docker-compose up -d

then restart lnd container, because btc container now is initialised and lnd now can connect to btc

docker-compose restart lnd

docker exec -i -t lnd bash

$lnd lncli -n=regtest walletbalance

{
    "total_balance": "0",
    "confirmed_balance": "0",
    "unconfirmed_balance": "0"
}

$lnd lncli -n=regtest newaddress np2wkh

{
    "address": "2NC4FMaJmgoXF6EPodAwokdEeMxFnNgerom"
}

In new terminal window

docker exec -i -t btc bash

$btc bitcoin-cli getwalletinfo

generate 400 blocks

$btc bitcoin-cli generate 400

$btc bitcoin-cli getwalletinfo

$btc bitcoin-cli sendtoaddress 2NC4FMaJmgoXF6EPodAwokdEeMxFnNgerom 1 "My first Bitcoin"

$lnd lncli -n=regtest walletbalance

{
    "total_balance": "100000000",
    "confirmed_balance": "0",
    "unconfirmed_balance": "100000000"
}

$btc bitcoin-cli generate 1

$lnd lncli -n=regtest walletbalance

{
    "total_balance": "100000000",
    "confirmed_balance": "100000000",
    "unconfirmed_balance": "0"
}

So we have a bitcoin in our LN wallet, lets open some channels.. Or first create two more lnd nodes - Alice and Bob

docker-compose -f docker-compose.yaml -f docker-compose-alice.yaml run -d --name alice -p 10010:10009 -p 9010:9735 lnd
docker-compose -f docker-compose.yaml -f docker-compose-bob.yaml run -d --name bob -p 10011:10009 -p 9011:9735 lnd

New terminal

docker exec -i -t alice bash

$bob lncli -n=regtest walletbalance

$bob lncli -n=regtest newaddress np2wkh

copy bobs Alices address

$btc bitcoin-cli sendtoaddress ALICE_ADDRESS 1 "Alices first Bitcoin"

$btc bitcoin-cli generate 1

$bob lncli -n=regtest walletbalance

Now Bob have 1 bitcoin ;)

New terminal

docker exec -i -t bob bash

$bob lncli -n=regtest walletbalance

$bob lncli -n=regtest newaddress np2wkh

copy Bobs btc address

$btc bitcoin-cli sendtoaddress BOBS_ADDRESS 1 "Bobs first Bitcoin"

$btc bitcoin-cli generate 1

$bob lncli -n=regtest walletbalance

Now Alice have 1 bitcoin ;)

Find replace all regtest -> testnet in docker-compose and lnd.conf, bitcoin.conf files

Docker setup to create bictoind and LND containers work together, to create Lightning network.

• Edit bitcoind/bitcoin.conf and lnd/lnd.conf with your settings and just docker-compose up -d should work

• If you'd like to stop just one of the services (btc or lnd containers), use docker-compose stop lnd and then use the command docker-compose up -d --build lnd to start it again

• If you've made changes to any of the files and need to rebuild just one of the containers, use docker-compose up -d --build lnd

After containers are started for the first time, let btc sync with blockchain (that may take a while ~27GB for testnet). After that you need:

• create lightning wallet with command docker-compose exec lnd lncli -n=testnet create

• Unlock walet use command docker-compose exec lnd lncli -n=testnet unlock