What is the difference between Lightning, Spark and Bitcoin on-chain?

Bitnomi supports three ways to send and receive Bitcoin: Lightning, Spark, and Bitcoin on-chain.

They all move Bitcoin, but they differ in speed, fees, receiving details, and the Bitnomi wallet they use.

Quick comparison

Actual speed and fees may vary.

What is Lightning best for?

Lightning is a good choice when you want to:

• Send or receive Bitcoin quickly

• Make smaller or frequent payments

• Pay using a Lightning invoice

• Avoid waiting for on-chain confirmation

Lightning payments use BTC Pay.

What is Spark best for?

Spark is useful when you want to:

• Send Bitcoin quickly

• Receive Bitcoin using a Spark address

• Transfer Bitcoin between wallets that support Spark

• Use a network that currently charges no network fee

Spark payments also use BTC Pay.

The Spark fee may change in the future, so review the transaction details before confirming.

What is Bitcoin on-chain best for?

Bitcoin on-chain is a good choice when you want to:

• Send Bitcoin to a standard Bitcoin address

• Receive Bitcoin from a wallet or exchange

• Make a larger or less frequent transfer

• Hold Bitcoin in BTC Vault

• Have the transaction recorded directly on the Bitcoin blockchain

On-chain payments use BTC Vault.

Why do the fees differ?

Each network processes payments differently.

• Lightning fees are usually low and may depend on the route used for the payment.

• Spark currently has no network fee, but this may change.

• On-chain fees change with Bitcoin network activity, transaction size, and the selected fee rate.

On-chain fees are usually higher when many transactions are waiting to be confirmed.

Why do the transaction times differ?

• Lightning and Spark are designed for fast transfers and are usually completed within seconds.

• Bitcoin on-chain requires confirmation on the Bitcoin blockchain, so it may take around 10 minutes or longer.

A busy network or lower on-chain fee may increase the waiting time.

Which network should I choose?

Choose Lightning when you need a fast payment and the recipient gives you a Lightning invoice.

Choose Spark when the recipient gives you a Spark address and their wallet supports Spark.

Choose Bitcoin on-chain when the recipient gives you a standard Bitcoin address or when you are making a larger or less frequent transfer.

What should I check before sending?

Before confirming a transaction, check:

• The network selected in Bitnomi

• The receiving address or invoice

• The wallet holding your Bitcoin

• The fee

• The amount

• Whether the recipient supports the selected network

Do not send:

• Lightning payments to a Spark or on-chain address

• Spark payments to a Lightning invoice or on-chain address

• On-chain payments to a Lightning invoice or Spark address

Using the wrong network may cause the payment to fail or result in permanent loss of funds.