Author: Lloyd Fournier 2022-02-06 07:18:11
Published on: 2022-02-06T07:18:11+00:00
The email exchange discusses the benefits and features of Discreet Log Contracts (DLCs) with CheckTemplateVerify (CTV). The author explains that CTV enables a trustless timeout branch, which can have a failover claim that returns funds to both sides. Additionally, CTV DLCs are non-interactive asynchronously third-party unilaterally creatable, which means it is possible for a single party to create a DLC on behalf of another user. This enables use cases like pay-to-DLC addresses, which can also be constructed and sent to a third party service to create DLCs without requiring the third party service to do anything other than make the payment as requested.The email also discusses how CTV DLCs can be composed in interesting ways. Options over DLCs open up many exciting types of instrument where Alice can create an option expiring in 1 week where Bob can add funds to pay a premium and "Open" a DLC on an outcome closing in 1 year. There are also opportunities for perpetual-like contracts where you could combine into one logical DLC 12 DLCs closing 1 per month that can either be paid out all at once at the end of the year or profit pulled out partially at any time earlier.Lastly, the email mentions an additional performance improvement that can be had for iterative DLCs in Lightning where you might trade over a fixed set of attestation points with variable payout curves. However, the author is not entirely clear on what is meant concretely by this. Overall, the discussion highlights the potential benefits and uses of CTV DLCs.
Updated on: 2023-05-22T17:16:34.804884+00:00