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Lightning Network as a State Channel: How Bitcoin Gets Instant, Cheap Payments
28 Dec 2025
Stuart Reid

Lightning Network as a State Channel: How Bitcoin Gets Instant, Cheap Payments

The Lightning Network is a state channel built for Bitcoin that enables instant, low-cost payments off-chain. With over 89,000 active channels and fees as low as $0.0002, it solves Bitcoin's scalability issues without compromising security.

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