Bitcoin's Lightning Network, Simply Explained!



Bitcoin has a 7 transaction/second limit, so how can we overcome this? The Lightning Network is one of the proposals and in this video I’ll explain how it works.

47 Comments

  1. dont like it, its a hard thing to implement and can lead to bugs that can destroy btc, its better to use btc to its limit and then launch the btc 2.0 with a faster and bigger blockchain

  2. Why not just use another crypto that handles many transactions per second?
    IMO, bitcoin will never truly be used for everyday payment, although it might continue existing forever as safe a way to store money in the long run, just like gold.

  3. By law all of the transactions in a financial system must be traceable and recorded, idiots building LN know shit about finances and law! It's a scam system that will fail! BSV is the real bitcoin that scales and records every transaction!

  4. >"there is a big issue standing in the way…"
    I'm sorry, there isn't
    "but blocktimes are 10 minutes, sometimes it takes more than 1 block to validate my transaction!"
    so fucking what? people paid restaurants and many other services using CHECKS for years now, nobody has fucking complained that a check is not instant
    "scaleability problem" is VISA and Mastercard coping that their system is fucking worthless garbage
    bitcoin also has low fees, right now they're around 0,06 USD for a couple of blocks . Anyone that has ever done a bank transfer or had a credit card knows that it's insanely cheaper to use bitcoin
    even for your starbucks

    scaling problem does not exist and only an utter complete moron think it does
    cope

  5. The only part I don't understand is how to guarantee that when closing a channel, that the latest version is presented to the bitcoin network. Let's say Bob received 10 coffees and is almost officially near a zero balance with the coffee shop, but then he presents the version that only reflects him receiving 1 coffee, thus cheating the coffee shop. What am I missing? Thanks in advance!

  6. 18 months from now LN will be 18 months from LN will be 18 months from LN will be 18 months from LN will be 18 months from now

  7. I still don't get what problem this is trying to solve.

    Can you have a more complex example explain, and how it would with with and without LN?
    How is this taking load off the network, if other nodes still need to have topies of the channels between those actors?

  8. is it true that after every transaction, both parties keep the updated balancesheet with BOTH signatures on it? because if so, couldnt bob just broadcast an old version of the signed balancesheet later and get his money back, even he had consumed all the coffee? I thought only the coffee shop has the copy signed by bob, because the coffeeshop will always choose the latest version. this goes for unidirectional transactions. In case of bidirectional, doesnt there have do be a asymetric revokable commitment?

  9. The lightning network is just another form of banking, its centralized because its a direct transaction… give it time the nodes will be institutions and greedy men will have full control over it. Bitcoin was fine for singular transactions before now you have open channels to… bet? ya right open channels so the banking system has control over the off chain transaction

  10. @Savjee

    What will happen if Alice transfer the money to Bob for coffee shop and Bob does not transfer the money to coffee shop and keep with himself

  11. And 1year later it is still being developed and BTC believers are still going for a solution that was supposed to solve the scaling problem

  12. Let me get this straight. People have a problem with this, but don't blink an eye when they swipe their Visa debit/credit card when they bank with Wells Fargo to pay a coffee shop that uses Chase Merchant Services to settle their daily batches into said coffee shop's Bank of America account. OKAY.

  13. I love all these videos that are 1 year old. Saying this will never work. Now look at bitcoin. It has 500 BTC in the network and the network is growing faster and faster every day. its working and its proving itself. BCashers will die… lmfao.

  14. lmao while reading all of this comments! Even though you explained this topic really well, they still don't get it. When you explained to someone about the underlying tech they use day to day, they will go nuts! lol! They complain about it being unsecure, slow, centralized, a lot of work, etc. Oh cmon! if you dont want to use it when its fully out, then dont! The masses do not really care how things works as long as it works. Do majority of you really care how the website you visit works,how YT works, how your apps works? Some people will, but a lot of people do not care. Even if the tech they're using is secure or not, they only hope it is. Why do we still use these techs? Bcoz its all mass adopted,its convenient even we dont know how all of these works. So buy other altcoins you want that is faster than bitcoin, or for whatever reason. Just always remember, the techs that are always mass adopted are the one who is backed by major players, as of now, its bitcoin. No not XRP, XLM,but I dont know if someday they will be adopted. One thing I know, btc will be here for A LONG TIME!

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