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How does the Bitcoin network handle transaction confirmations compared to the Lightning network?

avatarNaejNov 26, 2021 · 3 years ago2 answers

Can you explain the differences in how the Bitcoin network and the Lightning network handle transaction confirmations? How does the Bitcoin network ensure the security and validity of transactions, and how does the Lightning network provide faster confirmations?

How does the Bitcoin network handle transaction confirmations compared to the Lightning network?
Bitcoin
Lightning Network
Transaction Confirmations

2 answers

  • avatarNov 26, 2021 · 3 years ago
    The Bitcoin network handles transaction confirmations by relying on the consensus of miners. When a transaction is made, it is included in a block, which is then added to the blockchain. The more confirmations a transaction has, the more secure and irreversible it becomes. This process can take some time, especially during periods of high network congestion. On the other hand, the Lightning network is a layer 2 solution built on top of the Bitcoin network. It allows users to open payment channels with each other, enabling faster and cheaper transactions. These off-chain transactions do not require confirmations on the Bitcoin network and can be settled instantly. The Lightning network provides a scalable solution for microtransactions and can significantly reduce transaction fees compared to the Bitcoin network.
  • avatarNov 26, 2021 · 3 years ago
    The Bitcoin network handles transaction confirmations by relying on the consensus of miners. When a transaction is made, it is included in a block, which is then added to the blockchain. The more confirmations a transaction has, the more secure and irreversible it becomes. This process can take some time, especially during periods of high network congestion. On the other hand, the Lightning network is a layer 2 solution built on top of the Bitcoin network. It allows users to open payment channels with each other, enabling faster and cheaper transactions. These off-chain transactions do not require confirmations on the Bitcoin network and can be settled instantly. The Lightning network provides a scalable solution for microtransactions and can significantly reduce transaction fees compared to the Bitcoin network.

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