Author: Bryan Bishop 2016-02-26 01:21:31
Published on: 2016-02-26T01:21:31+00:00
Segregated Witness, which is soon to be implemented as a transaction malleability solution, may have additional use cases. Specifically, a new SIGHASH flag within SegWit could be used for the Lightning Network and other Bitcoin uses. This flag would not sign the input txid/index, making it useful in outsourcing transactions without requiring high costs from third-party involvement. With the dispute resolution period in LN, an incorrect state can be redeemed by a 3rd party without being a custodian of the output. Currently-designed SegWit transactions require storing all previous signatures, which becomes costly with thousands of channel state updates per day. The SIGHASH flag, called SIGHASH_NOINPUT, would allow a compact way of encompassing all prior states and delegating outsourcing with a single message encompassing all prior states. It includes the spent outpoint's script as part of the signature, but not the outpoint being spent or the amount. This flag would only apply in SegWit transactions, allowing for opt-in wildcard inputs, but wallets not requiring these transactions do not need to be concerned with this flag.
Updated on: 2023-05-23T22:34:45.179576+00:00