Understanding the difference between Bitcoin Lightning and On-Chain Addresses

A Bitcoin lightning address is a type of address used for the Lightning Network, a layer-2 protocol that allows for faster and cheaper transactions on the Bitcoin blockchain. It is a special type of address that is used for sending and receiving payments over the Lightning Network. It is important to note that a Bitcoin lightning address is not the same as a Bitcoin on-chain address.

A Bitcoin on-chain address is the address used for sending and receiving payments directly on the Bitcoin blockchain. This type of address is associated with a single private key and is used for sending and receiving funds on the Bitcoin blockchain.

The main difference between a Bitcoin lightning address and a Bitcoin on-chain address is the speed of transactions. Bitcoin lightning provides near-instant payments, while Bitcoin on-chain takes about 10 minutes for transactions to be confirmed on the blockchain. This makes Bitcoin lightning much faster and more efficient to send and receive payments on the Bitcoin blockchain.