What is Lightning network? The Lightning network technology is one of the most known technologies that joined the DEFI (Decentralized Finance) after Blockchain and Bitcoin introduction. Bitcoin was studied for years after White Paper Bitcoin public release and like any other Innovation, had its own special problems. One of its biggest problems was that the main Blockchain server that was developed by Satoshi Nakamoto had low scalability.
In the rest of this article in shetcoiner website, we’ll introduce the Lightning network. So make sure you read to the end of this article.
What is Lightning network?
In a simple way of saying, Lightning network is one of the developed ways to increase Blockchain’s speed and scalability. Bitcoin’s original Blockchain is powerful and secure but it has the maximum of 7 transition per second and that is slow and irreducible. So after increasing of the people’s attendance in Bitcoin community, Bitcoin’s Original Blockchain’s low scalability was criticized by lots of Economics experts.
A lot of people criticized the low scalability of Bitcoin’s Original Blockchain after Bitcoin’s network releasing and becoming famous and called Blockchain’s network inefficient for wide range of transitions. But Bitcoin and cryptocurrency’s activists and developers tried to solve this problem.
In the beginning that Blockchain network was facing troubles with high amount of transitions, and long delays for confirming a transition. For solving this problem, a lot of updates, hard Forks and soft Forks was released for Bitcoin.
Bitcoin Cash Hard Fork
This successful and big hard Fork was developed by some programmers together with the goal of increasing the scalability of Bitcoin’s Original Blockchain and because of this Hard Fork, a new cryptocurrency was branched from Bitcoin with the name of Bitcoin Cash. This Hard Fork was made in 2017 and was the origin of other Hard Forks. Bitcoin Cash Hard Fork was one of the largest crypto community’s efforts for increasing Bitcoin’s speed and scalability. The size of every Block was increased from 1MB to 8MB in Bitcoin Cash.
Bitcoin SV Hard Fork
This fundamental Hard Fork that was released in 2018 and after crypto community fans consensus. In Bitcoin SV Hard Fork, the Block sizes are increased to 128 MB and the Extraction of Bitcoin happens based on SHA256 algorithm.
Lightning networks main job
A lot of efforts were made to make Bitcoin’s original Blockchain faster and more scalable Transition confirmation in the last few years but the best one was the Lightning network idea.
A lots of developers and fans of this network, call Lightning network an Off-Chain way for increasing the speed of confirming small or medium transitions. In a simple way, Lightning network is a second layer seconder of transitions that start to work alongside Bitcoin’s Blockchain and processes the small and medium transition that isn’t necessary to keep Bitcoin’s Blockchain or Ethereum busy.