Comment Comment by rglullis > And you DO transfer bitcoin.No, Layer-2 systems only transfer cryptographically signed IOUs between nodes.Settlement only happens when these IOUs are cashed out, and to cash out you need a transaction in the blockchain layer, so the point about latency still stands. parent rglullis 6 months ago
No, Layer-2 systems only transfer cryptographically signed IOUs between nodes.
Settlement only happens when these IOUs are cashed out, and to cash out you need a transaction in the blockchain layer, so the point about latency still stands.