a right comparison. Bitcoin is a coin while LN is a network. But both the bitcoin network and the lightning network conveys and houses bitcoin. There is actually no need to compare LN to bitcoin. The LN is actually a second of bitcoin which was introduced to scale bitcoin. As you said above it handles transactions more effectively and it is worthy to know that it is an off chain solution.

Have you tried using LN, because practical knowledge is better than theory.

While it's true that the Lightning Network is often touted to have a theoretical throughput of 1 million transactions per second (TPS), this figure is highly optimistic and is more of a theoretical upper bound. The Lightning Network's actual TPS capacity depends on various factors, including network topology, channel capacity, routing algorithms, and more. Achieving this level of throughput in practice is currently far from being realized

BlackHatCoiner

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Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

And also, lightning network fees are lower and negligible than those of the main bitcoin network.

That isn't necessarily correct. Dependent on the amount transacted, you might pay a lot more via lightning. Even though, currently with people paying 10 sat/vb, that is less likely to occur.

I'm also going to ask the same question as with Zoomic; have you tried paying via lightning? Because, most people I know who are super excited with it, haven't seen it working in practice. If you haven't, please lower your expectations. Tongue

Zoomic

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Quote from: Egii Nna on August 15, 2023, 02:06:01 AM

Some of the key advantages of lightning network

The lightning network has a theoretical throughput of 1 million transactions per second, which is better than that of bitcoins, which is only 7 transactions per second.

It is fine you have interest in LN and you made your research to know the importance of LN. From the title of your article above to the body, it seems you are comparing LN to bitcoin. It is not a right comparison. Bitcoin is a coin while LN is a network. But both the bitcoin network and the lightning network conveys and houses bitcoin. There is actually no need to compare LN to bitcoin. The LN is actually a second of bitcoin which was introduced to scale bitcoin. As you said above it handles transactions more effectively and it is worthy to know that it is an off chain solution.

Have you tried using LN, because practical knowledge is better than theory.

Egii Nna

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I decided to do some research about the lightning network since I found that it is the fastest transaction network. I went to the history of the network and discovered that the bitcoin lightning network white paper was released on January 14, 2016, and it was finally launched on March 15, 2018. Through this process of learning, I learned something that I would like to share with my fellow newcomers who might not know about it on the forum.

The lightning network has a theoretical throughput of 1 million transactions per second, which is better than that of bitcoins, which is only 7 transactions per second.
It also has a fast transaction processing time of under a minute, compared to that of bitcoin, which is processed in 10 minutes.
And also, lightning network fees are lower and negligible than those of the main bitcoin network.

This is what I was able to convey and understand, but the threat is open to my fellow members who have done the same study as me and others who know more than me. The flow is open, and I welcome any other ideas and knowledge that other members will also add to what I've said.

Topic: Some of the key advantages of lightning network (Read 186 times)