Bitcoin Layer 1 is like Fedwire. Fedwire is an electronic funds transfer system managed by the Federal Reserve, used to settle large-value transactions between financial institutions in the U.S., such as banks. Unlike Fedwire, which is only available to banks, Bitcoin is available to everyone. Anyone can be their own bank and settle large-value transactions. Thus, Layer 1 will be used for large-value settlements because it offers immense security and decentralization. Meanwhile, layers 2, 3, and 4 will be developed for micro-payments. For example, the Bitcoin Lightning Network is currently very popular worldwide. The Bitcoin Lightning Network can perform hundreds of millions of transactions per second. In San Salvador, where Bitcoin is the official currency, it is widely used for everyday payments. Here you can see what a payment with Bitcoin Lightning looks like in McDonald's restaurants in Salvador.

Payments with Bitcoin Lightning are instant and almost fee-free. There is a website, btcmap.org, where you can see all the locations worldwide—hotels, restaurants, gyms, etc.—that accept Bitcoin Lightning and on-chain payments. On the site spend-sats.com, you can also find some online merchants that accept Lightning payments.