Faking LN transactions to road block chain analysis? Does it make any sense?



Summary:

The Lightning Network's mutual closes are typically spends of 2-of-2 outputs. This makes them stand out, as most people use either 1-of-1 or 2-of-3. ZmnSCPxj proposed modifying the current 2-of-2 closing outputs to make them indistinguishable from 2-of-3 outputs by negotiating a random third public key with a nonexistent private key. However, this approach requires three public keys in the resulting revealed script rather than two. The incoming BIP-Schnorr, with upcoming improvements in the verifiable secret splitting, may allow MuSig 2-of-2 to be indistinguishable from 2-of-3. It would be best to have a standardized NUMS point, add both participants' one-time points to that point, precommit hashes of those points first, provide the points, and generate the sum of the standard NUMS plus their random points.


Updated on: 2023-06-02T22:29:12.021804+00:00