Mapping out the Lightning Network ecosystem

The Lightning Network is a second-layer scaling solution built on top of Bitcoin. The Lightning Network was first proposed in February of 2015 by Joseph Poon and Thaddeus Dryja. It's a decentralized system in which transactions are sent over a network of micropayment channels whose transfer of value occurs off-chain. Through the channels users can send multiple payments back and forth, the final balances are recorded as one transaction on Bitcoin's blockchain once users decide to close out the channel.

Recently, the Lightning Network has experienced tremendous growth, however it is still very much in its early days and many problems still exist. While LN is still a project in works, a tremendous number of companies are focused on bringing it from a project mostly used by enthusiasts to the mainstream.