fbpx
Home » Videos » Video: Lightning Network

Video: Lightning Network

During the Bitcoin Wednesday conference held on 1 November 2017, one of the world’s authorities on the Lightning Network, Christian Decker, talked about the peer-to-peer micro-payments platform that focuses on resolving the scalability issue of Bitcoin.

In a presentation titled “Buying Coffee at Lightning Speed”, he covered some subjects such as Bitcoin’s scalability issue, how Bitcoin transactions work, and reasons why we might never really be able to scale Bitcoin, or other blockchains. He then went on to suggest how the multi-sig micropayments solution Lightning Network can be used to address scalability in Bitcoin, and increase the number of transactions per second.  Christian explains:

“We solve the scalability issue by using a P2P micro-payments channels or executing most of the transactions off chain, not confirming them anymore on the blockchain itself. In the case of micro-payments, the idea is to create a persistent relationship between two end points by creating a shared account, and transacting between the two parties, without letting a decentralized ledger learn about the intricacies of each transaction.

So what we are trying to do is we create a shared account, and negotiate how we split these funds once we close the channel. And we want to do this iteratively, so we can incrementally pay or get money back. Once we feel that we won’t be coming back to this receiving party, we can ask the receiving party to close the shared account’s payment channel and receive what is left in the balance. In the meantime, the micropayments channel can register this transaction on the blockchain.”

Avatar

View all posts by




PUBLISHED : March 13, 2018
Geoff Goodell, Researcher at University College London
Geoff Goodell

Geoff Goodellis a researcher at the Department of Computer Science at University College London and an authority on the interface between computer science, finance and public policy. His talk for Bitcoin Wednesday will cover the range of available options on the subject of financial privacy, from total surveillance as represented by traditional financial institutions to the use of cryptocurrencies and related privacy enhancing technologies.

Lyn Ulbricht, mother of Ross Ulbricht
Lyn Ulbricht

Lyn Ulbricht is the mother of Ross Ulbricht, the man sentenced to life in prison at the age of 36 for his involvement in Silk Road. The dark web marketplace has made an indelible impact on the industry.

JP Thieriot, CEO of Uphold
J.P. Thieriot

J.P. Thieriot is CEO of Uphold, a digital money platform that serves 1.7 million customers in more than 184 country and has processed almost $6 billion in transactions.

Ruben Merre, CEO of ngrave
Cold Hardware Wallets

Ruben Merreis co-founder and CEO of Ngrave, an end-to-end hardware wallet solution that tackles the what-ifs of managing digital assets and cryptocurrencies.

Patrick Dai, CEO of Qtum
Patrick Dai

Patrick Dai is CEO of Qtum. He will talk about how Qtum built a smart contract system on top of Bitcoin’s infrastructure.

Thomas Borrel, CPO of Polymath
Thomas Borrel

Thomas Borrel leads the Product Strategy, Product Management and Product Marketing teams across Polymath’s product portfolio. Prior to joining Polymath, Thomas was Director of Product Management at Extreme Networks where he led Extreme’s Software and Cloud offerings.

Micha Roon, CTO of EnergyWeb
Micha Roon

Micha Roon is the CTO of the Energy Web Foundation and the Share&Charge Foundation. He is an authority on energy grid decarbonization, electrical vehicle charging and the tokenization of renewable energy.