I was chatting with friends and realized that many people haven't quite got this straight.
Amounts on the Lightning Network can be divided down to one-thousandth of a satoshi (a millisatoshi), and the protocol's technical specifications are called BOLTs.
If one party tries to close a channel using an outdated balance record, the other party can submit a penalty transaction within the allotted time and take all the funds in the channel, making cheating not worth the risk.
What circulates on the Lightning Network is still $BTC ; it's just that most payments don't need to be recorded on-chain individually.
What else would you like to learn about? Leave a comment.
Just a few notes—not instructions on what to do.
Amounts on the Lightning Network can be divided down to one-thousandth of a satoshi (a millisatoshi), and the protocol's technical specifications are called BOLTs.
If one party tries to close a channel using an outdated balance record, the other party can submit a penalty transaction within the allotted time and take all the funds in the channel, making cheating not worth the risk.
What circulates on the Lightning Network is still $BTC ; it's just that most payments don't need to be recorded on-chain individually.
What else would you like to learn about? Leave a comment.
Just a few notes—not instructions on what to do.