Off-chain refers to transactions or data that are stored and processed outside of a blockchain network.
In other words, these transactions are not recorded on the blockchain and are instead stored on separate networks or databases. This method is often used for high-volume or high-frequency transactions to reduce the strain on the blockchain network and improve efficiency.
Off-chain transactions also allow for greater privacy and security since the data is not publicly visible on the blockchain. Additionally, off-chain transactions can be processed much faster than on-chain transactions, as the network does not need to validate each transaction on the blockchain.
Off-chain solutions are widely used in the cryptocurrency world, with many exchanges and payment processors using off-chain transactions to process their transactions.