Before simulating Lightning, the utility needs a underlying blockchain. It launches a local Bitcoin node (usually bitcoind ) in regtest mode.
Use this if you are writing a README, internal wiki, or technical guide.
Are you using for your local development environment? Do you need to test complex routing or just basic payments?
This emulator utility is, in fact, a Rust library crate named lnd (versions 0.1.0 and 0.1.6). It's designed for developers to programmatically spin up a brand new, clean LND instance for each individual test, ensuring complete isolation and preventing one test from interfering with another.