Bitcoin Lightning Network Explained: How it Actually Works

How the lightning 2nd layer enables fast and cheap Bitcoin transactions, including demos, payment channels, multi-hop payments, and challenges.

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Resources:
Bitcoin Lightning Protocol Deep Dive (protocol and script line-by-line walkthrough):    • Bitcoin Lightning Transactions & Prot...  

How Bitcoin Works Under the Hood:    • How Bitcoin Works Under the Hood  

bitcoin/lightning donation address: https://zbd.gg/scottyd
fiat support:   / curiousinventor  

0:00 Intro
0:28 Demonstration Sending Bitcoin via Lightning
0:44 Earning Bitcoin in eSports with Zebedee integration
1:46 Bar Tab Analogy
4:45 Payment Channel Setup & Operation
6:44 Protecting Initial Deposit
7:20 Invalidating Prior States
10:51 Individual Revocation Logic
12:15 Payment Channel Review
13:14 Multi-hop Payments & HTLCs (Hash Time Locked Contracts)
17:28 Privacy & Onion Routing
17:54 Conclusion and Challenges