Lightning wallet in general is a wallet used in Lightning Network technology. The Lightning Network itself will allow users to send and receive Bitcoins quickly and cheaply, by moving transactions from the main blockchain.
In addition, the Lightning Network is designed to make Bitcoin transactions fast and with minimal fees. This new technology is part of a newer class of crypto technologies—also known as layer 2 blockchains.
How to Get Started with Lightning Network—Lightning Wallet
For those of you who want to transact using the Lightning Network, you must send some Bitcoin (for example from your Coinbase account) to a Lightning compatible wallet.
For your information, there are dozens of wallets to choose from, which also include “custodial” or custodial and “non-custodial” wallets. The differences between the two types of wallets are as follows:
- Custodial wallets: There are a variety of options and recommended ones, for example, are Strike, Blue Wallet, and Wallet of Satoshi. These wallets tend to be good for beginners as they simplify sending and receiving crypto by managing your private keys. For example, when you lose your password, you can reset it again.
- Non-custodial wallets: The options are Muun, Breez, Phoenix, and Zap. This wallet is user-controlled and very popular among more experienced traders. In this wallet, no one except you will have your private key. In addition, if you lose or damage your wallet or forget your password, you could lose access to your funds. That’s why you need to make sure that you’ve learned how to back up or restore whichever wallet you choose.
List of Most Popular Bitcoin Lightning Wallets for This Year
Of the two types of wallets, the following are some of the famous (popular) wallets and are most often recommended. Check out his review below.
a. Blue Wallet
It is a custodial wallet when using the default settings, but it is also one of the few wallets that can be set to be completely non-custodial for users who want it. However, by keeping it in default mode, new users can start making payments right away without needing to open a payment channel.
This wallet supports on-chain bitcoin and Lightning Network transactions. Blue Wallet is available for Apple and Android devices and has been downloaded from the Play Store more than 100,000 times.
b. Wallet of Satoshi
The most popular custodial wallet for the Lightning Network Bitcoin that is often recommended is Wallet of Satoshi. This wallet is promoted as “the world’s simplest Lightning Bitcoin Wallet” and can handle bitcoin and lightning transactions with “ease”, even for a beginner who is new to bitcoin.
The wallet of Satoshi is also available for Apple and Android phones and has been downloaded more than 100,000 times on the Google Play Store.
Among the non-custodial wallets that are often recommended, Muun is the most popular. The wallet also manages to demonstrate its well-known strength—in the eyes of many—namely its fee estimator, which the company claims is more efficient than other wallets because it ensures users don’t have to overpay for their on-chain transactions.
This wallet also does not automatically transfer on-chain bitcoin transfers to the lightning channel. Instead, it is set up so that users have access to their bitcoins, both on the main blockchain and on the Lightning Network, through a third-party service that must be trusted to deposit and withdraw BTC from Lightning.
Muun is also available for Apple and Android phones and already has over 50,000 downloads on the Google Play Store.
This is a non-custodial lightning wallet that requires no setup. Thus, it will make it easier for beginners to get started. This wallet also allows users to back it up by providing their email addresses.
In April 2021, Phoenix introduced a 1% fee for channel creation (3,000 sat minimum), which some users complained was too high. Like other wallets, Phoenix is also available for Apple and Android phones and is now listed on the Google Play Store with over 10,000 downloads.
Next on the list of the most popular lightning wallets is Breez. What’s unique about this wallet is that it has a selection of apps that allow payments with Lightning integrated into it, among them things like Bitrefill, which allows anyone to buy gift cards with Lightning, and LN.PIZZA, an app that lets users pay for Domino’s Pizza via Lightning.
For automated channel creation, breez charges 0.4%, with a minimum fee of 2,000 sat. Currently, Breez is also available on Android and Apple phones and has more than 10,000 downloads on the Google Play Store.