Chapter · Master Bitcoin
Lightning, scaling, and forks
The main Bitcoin chain is secure but slow, and it can only fit so many payments per block. The Lightning Network is a second layer built on top of Bitcoin for fast, cheap, everyday payments. It lets two people open a private payment channel, send funds back and forth instantly, and settle the final result on the main chain. This keeps small purchases quick and cheap without changing Bitcoin's core rules.
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What you get asked
What problem does the Lightning Network aim to solve?
On the base chain, small payments can be slow and costly when it is busy. Lightning handles them off chain, fast and cheap.
Lightning is called a second ___ because it is built on top of the main Bitcoin chain.
A second layer, or layer two, runs on top of the base blockchain to add speed and low cost while still settling on the main chain.
Order how a simple Lightning payment works
Only opening and closing touch the main chain. Everything in between is instant and nearly free, which is what makes Lightning fast.
In 2017 a group split off to make bigger blocks. What did they create?
A disagreement over block size led to a fork in 2017, creating a separate coin, Bitcoin Cash, that runs on its own chain.
When a blockchain community disagrees and splits into two chains, that split is called a ___.
A fork happens when people disagree on the rules and the chain splits in two. Bitcoin Cash was one such split, aiming for larger blocks.
The rest of this chapter
Learn what Bitcoin is, how it works, and how ordinary people buy, hold, and secure it safely.