Author: Christian Decker 2019-10-03 09:57:05
Published on: 2019-10-03T09:57:05+00:00
The discussion is about SIGHASH_NOINPUT, a potentially useful tool for off-chain protocols like Lightning. However, its use raises concerns regarding address reuse and potential fund loss if a second signing path that uses SIGHASH_NOINPUT gets mixed up with the first signing path that controls on-chain funds. BIP118 mandates separate private keys be used for off-chain contracts and that the off-chain contract never be mixed with the remainder of the funds. The key hygiene should also be maintained by keeping off-chain keys separate from on-chain keys and ensuring that each off-chain contract instance uses a separate set of keys. This introduces more complexity for key management, but it is already the case. With high security on-chain systems, there should never be a hot key that automatically signs off on transfers without human intervention.
Updated on: 2023-06-02T20:34:12.800278+00:00