15
votes
Accepted
"HTLCs don't work for micropayments"?
It takes about 200 vbytes to spend from a Lightning Network (LN) Hashed
Time-Locked Contract (HTLC) output used for routing a payment. At the default
minimum feerate of 10 nBTC/vbyte, that makes it ...
- 12.1k
8
votes
"HTLCs don't work for micropayments"?
A very low value output in Bitcoin (or any similar system) has zero actual value because the cost in fees to spend it would be equal to or greater than the coins it provides. Like someone writing you ...
- 7,727
6
votes
Accepted
How to cheaply melt many micro UTXOs?
There's no free lunch. You can spend all the UTXOs in one transaction to spread the output bytes across many inputs, but each input still needs a certain number of bytes. To my knowledge, there isn'...
- 23.1k
5
votes
Accepted
Will lightning network efficiently support a single payment of 25 cents?
First off, yes, the lightning network will not require 1000 on-chain transactions added to the blockchain. The lightning network aggregates off-chain transactions into single on-chain settlements.
...
- 8,822
4
votes
BlockCypher MicroTX transaction fee?
The Microtransaction API documentation it describes a BlockCypher MicroTX as a normal transaction. BlockCypher just checks that the transaction has reached 98% on their confidence-factor and is ...
- 1,440
4
votes
How the disposable private keys are being shared in Lightning Network?
So the question is if it would be unfair to Alice if:
Bob wouldn't reveal his secret information and
Bob broadcasts the previous commitment transaction
Now, the only case in which Bob would ...
4
votes
Can the Lightning Network work and live independently from Bitcoin?
No, not without any transactions. The Lightning Network is based on so called channels between 2 users.
The creation of this channel has to be broadcasted to the blockchain (and another transaction ...
- 141
4
votes
Accepted
Payment channels with dynamic signatures
It's possible for Alice and Bob to agree among themselves to pay Carol and any number of other recipients (subject to limits on transaction size). However, it's not possible for Carol and other ...
- 12.1k
4
votes
"HTLCs don't work for micropayments"?
An htlc is a small output in the commitment transaction. As with any output it needs to be bigger than the dust limit. In particular if the amount is smaller than the expected on chain transaction ...
- 11.9k
3
votes
Will lightning network efficiently support a single payment of 25 cents?
The lightning network could potentially allow you to do this.
It would not help if each (or many) of your 1000 customers wanted to open a payment channel with you to pay for an emoji. This would ...
- 71.5k
3
votes
Accepted
Clarification about lightning network
When I set up a lightning channel with a node, have I need to put some bitcoins in it?
Generally, yes. The person who initiates the channel creation process (i.e. the person that says "I want to open ...
- 71.5k
3
votes
Accepted
"state channel" v.s "micro-payment channel" : are they the same?
Payment channels are a specific form of state channels used for forwarding payments (as in the Lightning network). State channels are a more abstract idea: In theory you could use the ideas of ...
- 867
3
votes
Accepted
Same entity controlling separated parts of a a lightning path
The preimage R is the same throughout the entire route, so Bob/Dave would know what R is (from lnd Overview).
However if Bob were to broadcast his commitment transaction for the Bob -> Carol ...
- 71.5k
3
votes
What cryptocurrency is most suitable to send small amounts?
Other chains might be off topic here, but Bitcoin offers you at least two options. You can choose one from three, the first two are Bitcoin:
Enhance your calm. Using minimum fees it'll take longer, ...
- 862
2
votes
Accepted
Does Bitcoin's high price make payments in stores less viable?
Bitcoin for Point-of-Sale
Bitcoin is inherently ill-suited as a form of instant payment. This is due to transactions needing confirmations before they become reliable which even at best times can ...
- 77k
2
votes
Accepted
On the feasibility of fees
1) Bitcoin is a gossip network in which each (full) participant checks all activity of all other (full) participants. Such systems scale notoriously badly as the cost for each network event scales ...
- 77k
2
votes
Accepted
Is it possible to connect to BTCPay server remote c-lightning node?
Port 9735 is the lightning port. What BTCPay wants is the API.
C-Lightning does not support TCP natively, but one can use socat as I did in the docker entrypoint to bridge unix to TCP.
- 799
2
votes
How to cheaply melt many micro UTXOs?
Depending on your time-restraints, you either have to pay the market's current fee rate, or wait until the block space demand is low enough to include your transaction at a much lower fee rate. Nate ...
- 77k
2
votes
Other than relying on "side-chains", is there any way that Bitcoin could solve "micro transactions"?
The main challenge is that any transaction that is transacted on the main chain will have to be stored on the blockchain in perpetuity, and processed by all full validating Bitcoin nodes. To my ...
- 2,068
2
votes
What cryptocurrency is most suitable to send small amounts?
With lightning you can send 1 sat (or even less) and there is almost no fee.
- 407
1
vote
Why do multihop LN payments start settling from the recipient's end?
In HTLC, after all the parties have locked their funds in the contract, claiming payment happens in a reverse way, starting with the receiver who reveals the preimage of the corresponding payment hash....
- 8,911
1
vote
Why do multihop LN payments start settling from the recipient's end?
I think you have answered your question yourself. If all nodes would behave honestly and in good faith your process would work. But in that case we would not need to go through the hustle of setting ...
- 11.9k
1
vote
Accepting micropayment donations via Lightning Network - what is the most efficient / recommended architecture?
I was able to signup and accept Lightning payment in 2 minutes: https://www.opennode.co/
OpenNode is the easiest way to accept bitcoin.
It was easy. Looking no further. And they offer API: https://...
- 349
1
vote
Required conditions to be selected as intermediary node (Payment Service Provider) in Lightning Network?
Note that this video is made by shitcoin paddlers trying to spread FUD. If I remember correctly the further episodes are much much worse.
"There's no way to add more beads or take off a portion of ...
- 6,344
1
vote
Accepted
Sweeping funds from addresses generated by Extended Private Key (BIP39)
I know Bitcoin has this concept of "sweeping" funds. Does that still involve incurring a flat fee for every address generated by the master private key?
No, sweeping an address involves inputting a ...
- 18.3k
1
vote
Payment channels with dynamic signatures
The main problem I see with this is increased complexity, and possible collusion between 2 of the 3 parties. If Carol is now required to sign updates, what does Alice do if Carol is unresponsive? ...
- 8,822
1
vote
I want to change 0.25 dollar cents in bitcoin for my digital content, is it too little?
Bitcoin transaction fees vary with supply and demand. You can see a current snapshot at https://bitcoinfees.21.co/. Right now a typical fee for a transaction is around BTC 0.0006. As you can see, ...
- 23.1k
1
vote
I want to change 0.25 dollar cents in bitcoin for my digital content, is it too little?
currently that's not feasible with bitcoin due to its price. The alternative is to use another coin with a lower price to make it truly a "micro-transaction" with sub-penny fees. But the problem with ...
- 11.1k
1
vote
Accepted
0 fee transactions - possible that they never confirm?
Yes. It is possible that a transaction is never confirmed, even if it does pay a fee. Transactions that pay more fee take precedence, and after a while your old unconfirmed transaction will drop out ...
- 294
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