This is the fifth post in our “Lightning 101 for Exchanges” blog series. In this blog post we are going to talk about how the various Lightning implementations handle their revoked commitment transactions and the backup features they offer to protect user’s funds.
Our last security blog post talked about commitment transactions and their previous states. In summary, it is imperative that you know what the latest state is on a commitment transaction. …
This is the seventh installment in our Lightning 101 series. To see previous installments click any of the links below
The Lightning network has a different security model than a traditional blockchain. In this blog post we are going to explain how the Lightning network is secured.
How is a Lightning Transaction different from a Bitcoin Transaction?
A Lightning transaction is a signed bitcoin transaction with a special smart contract that has not been included into the bitcoin blockchain yet. Normally transactions that have not been included in a blockchain are considered unsecure. …
This is the fifth installment in our Lightning 101 series. To see previous installments click any of the links below
The Lightning Network allows for nodes to charge fees for routing payments. There are some key differences between blockchain fees and Lightning fees.
How do a blockchain’s fees work?
Every time you create a transaction on a blockchain, you need to pay a fee to the blockchain’s miners. This is compensating miners for the work that they are providing to secure the network. …