Bitcoin Lightning & scaling the Network.
Bitcoins layer 1 is like a gold bar -No good for buying coffee !
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It was amazing for a while everything worked the price was rising Bitcoin looked unstoppable.
Then in 2017 the bitcoin network was being used so much that it started to slow down taking up to 3 days to send a transaction. You could not "buy your coffee" with Bitcoin. People would have to pay a higher and higher transaction fees to get there transaction processed quicker. People became disillusioned the price dropped. Accusations of spamming the network were levelled at governments and certain other crypto currency leaders. Blockchain is slow and increasingly expensive. The Bitcoin Blockchain can only handle roughly 7 transactions per second, it was always was always going to have to scale to become a global payment system, enter second layer and 3rd layer solutions. |
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Lightning, Liquid & Custodial solutions like Wallet of Satoshi are now solving scaling & speed issues. You CAN buy coffee & pay for it instantly! It may not be as secure as using Bitcoin directly, but it's fine for Coffee - and you can still send Bitcoin in its original form. So if I was buying coffee I'd use Lightning. The cashier would simply show me a QR code that I'd scan with my phone. If I was sending $1,000,000 to Zimbabwe, I'd use the original blockchain and it would still cost a lot less than a wire transfer and still be way faster ( 1 Hr ).
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