The lightning network is a layer 2 protocol that dramatically speeds up Bitcoin transaction times and reduces fees.

It does this by creating a separate ledger for recording transactions. This means that thousands of lightning transactions can be done for each settlement transaction on the main Bitcoin network.

This can be thought of like setting up a tab at a bar. The lightning network is the tab, and the Bitcoin settlement is the final payment at the end of the night.

Another comparison would be credit cards, where a quick balance check is done to make an instant payment, but the actual funds get deducted from your account some days later.

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Source: https://medium.com/yardcouch-com/bitcoin-supercharged-c9acef098d27?source=rss——-8—————–cryptocurrency