Author: ZmnSCPxj 2018-10-17 05:00:15
Published on: 2018-10-17T05:00:15+00:00
The article discusses the safety of Lightning protocol transactions, which are not on any block and use 0-conf transactions. While 0-conf transactions in general are known to be unsafe due to the possibility of transaction replacement, Lightning uses a 2-of-2 federation as signatories for commitment transactions, which both sides have veto rights over. This makes Lightning safe by preventing the replacement of a 0-conf transaction without the receiver allowing it. The implications for splice proposals are also discussed, with multiple funding TXOs for a single channel being unsafe-by-default on Poon-Dryja. In particular, a commitment (or update) transaction that has multiple inputs can be replaced with a commitment (or update) transaction that was created before the splice, risking loss of collateral.
Updated on: 2023-05-25T14:12:25.148333+00:00