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layout: default
title: Wallet comparison
nav_order: 1
---
[
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# Backend Wallet Comparison Table
LNbits lets you choose **how your wallets are funded** — from fully self-custodial nodes to simple hosted services. You can switch the funding source **without touching your apps, users, or extensions**. That means you can start fast, learn, and later upgrade to more control and privacy when you are ready.
**Why this matters**
- **Flexibility:** Pick the backend that fits your skills and constraints today, change it later with minimal friction.
- **Speed to ship:** Use a hosted option to get live quickly; move to a node when you need more control.
- **Scalability:** Match cost and maintenance to your stage — from hobby to production.
- **Privacy and compliance:** Choose between self-custody and provider-managed options depending on your requirements.
Below is a side-by-side comparison of Lightning funding sources you can use with LNbits.
> [!NOTE]
> “Backend Wallet” and “Funding Source” mean the same thing — the wallet or service that funds your LNbits.
## LNbits Lightning Network Funding Sources Comparison Table
| **Funding Source** | **Custodial Type** | **KYC Required** | **Technical Knowledge Needed** | **Node Hosting Required** | **Privacy Level** | **Liquidity Management** | **Ease of Setup** | **Maintenance Effort** | **Cost Implications** | **Scalability** | **Notes** |
| ------------------------------ | ------------------------ | ------------------- | ------------------------------ | ------------------------- | ----------------- | ------------------------ | ----------------- | ---------------------- | -------------------------------------------- | --------------- | ------------------------------------------------------------------------------------------ |
| **LND (gRPC)** | Self-custodial | ❌ | Higher | ✅ | High | Manual | Moderate | High | Infrastructure cost and channel opening fees | High | gRPC interface for LND; suitable for advanced integrations. |
| **CoreLightning (CLN)** | Self-custodial | ❌ | Higher | ✅ | High | Manual | Moderate | High | Infrastructure cost and channel opening fees | High | Requires setting up and managing your own CLN node. |
| **Phoenixd** | Self-custodial | ❌ | Medium | ❌ | Medium | Automatic | Moderate | Low | Minimal fees | Medium | Mobile wallet backend; suitable for mobile integrations. |
| **Nostr Wallet Connect (NWC)** | Custodial | Depends on provider | Low | ❌ | Variable | Provider-managed | Easy | Low | May incur fees | Medium | Connects via Nostr protocol; depends on provider's policies. |
| **Boltz** | Self-custodial | ❌ | Medium | ❌ | Medium | Provider-managed | Moderate | Moderate | Minimal fees | Medium | Uses submarine swaps; connects to Boltz client. |
| **LND (REST)** | Self-custodial | ❌ | Higher | ✅ | High | Manual | Moderate | High | Infrastructure cost and channel opening fees | High | REST interface for LND; suitable for web integrations. |
| **CoreLightning REST** | Self-custodial | ❌ | Higher | ✅ | High | Manual | Moderate | High | Infrastructure cost and channel opening fees | High | REST interface for CLN; suitable for web integrations. |
| **LNbits (another instance)** | Custodial | Depends on host | Low | ❌ | Variable | Provider-managed | Easy | Low | May incur hosting fees | Medium | Connects to another LNbits instance; depends on host's policies. |
| **Alby** | Custodial | ✅ | Low | ❌ | Low | Provider-managed | Easy | Low | Transaction fees apply | Medium | Browser extension wallet; suitable for web users. |
| **Breez SDK** | Self-custodial | ❌ | Medium | ❌ | High | Automatic | Moderate | Low | Minimal fees | Medium | SDK for integrating Breez wallet functionalities. |
| **OpenNode** | Custodial | ✅ | Low | ❌ | Low | Provider-managed | Easy | Low | Transaction fees apply | Medium | Third-party service; suitable for merchants. |
| **Blink** | Custodial | ✅ | Low | ❌ | Low | Provider-managed | Easy | Low | Transaction fees apply | Medium | Third-party service; focuses on mobile integrations. |
| **ZBD** | Custodial | ✅ | Low | ❌ | Low | Provider-managed | Easy | Low | Transaction fees apply | Medium | Gaming-focused payment platform. |
| **Spark (CLN)** | Self-custodial | ❌ | Higher | ✅ | High | Manual | Moderate | High | Infrastructure cost and channel opening fees | High | Web interface for CLN; requires Spark server setup. |
| **Spark (L2)** | Self-custodial | ❌ | Medium | ❌ | High | Automatic | Easy | Low | Minimal fees | Medium | Runs via Spark sidecar; seed-based self-custody. |
| **Cliche Wallet** | Self-custodial | ❌ | Medium | ❌ | Medium | Manual | Moderate | Moderate | Minimal fees | Medium | Lightweight wallet; suitable for embedded systems. |
| **Strike** | Custodial | ✅ | Low | ❌ | Low | Provider-managed | Easy | Low | Transaction fees apply | Medium | Third-party service; suitable for quick setups. |
| **LNPay** | Custodial | ✅ | Low | ❌ | Low | Provider-managed | Easy | Low | Transaction fees apply | Medium | Third-party service; suitable for quick setups. |
| **Eclair (ACINQ)** | Self-custodial | ❌ | Higher | ✅ | High | Manual | Moderate | High | Infrastructure cost and channel opening fees | High | Connects via API; you run and manage your Eclair node. |
| **LN.tips** | Custodial/Self-Custodial | Depends on provider | Medium | ❌ | Low | Provider-managed | Moderate | Low | Transaction fees may apply | Medium | Simple hosted service; use LN.tips API as your backend. |
| **Fake Wallet** | Testing (simulated) | ❌ | Low | ❌ | N/A | N/A | Easy | Low | None (test only) | N/A | For testing only; mints accounting units in LNbits (no real sats, unit name configurable). |
## Spark (L2)
Spark L2 uses a local Node.js sidecar to expose an HTTP API that LNbits can use as a funding source. It is self-custodial and secured by a standard mnemonic seed. Sidecar repo `https://github.com/lnbits/spark_sidecar`.
### Notes for readers
- These are typical characteristics; your exact experience may vary by configuration and provider policy.
- Pick based on your constraints: compliance (KYC), privacy, ops effort, and time-to-ship.
---
## Additional Guides
- **[Admin UI](./admin_ui.md)** — Manage server settings via a clean UI (avoid editing `.env` by hand).
- **[User Roles](./User_Roles.md)** — Quick Overview of existing Roles in LNBits.
- **[Funding sources](./funding-sources_table.md)** — What’s available and how to enable/configure each.
## Powered by LNbits
LNbits empowers everyone with modular, open-source tools for building Bitcoin-based systems — fast, free, and extendable.
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