A Ukrainian citizen was recently sent some money from Miami in the US to Poland through Bitcoin’s Lightning network. A BTC developer helped him download and set up a crypto wallet on the phone. After this, he withdrew cash from a bitcoin ATM in about three minutes. This shows the efficiency of the Lightning network and its use for payments abroad.
CNBC’s Report According to the report, the Ukrainian citizen used bitcoin and Lightning Network Downloaded a self-custodial crypto wallet app and generated an invoice in the form of QR code. The QR code was then captured using the scan mode in the crypto wallet and a little over 50,000 Satoshi was transferred. This Ukrainian citizen withdrew this amount in cash from a bitcoin ATM in southwest Poland. For this, he had to pay a nominal transaction fee. Bitcoin’s Lightning Network is a layer-2 system designed to transfer or receive payments instantly. In this, the transaction is separate from the main network and due to this, less fees are charged. This is also helping to increase the use of bitcoin.
However, only a minimum amount of bitcoin can be sent in a single transaction, which is approximately 0.000000546 BTC. The Lightning Network allows the transaction limit as the lowest available unit of 0.00000001 BTC or one Satoshi. With Bitcoin’s Lightning network, users do not even have to worry about privacy.
In this, by looking at the blockchain, it is known that a transaction has opened a channel but it cannot be told what is happening inside it. If the people involved in the transaction keep their channel private, then only they are aware of the transaction. Sending less money on the blockchain hurts because of the high fees on normal transactions. However, a portion of bitcoins in a channel can be sent without fees. This facility of fund transfer through bitcoin is available in very few countries. Legislation is being done in many countries regarding cryptocurrencies and after that such fund transfers can be accelerated.