Published on: 2019-08-14T14:12:13+00:00
In a discussion between ZmnSCPxj and Gregorio regarding a paper on the Lightning Network, it is argued that in a network of n connected nodes, there tends to be a state where exactly n-1 channels have perfectly balanced flows in both directions. These "self-balancing" channels form a spanning tree known as the "core spanning tree" of the payment network. While the paper acknowledges that more than n-1 channels may be used intermittently, it emphasizes that no steady state will ever exist in practice due to shifting patterns of demand and supply.The authors highlight that the continuous shift in equilibrium is a result of agents adding traffic to previously unused channels as the demand and supply in the network change. Furthermore, they note that having many channels contributes to the resilience and flexibility of the network. The worst-case scenario described is a single central hub with n-1 channels to client nodes, but this minimum number of channels would not remain stable for long in a real-world context where change is constant.The author of an email on the Lightning Network mailing list, who has been experimenting with running a node on mainnet, shares their reflections and mathematical explorations in a paper available on GitHub. The paper considers an idealized scenario where the Lightning Network has scaled to the size and volume of a self-sustained economy, with fixed channels forming a closed system for payments. In this "steady-state economy," the authors argue that n-1 channels tend to have perfectly balanced flows while other channels are either unused or imbalanced. The paper also offers practical lessons from this scenario and remarks on cases where nodes do not balance their income and expenses.The author invites anyone interested in further developing these ideas to explore and build upon their insights.
Updated on: 2023-07-31T21:51:31.104828+00:00