How To Send & Receive Bitcoin on Lightning Network

A Step-by-Step Guide for Bitcoin Diploma Course Students

✨ Why Wallet of Satoshi?

  • World's simplest Lightning wallet - No complex setup required
  • Instant Lightning payments - No waiting for channel opens
  • Free Lightning transactions - No fees for Lightning payments
  • Perfect for beginners - Start practicing immediately

ℹ️ Good to Know

Wallet of Satoshi is a custodial wallet, which means the company holds your keys (like a bank holds your money). This makes it super simple to use, but for learning purposes only - use small amounts. Once you're comfortable with Lightning, you can explore self-custodial options.

Prerequisites

  • Smartphone (iOS or Android)
  • Wallet of Satoshi app installed (download from walletofsatoshi.com)
  • Active internet connection
  • Optional: Email address for account backup

Setting Up Wallet of Satoshi

Step 1: Download and Install

  1. Visit walletofsatoshi.com
  2. Download the app for iOS (App Store) or Android (Google Play)
  3. Install and open the app
  4. That's it! No registration required to start

Step 2: Optional Email Backup (Recommended)

  1. Tap the Settings icon (⚙️) in the top right
  2. Select "Account" or "Backup"
  3. Enter your email address
  4. Check your email for a 2-word confirmation code
  5. Enter the code in the app
  6. Your wallet is now backed up - you can restore it on a new device!

Step 3: Find Your Lightning Address

  1. Tap "Receive" at the bottom of the screen
  2. Your Lightning address is displayed under the QR code
  3. It looks like: [email protected]
  4. You can share this address with anyone to receive sats!

💡 Tip: Your Lightning address is reusable and permanent. Save it somewhere safe!

Method 1: Using Stacker.news (Recommended - Earn Free Sats!)

🎯 Why Stacker.news is Best for Learning

  • Perfect for Wallet of Satoshi - Works seamlessly with Lightning
  • Earn real sats for free - Post quality content and get zapped by the community
  • Easy to start - Only costs 1-3 sats to create an account
  • Daily rewards pool - Earn extra sats from Stacker News distribution
  • Active Bitcoin community - Learn while you practice

Step 1: Create Your Stacker.news Account

  1. Go to stacker.news in your web browser
  2. Click "Login" in the top right corner
  3. Select "Lightning" as your login method
  4. Stacker.news will generate a Lightning invoice for 1-3 sats
  5. Open Wallet of Satoshi and tap "Send"
  6. Scan the invoice QR code from Stacker.news
  7. Confirm and pay - this is your first Lightning transaction!
  8. You're now logged in to Stacker.news!

Step 2: Connect Your Wallet of Satoshi

  1. In Stacker.news, click your username (top right)
  2. Go to "Wallet"
  3. Click "Attach" next to Lightning Address
  4. In Wallet of Satoshi: Tap "Receive"
  5. Copy your Lightning address (shown under the QR code)
  6. Paste it into Stacker.news and save

Step 3: Earn Your First Sats

  1. Browse posts on Stacker.news (~bitcoin, ~lightning territories are great starts)
  2. Write a thoughtful comment or post interesting content
  3. Other users can "zap" (tip) your content with Lightning
  4. Earn sats for quality contributions to the community
  5. Post daily to participate in the daily rewards pool
  6. Even small contributions can earn you enough sats to practice with!

Step 4: Withdraw to Wallet of Satoshi

  1. Once you've earned some sats, go to your Wallet page on Stacker.news
  2. Click "Withdraw"
  3. Enter the amount you want to withdraw (start small, like 100 sats)
  4. Paste your Wallet of Satoshi Lightning address
  5. Confirm the withdrawal
  6. Check Wallet of Satoshi - your sats should arrive within seconds!

Method 2: Practice Sending Within Your Cohort (Alternative)

Once you have some sats in your Wallet of Satoshi (from Stacker.news or other sources), you can practice peer-to-peer Lightning transactions with your classmates.

Step 1: Share Your Lightning Address

  1. Open Wallet of Satoshi
  2. Tap "Receive" at the bottom
  3. Your Lightning address is shown under the QR code
  4. It looks like: [email protected]
  5. Share this address with your classmates via message, email, or show the QR code

Step 2: Send Sats to a Classmate

  1. In Wallet of Satoshi, tap "Send"
  2. Either:
    • Scan your classmate's QR code, OR
    • Tap the keyboard icon and paste their Lightning address
  3. Enter amount (start with 10-50 sats for practice)
  4. Optional: Add a note/message
  5. Tap "Send" to confirm
  6. Transaction completes instantly! No fees on Lightning

Step 3: Receive Sats from a Classmate

  1. In Wallet of Satoshi, tap "Receive"
  2. Choose one of these options:
    • Show your Lightning address QR code (for any amount), OR
    • Tap the pencil icon to create an invoice for a specific amount
  3. Let your classmate scan your QR code
  4. Watch the payment arrive instantly!
  5. Wallet of Satoshi will show a notification and update your balance immediately

Practice Exercises for Your Cohort

Exercise 1: Round Robin Sending

  • Divide class into groups of 5-6
  • Each person sends 20 sats to the next person in the circle
  • Last person sends to the first
  • Discuss what you notice about speed and fees

Exercise 2: Split a Bill

  • Form pairs
  • One person "pays" for an imaginary coffee (100 sats)
  • Other person sends 50 sats back as their share
  • Practice requesting specific amounts

Exercise 3: Lightning Address Practice

  • Exchange Lightning addresses with 3 classmates
  • Send each person a different amount (10, 25, 50 sats)
  • Verify everyone received the correct amounts

Troubleshooting Common Issues

⚠️ "Insufficient Balance"

  • You don't have enough sats to send
  • Earn sats on Stacker.news or receive from a classmate/instructor first
  • Wallet of Satoshi works instantly - no channel setup needed!

❌ "Payment Failed"

  • Check your internet connection
  • Try generating a new invoice
  • Ensure the amount isn't too small (minimum usually 1 sat)

⏰ "Invoice Expired"

  • Lightning invoices typically expire after a short time
  • Generate a fresh invoice in Wallet of Satoshi and try again

🔑 "Lost Access to Wallet"

  • If you backed up with email, you can restore on any device
  • Open Wallet of Satoshi and use your email + 2-word code
  • If you didn't backup with email, the sats cannot be recovered
  • Always backup with email for important amounts!

Best Practices

✅ DO:

  • Start with small amounts for practice (100-1000 sats)
  • Backup your wallet with email immediately
  • Double-check Lightning addresses before sending
  • Save your classmates' Lightning addresses for easy practice
  • Practice regularly to build confidence

❌ DON'T:

  • Store large amounts in a custodial wallet (use for learning only)
  • Share your email backup code with anyone
  • Send to addresses you don't trust
  • Forget to backup with email - you'll lose access if you lose your phone
  • Worry if a transaction takes a second - Lightning is nearly instant!

Key Takeaways

1

Lightning is FAST - Transactions settle in seconds

2

Lightning is CHEAP - Fees are typically less than 1 sat

3

Lightning addresses are reusable - Unlike on-chain addresses

4

Practice makes perfect - The more you use it, the more comfortable you'll become

5

It's real Bitcoin - Just on a second layer for speed and efficiency

Next Steps

After completing these exercises, you'll be ready to:

  • Send and receive Lightning payments confidently
  • Use Lightning for real-world purchases
  • Understand the difference between on-chain and Lightning
  • Teach others about Lightning Network