Can you say Global Financial System Disruption?
This revolutionary development makes it possible to replace the global monetary system with a new monetary system not based on multiple different fiat currencies, but based one universally available and universally acceptable store of value called Bitcoin. This is is revolutionary, so I will walk you through it.
In order to understand this you must understand the following:
Cryptocurrency blockchain side chains
The Lightening Network as a side chain of Bitcoin
The main features of the Bitcoin side chain called the Lightening Network
The software transaction settlement platform called Liquid.
The wallet called Blockstream Green Wallet
On that note let us begin.
Side chains and their purpose.
A side-chain is a blockchain that runs parallel to another Main blockchain. It’s purpose is to enable new features and capabilities while leveraging the main chain’s security. A sidechain supports the secure transfer of assets between chains. The Blockstream developer team took this concept of the side chain and created a sidechain of Bitcoin called the Lightening Network because of it’s very fast transaction speed.
The Lightning Network is a Bitcoin blockchain sidechain.
The lightening network makes the following possible with Bitcoin:
Micro transactions measured in Satoshis the smallest divisible unit of Bitcoin.
Micro transaction fees which make transfers of Satoshis economically viable.
The Lightening Network is fast.
The Lightening Network features lightening fast transactions of up to one million transactions per second. It is the fastest blockchain on earth. It is the first blockchain faster then the Visa Credit Card processing system.
Bitcoin Transaction on side chain but recorded on main chain.
Transactions occur on the Lightening Network side-chain, but are ultimately recorded on the main chain, the Bitcoin block chain. These transactions are processed and settled on the side chain using the Liquid Network Platform before data is transferred and recorded on the main chain of the Bitcoin blockchain.
Revolutionary Applications
This achievement of fast micro transactions with micro transaction fees, which occur very fast is revolutionary as it allows the adaptation of Bitcoin to everyday commercial applications, along with other applications like Micro-loans and use in NFT applications like games and collectibles.
Bitcoin is a revolutionary concept in money. But until now it’s very expensive to buy Bitcoin, it’s very expensive to transfer Bitcoin, and Bitcoin is relatively slow for commercial transactions, as it takes 20-40 minutes on a very good day, or much longer on a bad day. Lightening Network changes everything.
Bitcoin Speed, Scaleability and Affordability issues
The Lightening Network removes all these limitations and creates a viable economic scenario where Bitcoin could be used all over the world as a inflation proof, government proof, store of value. Bitcoin could be used to provide micro-loans all over the world to help reduce poverty. Bitcoin could be used in countries currently suffering from hyperinflation and would immediately stabilize the economy providing a store of value for wages and a unit of trade for goods and services. Bitcoin could also be used in other commercial applications like video games.
The Liquid Network: Transaction settlement on the side chain and back to the main chain:
The Liquid Network is a Lightening Network sidechain-based settlement platform for traders and exchanges. It enables fast and private Bitcoin micro transactions transactions between users. It is also capable of issuing digital assets such as stablecoins and securities.
Blockstream Green Wallet
Blockstream Green Wallet is a simple and secure Bitcoin wallet made to function with the Liquid Network settlement platform on the Lightening Network. Using the Liquid Network a user can send and receive Bitcoin, Tether, and other Liquid assets, all secured by Green’s unique two-factor multisig security and hardware wallet support. This wallet is currently available in two versions for iOS and Android operating systems.
The history of the Bitcoin, global disruption of the monetary system and financial markets is occurring now. It’s an amazing time to be alive...the future is happening now. Stay informed.
Penned and paraphrased by my hand.
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