XSN Lightning Swaps (Testnet) Guide

Hello and welcome to a Stakenet Tutorial Guide.

In this guide, we will explain how to conduct your first Lightning Swap on the XSN and Litecoin (LTC) Testnet. I have tried to make this guide as simple as possible and will mainly consist of copy and pasting commands, however; we would advise that you have some working knowledge of using an Ubuntu VPS such as setting up a Masternode or TPoS server.

We will be implementing a one-click solution within our upcoming wallet so the average user is able to use it without the below steps as it will be implemented and automated by the wallet.

If you are a little tech savvy and want to help with the testing of this technology then please proceed and let us know any issues or bugs you come across.

Requirements for testing the Lightning Swap:

First things first, to be able to run the test, you will require the following:

• A new VPS that has a 40GB SSD, 2GB RAM, and 1 CPU. You will only use this server is only temporary, so I recommend one that you pay for by the hour.

Getting Started — Preparing your VPS

First step is to log into your VPS and do the following:

Step 1) Add a new user which you will use to login — Change “username” to the desired name but only use lowercase:

adduser username

Step 2) Next you want to make your new user a super user. Input the following command and replace username with the one you created in the previous step:

usermod -aG sudo username

Step 3) Next you want to get updates and apply them to your server:

apt update && apt full-upgrade -y

Step 4) Once your server has finished applying the above updates, you will now need to reboot your server with the following:

reboot now

Logging in as your Superuser

Once your server has rebooted, you now need to login as the superuser you created earlier.

Step 1) We now need to apply the following — as you are logged in as a superuser, the below will ask you to confirm your password to complete the command:

sudo apt install ufw python virtualenv git unzip pv golang-go

Installing the Testnet Wallets — Litecoin

We are first going to install the Litecoin wallet and put it into Testnet mode.

Step 1) Please copy and paste each command separately:

mkdir ~/.litecoin/
wget https://download.litecoin.org/litecoin-0.16.3/linux/litecoin-0.16.3-x86_64-linux-gnu.tar.gz
tar xfvz litecoin-0.16.3-x86_64-linux-gnu.tar.gz
cp litecoin-0.16.3/bin/litecoind ~/.litecoin/
cp litecoin-0.16.3/bin/litecoin-cli ~/.litecoin/

Step 2) Now we need to edit the Litecoin.conf:

nano ~/.litecoin/litecoin.conf

Step 3) Add the following lines and edit the information in bold — please make note of your rpc user & password as you will need them later:

#=========
rpcallowip=127.0.0.1
rpcuser=RANDOMNAME
rpcpassword=RANDOMPASSWORD
#=========
zmqpubrawblock=tcp://127.0.0.1:28332
zmqpubrawtx=tcp://127.0.0.1:28333
#=========
testnet=1 
listen=1
daemon=1
server=1
#=========

Step 4) To save the above file, you will need to go CTRL+X, then “Y” followed by ENTER.

Step 5) To start the Litecoin wallet so it can commence sync’ing to the Testnet, input the following command:

~/.litecoin/litecoind

Step 5) You can check it is sync’ing with the following:

~/.litecoin/litecoin-cli getblockchaininfo

Installing the Testnet Wallets — XSN

We are now going to install the XSN wallet and put it into Testnet mode.

Step 1) Please copy and paste each command separately:

mkdir ~/.xsncore/
wget https://github.com/X9Developers/lnd/raw/master/wallets/xsn-1.0.16-x86_64-linux-gnu.tar.gz
tar xfvz xsn-1.0.16-x86_64-linux-gnu.tar.gz
cp xsn-1.0.16/bin/xsnd ~/.xsncore/
cp xsn-1.0.16/bin/xsn-cli ~/.xsncore/

Step 2) Now we need to edit the xsn.conf:

nano ~/.xsncore/xsn.conf

Step 3) Add the following lines and edit the information in bold — please make note of your rpc user & password as you will need them later:

#=========
rpcallowip=127.0.0.1
rpcuser=RANDOMNAME
rpcpassword=RANDOMPASSWORD
#=========
zmqpubrawblock=tcp://127.0.0.1:28444
zmqpubrawtx=tcp://127.0.0.1:28445
#=========
listen=1
server=1
daemon=1
testnet=1
#=========

Step 4) To save the above file, you will need to go CTRL+X, then “Y” followed by ENTER.

Step 5) To start the XSN wallet so it can commence sync’ing to the Testnet, input the following command:

~/.xsncore/xsnd

Step 5) You can check it is sync’ing with the following:

~/.xsncore/xsn-cli getblockchaininfo

Step 6) Add nodes to ensure the XSN Wallet syncs to the Testnet — copy and paste each line:

~/.xsncore/xsn-cli addnode 107.21.133.151 onetry
~/.xsncore/xsn-cli addnode ec2–34–228–111–185.compute-1.amazonaws.com onetry
~/.xsncore/xsn-cli addnode ec2–54–158–4–115.compute-1.amazonaws.com onetry
~/.xsncore/xsn-cli addnode 34.228.111.185 onetry

Step 7) Wait for both the Litecoin and XSN wallets to sync to the chain, this will take around 15 to 30 minutes.

Adding Go Paths for the VPS.

We now need to add some paths.

Step 1) Copy and paste the following:

nano ~/.bashrc

Step 2) Add the following lines to the end of the bashrc — use the downward arrow on your keyboard to navigate down very bottom:

#=========
# add Go paths
export GOPATH=$HOME/go
export PATH=/usr/local/go/bin:$GOPATH/bin:$PATH
#=========

It will look like this:

Step 3) To save the above file, you will need to go CTRL+X, then “Y” followed by ENTER.

Step 4) Copy and paste the following:

source ~/.bashrc

Clone swap-resolver git

We now need to get the tools to prepare for the Lightning swap.

Step 1) Copy and paste the following (It is one full line of text so copy it all):

git clone https://github.com/X9Developers/swap-resolver.git $GOPATH/src/github.com/ExchangeUnion/swap-resolver

Step 2) Copy and paste each of the following lines individually:

mkdir ~/lnd/
cd ~/lnd/
wget https://github.com/X9Developers/swap-resolver/releases/download/v1.0.0/lncli
wget https://github.com/X9Developers/swap-resolver/releases/download/v1.0.0/lnd
wget https://github.com/X9Developers/swap-resolver/releases/download/v1.0.0/lnd_xsn
cd
sudo chmod 777 ~/lnd/ln*

Editing the start.bash files — Number 1

This section is a bit manual and I will break it up into four parts for each start.bash however; doing this is very necessary.

Step 1) Copy and paste the following (It is one full line of text so copy it all) and we need to edit the first start.bash for Litecoin:

nano ~/go/src/github.com/ExchangeUnion/swap-resolver/exchange-a/lnd/ltc/start.bash

Step 2) We need to edit the first start.bash for Litecoin, the first one is how it currently looks, and the second shows what you need to edit:

The original will be a long line of text like the below:

lnd --noseedbackup --rpclisten=localhost:10001 --listen=localhost:10011 --restlisten=8001 --datadir=data --logdir=logs --nobootstrap --no-macaroons --litecoin.active --litecoin.testnet --litecoin.node=litecoind --litecoind.rpcuser=xu --litecoind.rpcpass=xu --debuglevel=debug --litecoind.zmqpubrawblock=tcp://127.0.0.1:28332 --litecoind.zmqpubrawtx=tcp://127.0.0.1:28333 --alias="Exchange A LTC on 10001/10011"

You will need to modify the information in bold:

~/lnd/lnd --noseedbackup --rpclisten=localhost:10001 --listen=localhost:10011 --restlisten=8001 --datadir=data --logdir=logs --nobootstrap --no-macaroons --litecoin.active --litecoin.testnet --litecoin.node=litecoind --litecoind.rpcuser=HERE --litecoind.rpcpass=HERE--debuglevel=debug --litecoind.zmqpubrawblock=tcp://127.0.0.1:28332 --litecoind.zmqpubrawtx=tcp://127.0.0.1:28333 --alias="Exchange A LTC on 10001/10011"

Input the rpcuser name and password that you inputted into the litecoin.conf earlier.

Editing the start.bash files — Number 2

Step 1) Copy and paste the following (It is one full line of text so copy it all) and we need to edit the first start.bash for XSN:

nano ~/go/src/github.com/ExchangeUnion/swap-resolver/exchange-a/lnd/xsn/start.bash

Step 2) We need to edit the first start.bash for XSN, the first one is how it currently looks, and the second shows what you need to edit:

The original will be a long line of text like the below:

lnd --noseedbackup --rpclisten=localhost:10003 --listen=localhost:10013 --restlisten=8003 --datadir=data --logdir=logs --nobootstrap --no-macaroons --xsncoin.active --xsncoin.testnet --xsncoin.node=xsnd --xsnd.rpcuser=xu --xsnd.rpcpass=xu --xsnd.zmqpubrawblock=tcp://127.0.0.1:28444 --xsnd.zmqpubrawtx=tcp://127.0.0.1:28445 --debuglevel=debug --alias="Exchange A XSN on 10003/10013"

You will need to modify the information in bold

~/lnd/lnd_xsn --noseedbackup --rpclisten=localhost:10003 --listen=localhost:10013 --restlisten=8003 --datadir=data --logdir=logs --nobootstrap --no-macaroons --xsncoin.active --xsncoin.testnet --xsncoin.node=xsnd --xsnd.rpcuser=HERE--xsnd.rpcpass=HERE --xsnd.zmqpubrawblock=tcp://127.0.0.1:28444 --xsnd.zmqpubrawtx=tcp://127.0.0.1:28445 --debuglevel=debug --alias="Exchange A XSN on 10003/10013"

Input the rpcuser name and password that you inputted into the xsn.conf earlier.

Editing the start.bash files — Number 3

Step 1) Copy and paste the following (It is one full line of text so copy it all) and we need to edit the first start.bash for Litecoin:

nano ~/go/src/github.com/ExchangeUnion/swap-resolver/exchange-b/lnd/ltc/start.bash

Step 2) We need to edit the second start.bash for Litecoin, the first one is how it currently looks, and the second shows what you need to edit:

The original will be a long line of text like the below:

lnd --noseedbackup --rpclisten=localhost:20001 --listen=localhost:20011 --restlisten=9001 --datadir=data --logdir=logs --nobootstrap --no-macaroons --litecoin.active --litecoin.testnet --litecoin.node=litecoind --litecoind.rpcuser=xu --litecoind.rpcpass=xu --debuglevel=debug --litecoind.zmqpubrawblock=tcp://127.0.0.1:28332 --litecoind.zmqpubrawtx=tcp://127.0.0.1:28333 --alias="Exchange B LTC on 20001/20011"

You will need to modify the information in bold:

~/lnd/lnd --noseedbackup --rpclisten=localhost:20001 --listen=localhost:20011 --restlisten=9001 --datadir=data --logdir=logs --nobootstrap --no-macaroons --litecoin.active --litecoin.testnet --litecoin.node=litecoind --litecoind.rpcuser=HERE --litecoind.rpcpass=HERE --debuglevel=debug --litecoind.zmqpubrawblock=tcp://127.0.0.1:28332 --litecoind.zmqpubrawtx=tcp://127.0.0.1:28333 --alias="Exchange B LTC on 20001/20011"

Input the rpcuser name and password that you inputted into the litecoin.conf earlier.

Editing the start.bash files — Number 4

Step 1) Copy and paste the following (It is one full line of text so copy it all) and we need to edit the first start.bash for XSN:

nano ~/go/src/github.com/ExchangeUnion/swap-resolver/exchange-b/lnd/xsn/start.bash

Step 2) We need to edit the second start.bash for XSN, the first one is how it currently looks, and the second shows what you need to edit:

The original will be a long line of text like the below:

lnd --noseedbackup --rpclisten=localhost:20003 --listen=localhost:20013 --restlisten=9003 --datadir=data --logdir=logs --nobootstrap --no-macaroons --xsncoin.active --xsncoin.testnet --xsncoin.node=xsnd --xsnd.rpcuser=xu --xsnd.rpcpass=xu --xsnd.zmqpubrawblock=tcp://127.0.0.1:28333 --xsnd.zmqpubrawtx=tcp://127.0.0.1:28332 --debuglevel=debug --alias="Exchange B XSN on 20003/20013"

You will need to modify the information in bold:

~/lnd/lnd_xsn --noseedbackup --rpclisten=localhost:20003 --listen=localhost:20013 --restlisten=9003 --datadir=data --logdir=logs --nobootstrap --no-macaroons --xsncoin.active --xsncoin.testnet --xsncoin.node=xsnd --xsnd.rpcuser=XXX --xsnd.rpcpass=XXX --xsnd.zmqpubrawblock=tcp://127.0.0.1:28444 --xsnd.zmqpubrawtx=tcp://127.0.0.1:28445 --debuglevel=debug --alias="Exchange B XSN on 20003/20013"

Input the rpcuser name and password that you inputted into the xsn.conf earlier.

Editing the prolfe.

We need to add a few lines of text, though this step is very much copy and paste.

Step 1) Copy and paste the following:

nano ~/.profile

Step 2) Add the following lines to the end of the bashrc — use the downward arrow on your keyboard to navigate down very bottom.

#=========
#Adding lncli aliases
alias xa-lnd-xsn='~/lnd/lncli --network testnet --rpcserver=localhost:10003 --no-macaroons'
alias xa-lnd-ltc='~/lnd/lncli --network testnet --rpcserver=localhost:10001 --no-macaroons'
alias xb-lnd-xsn='~/lnd/lncli --network testnet --rpcserver=localhost:20003 --no-macaroons'
alias xb-lnd-ltc='~/lnd/lncli --network testnet --rpcserver=localhost:20001 --no-macaroons'
#=========

After inputting, it will look like the above.

Step 3) To save the above file, you will need to go CTRL+X, then “Y” followed by ENTER.

Step 4) Copy and paste the following commands individually:

source ~/.profile
sudo chmod 777 ~/lnd/lnd 
sudo chmod 777 ~/lnd/lnd_xsn 
sudo chmod 777 ~/lnd/lncli

Getting your Exchanges Ready for Lightning Network Payment Tests

For the next steps, you are going to have to open multiple versions of your VPS terminal however; only open a new one when the steps says so. Ultimately, you will have 4 terminals open for Exchange A and 4 for Exchange B, and one extra one which acts as the binder.

Exchange A

Terminal one — launching lnd-xsn:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/exchange-a/lnd/xsn/

Step 2) Copy and paste the following:

./start.bash

Terminal two — launching lnd-ltc:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/exchange-a/lnd/ltc/

Step 2) Copy and paste the following:

./start.bash

Terminal three — launching swap-resolver:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/exchange-a/resolver/

Step 2) Copy and paste the following:

./start.bash ltc_xsn

Terminal four — Sync checker:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following command to check if you have synced to the chain on the XSN wallet for Exchange A:

xa-lnd-xsn getinfo

We are waiting for it to say the following:

Step 2) Within the same terminal, we now want to check that Exchange A LTC wallet has synced. Copy and paste the following:

xa-lnd-ltc getinfo

We are waiting for it to say the following:

Please note: if the synced_to_chain takes a while to change to true, go back to terminal one and two, and go Ctrl + C, then use the Up arrow on your keyboard to select the last used command, and re-run that command. Once done, go back to your terminal four and check the sync status.

Exchange B

Terminal one — launching lnd-xsn:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/exchange-b/lnd/xsn/

Step 2) Copy and paste the following:

./start.bash

Terminal two — launching lnd-ltc:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/exchange-b/lnd/ltc/

Step 2) Copy and paste the following:

./start.bash

Terminal three — launching swap-resolver:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/exchange-b/resolver/

Step 2) Copy and paste the following:

./start.bash ltc_xsn

Terminal four — Sync checker:

Step 1) Open a new terminal, log in as your Superuser and copy and paste the following command to check if you have synced to the chain on the XSN wallet for Exchange B:

xb-lnd-xsn getinfo

We are waiting for it to say the following:

Step 2) Within the same terminal, we now want to check that Exchange B LTC wallet has synced. Copy and paste the following:

xb-lnd-ltc getinfo

We are waiting for it to say the following:

Getting your Exchange Wallet Addresses

Make sure your exchanges are synced before proceeding!

For the next steps, we are going to check our wallet balances as they should be 0, generate a receiving address and then get some Testnet funds for our wallets. We are going to use Exchange A terminal four, for the following (the terminal you checked for synced_to_chain).

Step 1) Input each of the following commands individually to check the wallet balance on the exchange:

xa-lnd-xsn walletbalance
xa-lnd-ltc walletbalance

Step 2) Now we need to generate your exchange receiving addresses with the following:

XSN — Copy and paste the following then make note of the address:

xa-lnd-xsn newaddress np2wkh

LTC — Copy and paste the following then make note of the address:

xa-lnd-ltc newaddress np2wkh

Step 3) You have the address, and now you need the funds so do the following to get your XSNT and LTCT:

For XSN: Ask in the Discord #Lightning-network channel for some XSNt (testnet XSN) to test with and await confirmation it has been sent.

For LTC: Go to http://testnet.litecointools.com/ to get some LTCt (testnet LTC).

Once received and confirmed in your wallet (use step 1 to check), we are ready to commence Lightning Network Payment Tests.

Establishing Lightning Peer Connections

For the next steps, we are going to establish a connection between Exchange A and Exchange B — the Binding Node.

Step 1) Open an additional Terminal of your VPS and copy and paste each line individual into the terminal:

XB_XSN_PUBKEY=`xb-lnd-xsn getinfo|grep identity_pubkey|cut -d '"' -f 4`
xa-lnd-xsn connect $XB_XSN_PUBKEY@127.0.0.1:20013

Note: After inputting the above, each command output displayed will be similar to is {}, which is fine:

Step 2) Go to Exchange B, terminal 4 and confirm it remains synced to the chain with the following:

xb-lnd-xsn getinfo

If it is no longer synced —go to exchange B, Terminal 1 & 3, and do Ctrl & C, then use the up arrow and repeat the last command used in each terminal.

Step 3) Now copy and paste the following lines individually, into the same terminal as step 1:

XB_LTC_PUBKEY=`xb-lnd-ltc getinfo|grep identity_pubkey|cut -d '"' -f 4`
xa-lnd-ltc connect $XB_LTC_PUBKEY@127.0.0.1:20011

Note: After inputting the above, each command output displayed will be similar to is {}, which is fine.

Step 4) Go to Exchange B, terminal 4 and confirm it remains synced to the chain with the following:

xb-lnd-ltc getinfo

If it is no longer synced — go to exchange B, Terminal 2 & 3, Ctrl & C, and do Ctrl & C, then use the up arrow and repeat the last command used in each terminal.

Step 5) Copy and paste the following lines individually, into the same terminal:

xa-lnd-xsn listpeers
xa-lnd-ltc listpeers

We are now ready to set up payment channels.

Making a Lightning Network Payment

For these steps, we are using the Binding Node used in the previous step.

Step 1) For this step, Exchange A opens a xsn payment channel to Exchange B and pushes over 0.1 XSN at the same time. Copy and paste the following command:

xa-lnd-xsn openchannel --node_key=$XB_XSN_PUBKEY --local_amt=16000000 --push_amt=1000000 --sat_per_byte=1000

Step 2) We now need wait until the payment is confirmed (which could take a while; as it is testnet…), the pending channels can be seen with the pending channels command:

xa-lnd-xsn pendingchannels

Step 3) Once the channel is opened, Exchange A lists the payment channel with the following:

xa-lnd-xsn listchannels

Step 4) For this step, Exchange A opens a Litecoin payment channel to Exchange B and pushes over 0.05 LTC. Copy and paste the following command:

xa-lnd-ltc openchannel --node_key=$XB_LTC_PUBKEY --local_amt=10000000 --push_amt=5000000 --sat_per_byte=1000

Step 5) We need wait until the payment is confirmed (which could take a while; as mentioned before), the pending channels can be seen with the pending channels command:

xb-lnd-ltc pendingchannels

Step 6) Once confirmed, Exchange B lists the litecoin payment channel with the following:

xb-lnd-ltc listchannels

Once confirmed, you have done all Lightning Network checks and get to move onto the final stage, Lightning Swaps!

Performing a Lightning Swap (Lightning Cross-Chain Swap)

We are on our final stage now, performing the actual swap.

Step 1) Checking the balance before the swap- Use the Binding Terminal from the previous step. Let’s check the XSN and LTC channel balances on Exchange A and B before we execute the swap.

In the outputs below, local_balance is the balance on Exchange A’s side of the channel and remote_balance on Exchange B’s side. Copy and paste the following commands individually:

xa-lnd-xsn listchannels
xa-lnd-ltc listchannels

Step 2) Performing the Swap. In our example, Exchange A is willing to sell 200 satoshi (0.000002 XSN) for 10000 litoshi (0.0001 LTC).

The command is executed against the swap-resolver which controls the lnd’s. Copy and paste the following command:

cd $GOPATH/src/github.com/ExchangeUnion/swap-resolver/cmd/resolver-cli/

Step 2.1) Copy and Paste the following command:

sudo chmod 777 ./resolver-cli

Step 2.2) Copy and Paste the following command:

./resolver-cli --rpcserver localhost:7001 takeorder --order_id=123 --maker_amount 200 --maker_coin XSN --taker_amount 10000 --taker_coin=LTC

After inputting the above command successfully, you should get the following confirmation:

You have now completed your first ever Lightning Swap!!!

I hope you have enjoyed this guide, and if you are ready for the real thing, we have tested this on Mainnet (live wallets) and confirms it works successfully.

If you have any questions or issues, remember to join the Stakenet Discord — https://discord.gg/MJc2x6f and we will be happy to help.