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How Do I Get Started with the Lightning Network?
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How Do I Get Started with the Lightning Network?

Gustavo Flores Echaiz

By Gustavo Flores Echaiz2025-01-27

Looking to sell Bitcoin in Mexico or pay directly to a bank account through Swapido, but don’t have a Lightning Network Wallet yet? This guide is for you.

The Lightning Network is a “layer two” decentralized protocol that enables instant and low-fee Bitcoin transactions—ideal for everyday use. Think of it like Visa or Mastercard, but for Bitcoin payments. If you’d like more background, learn how the Lightning Network works.

In this article, we’ll walk you through getting your Bitcoin ready to spend over the Lightning Network if you currently have Bitcoin on-chain. If you have USDT or another cryptocurrency, see our other blog post for that process.

Here’s the brief outline:

  1. Download a Wallet: Wallet of Satoshi (WOS)
  2. Fund your Lightning Network Wallet
  3. Pay a Bank account in Mexico with Lightning and Swapido

Ready? Let’s dive into each step.

How to Download a Lightning Network Wallet

Using the Lightning Network requires a Lightning-enabled wallet. There are two main types:

  • Custodial wallets: A third-party service manages your private keys (easier to set up but less control).
  • Self-custodial wallets: You control the private keys (more secure, but slightly more complex to use).

Wallet of Satoshi (WOS) – Custodial

We recommend Wallet of Satoshi (WOS) if you’re new to the Lightning Network. It’s beginner-friendly and easy to use.

Setup Steps

  1. Download Wallet of Satoshi on iOS or Android.
  2. Open the app.
  3. Tap “Start” to create your wallet.
  4. (Optional) In order to be able to recover your funds if you lose your device, go to the menu and sign in with your e-mail address to link it to your wallet.

That’s it—your wallet is ready to receive funds.

Alternatives

How to Fund Your Lightning Network Wallet

If you already have Bitcoin on-chain, you can easily move it into your new Lightning wallet. Below, we’ll show how to do it with WOS.

Steps to Fund WOS with On-Chain BTC

  1. Tap “Receive.”
  2. Select the yellow Bitcoin icon at the bottom.
  3. Copy the on-chain address shown in the app.
  4. Send your on-chain Bitcoin to that address.

After two confirmations (usually around 20 minutes, depending on network conditions), your BTC will appear in WOS and be spendable via Lightning.

You’re now ready to use Swapido. Continue to the next step to learn how to pay with Lightning.

How to Reduce Fees When Funding a Lightning Network Wallet

WOS charges about 1% for on-chain-to-Lightning swaps. To save on fees, consider these services:

  • Boltz Exchange: ~0.2% fee + network mining fee, no account required.
  • Bitcoin Well: Zero fee for swaps, but requires a no-KYC account.

These services allow you to send bitcoin to an on-chain address provided by them and receive Bitcoin directly over Lightning on WOS.

Now you’re all set to make Lightning payments using your wallet.

How to Pay a Bank Account in Mexico with Lightning and Swapido

In this section, we’ll show you how to use your newly installed WOS wallet to pay a Lightning Network invoice and send pesos to a bank account in Mexico using Swapido.

If you haven’t set up your Swapido account or completed ID verification, check our other guide for those steps first.

Steps to Pay a Bank Account Using Swapido

  1. Go to app.swapido.com/en and log in.
  2. Enter the amount of pesos you want to pay out.

You can skip steps 3-8 if you already have a recipient saved.

  1. Click “Create New Recipient.”
  2. Enter the recipient’s full legal name (or your own, if sending to your bank account).
  3. Choose between CLABE (bank account number), debit card number, or phone number.
  4. Enter the number associated with the option you chose in the previous step.
  5. (Optional) Add a tag if you want to label this recipient for future reference.
  6. Click “Create Recipient.”
  7. (Optional) Add a memo for the payment; this memo will appear on the recipient’s bank account.
  8. Click “Create Swap.”
  9. Click “Open in wallet” on the new page.
  10. Click “Wallet of Satoshi” on the sliding modal. This will open WOS.
  11. Tap “Confirm” on WOS.

That’s it! You’ve successfully created a Lightning Network wallet, funded it, and paid a bank account in Mexico—using Wallet of Satoshi. Congratulations!