Bitcoin can be transferred using either the main Bitcoin blockchain, known as an on-chain transaction, or through the Lightning Network.
1Bitcoin.ca supports both methods. The best option depends on the type of transaction you are making and the wallet you are using.
⛓️ What Is On-Chain Bitcoin?
On-chain transactions are standard Bitcoin transactions recorded directly on the Bitcoin blockchain.
They are commonly used for larger transfers, long-term storage, and moving Bitcoin into self-custody wallets.
On-chain transactions require blockchain confirmations and include Bitcoin network fees. During busy periods, confirmations may take longer.
Related article:
⚡ What Is the Lightning Network?
The Lightning Network is a payment layer built on top of Bitcoin that is designed for faster, lower-cost transactions.
Lightning is commonly used for smaller payments and situations where faster settlement is preferred.
Unlike on-chain transactions, Lightning payments generally do not wait for traditional blockchain confirmations before completing.
⚖️ What’s the Difference?
The easiest way to think about it is:
On-chain Bitcoin is recorded directly on the blockchain and is commonly used for larger transfers and long-term storage.
Lightning is designed for faster Bitcoin payments with typically lower fees.
Both ultimately use Bitcoin, but they work differently behind the scenes.
🟠 Does 1Bitcoin.ca Support Both?
Yes. 1Bitcoin.ca supports both:
on-chain Bitcoin transactions
Lightning Network transactions
When sending or receiving Bitcoin, make sure you select the method supported by your wallet and follow the instructions shown in your 1Bitcoin.ca account.
Do not send an on-chain transaction to a Lightning invoice, or a Lightning payment to an on-chain Bitcoin address.
👛 Which One Should I Use?
If you are moving Bitcoin into a hardware wallet or long-term self-custody wallet, on-chain Bitcoin is often the more common option.
If your wallet supports Lightning and you want a faster payment for a smaller amount, Lightning may be more convenient.
The right choice depends on your wallet, transaction size, and how you plan to use the Bitcoin.
⚠️ Important Reminder
Always confirm whether you are using:
Bitcoin on-chain
or
Lightning
before sending funds.
Using the wrong transaction type may cause delays or failed transfers.
If you are unsure which method your wallet supports, check the wallet instructions or contact support before sending.