Boltz: Bitcoins Lightning network is user-friendly

the The Lightning Network needs to be larger. So that as many people as possible, it must be the network more workable. Boltz wants to help. The simple exchange Tool provides the so far, the simplest Transfer of BTC to the Lightning Network, and preserves at the same time for the end-user, the Credo of BYOB – Be your own bank.

Max Halder
8. April 2019BTC$5.164,86 0.51%Facebook Twitter LinkedIn xing mail

On the long road to a everyday dealing with Bitcoin a term is always in the focus: the scaling. The purpose of this continuing dialogue is a nearly fee-free and instant Payment option. The most advanced solution for the Lightning Network. As the second layer is applied, payments are recorded on the Bitcoin Blockchain (on-chain), but will remain for some time in the Lightning Network (off-chain). So can be summarized to thousands or millions of transactions a single On-Chain transaction. Within the Lightning Networks, there are again some problems to solve, such as, for example, this here: How to get the desired amount of the Blockchain (on-chain) in the Lightning Network (off-chain), and Vice versa? For this purpose, Boltz promises after months of development, a viable end user to be a solution.

problem

The Problem, which has taken the Team behind Boltz into the visor, so. So far, the Lightning Network is suitable only bad for irregular transactions, which is due to several weaknesses. You want to send BTC from A to C without a payment channel C is set up, you can use the payment channel to B, which in turn has a connection to C. Where A, B and C, respectively, so-called Nodes (= nodes) are in the Lightning Network. Now in this case must be both in the payment channel as well as in the payment channel BC is already a BTC. One speaks in the Lightning Network, in this case, a payment route. Are not enough BTC in the Lightning Network, many of these payment routes are not practicable. It follows automatically, that Lightning works the better, the more BTC are fed in the network. The second important size is the are accordingly, node, and payment channels.

At this point, Boltz turns on now. As a catalyst to contribute to the Boltz intended "to reach the point at which the [above briefly outlined] network effect is noticeable," - said in a post on the publisher platform medium.com. Think of the concept of critical mass. From a certain "mass" of nodes and BTC in the Lightning Network, the Software finds a route with a high probability of a workable Payment. In the case without the user having to set up new payment channels or more BTC into the network feed.

The interested trader has only limited opportunities to have enough liquidity in the Lightning Network, either to ask the other a question of a channel with the own node, or you use a Service such as Loop or Boltz. Boltz allows the Swapping [= Exchange] of the [in the Lightning Network] required amount without the need of a third party trust, or to have to invest time in order to allow the capacity in a natural way grow.

What's behind the Scenes

happens On the programming level, Boltz is based on the so-called Submarine Swaps, a Form of Atomic Swaps, the cryptographers Alex Bosworth has been developed.

The Submarine Swaps are, in turn, Hashed Time Locked Contracts (HTLC), which ensure that an amount x of a valid On-a-Chain-address arrives at the address in the Lightning Network. An address in the Lightning Network is called Invoice and includes more information than a traditional Bitcoin address. To name three differences: The Invoices have an expiration date, a traditional Bitcoin address (in case of Bugs, the amount will be sent back) and a payment inscribed route. Viewed from the outside, this technique provides for a Trustee-free exchange from one address to another. In the end, saves you a control instance at the same time maintaining safety. In short: The exchange is cheaper.

Outlook

now online, the previous test version, will be investigated in the course of the next months together with the Community for vulnerabilities. The operation of Boltz is kept simple. The User need not, as in the case of Loop, in the Command Line to know about. You do not need to log in. The exchange is done in real-time. In addition, the exchange in both directions, for both BTC and LTC will be functioning equally. The potential risks will be pointed out in the case of use of the service. In addition, on ways to in the event of Bugs, the appropriate funds back. In addition to the elimination of potential weak points, the Boltz Team no longer wants to work mainly due to the fact that their Users are from the Boltz-node point. Rather, you should be able to your own node in the network as a starting point.

The Team behind Boltz is happy about so much Feedback as possible – just the Discord-join channel and feedback where there are problems.

You're a Blockchain or crypto-Investor? : The digital crypto-compass is the first market letter for digital currencies, and provides you with monthly exclusive assessments and comprehensive analysis of the current situation on the Blockchain and crypto-markets. the for free Now