Wrong!
Words have meaning and the video's host either does not understand them, because he misuses them, or he does not understand how the lightning network works.
First:
He said that the lightning network allows for parties to settle transactions for free and instantaneously. 100% false.
No transaction is ever settled on the Lightning Network (LN). That is the point. Only the Bitcoin (BTC) blockchain can settle Bitcoin transactions. If this were not the case, then there would not be a need for the BTC blockchain.
He even said that by definition that the LN is off-chain. Think about it. If you could settle BTC transactions for cheaper without the BTC blockchain, then why would anyone ever use the BTC blockchain?
Fact: All BTC transactions are settled only on the BTC blockchain, otherwise, it is not settled. The BTC blockchain is the only authoritative source of BTC settlements. <-- note the period.
A better description, is that the LN is a transaction aggregator. It aggregates multiple LN transactions into a single Bitcoin (BTC) transaction.
A BTC transaction can have many inputs (sources) and outputs (destinations). A wallet can create a transaction with such inputs and outputs. If the wallet is a LN wallet, then that wallet can create such a transaction from the inputs and outputs of many people; not just one person.
Second:
Because you now have many LN transactions, (say 1000), going into a single BTC transaction the cost of the transaction fee can then be divided among the number of LN transactions that are going to be settled in that single BTC transaction.
Because every BTC transaction requires a fee, users will be charged some level of fee, even if it is 1000th of the fee for a single input and output. There is no such thing as a free lunch, boys and girls.
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