One of the limitations of bitcoin is that it allows only 7 transactions per second (compare that to Visa’s 24,000 transactions per second!) so you can imagine how congested the system has become. The Lightning Network is a payment protocol or an additional layer in bitcoin that lets it conduct faster transactions. By taking some of the work away from the primary blockchain, the Lightning Network can help speed up bitcoin and lower transaction fees.
You can think of the Lightning Network as a bar tab. Instead of having to reach into your wallet to pay up for every drink you buy, you get to buy drinks and add them up to your tab as you progress through the night. Once you’re ready to leave, you get to pay for all of the drinks you bought all at once.
Other interesting terms…
