Impact of eltoo loss of state



Summary:

Christian Decker and AJ discussed the safety of restoring an eltoo channel from a backup that is out of date. While in LN-penalty loss-of-state equates to loss-of-funds, in eltoo this is reduced to impact only funds that are in a PTLC at the time of the loss-of-state. AJ suggested two ideas to ensure the safe restoration of an eltoo channel from a backup: one is to use peer-storage, where they deposit an encrypted bundle with peers, and which they expect the peers to return, and the other is to hide the fact that they forgot some state until the data has been exchanged to ensure that peers always return the latest snapshot of whatever they gave them.However, AJ pointed out that it is not reliable to hide that they forgot some state, and sharing with other peers has costs too. Moreover, these ideas only reduce the chance that they will not have the latest state but do not eliminate it. Nonetheless, it seems like it can probably be reduced enough that they're risking the balances in live HTLCs, as long as they're at least able to claim their channel balance from whatever more recent state their peers may have.


Updated on: 2023-05-23T15:25:42.368450+00:00