11 sats \ 5 replies \ @DarthCoin 29 May 2022 \ on: A problem with Bitcoin's Lightning Network liquidity and ideas to address it bitcoin
Yes, good article. But what Shinobi forgot to talk about are ... force closed channesl.
In a liquidity marketplace where you have to set a specific CLTV time to lock the funds in a contract, you DO NOT have also an option to KEEP that channel open.
So you are in a even more deep shit: you lock your funds in a larger CLTV, but you got the channel force closed and now you are waiting a longer time to get the funds back.
This doesn't make any sense. LN devs must change or add a new feature that for these specific channels, also imply that will not happen a force close BEFORE that CLTV time.
I thought that the liquidity seller can't force-close the channel before the lease ends? Have I misunderstood something? And the liquidity buyer can force close the channel at any point, completely skipping the CLTV restriction.
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CLTV is only about lock the funds until a certain block in case of a force close. But that do not enforce to keep the channel open.
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Doesn't the CLTV only lock the funds of the liquidity seller, but not the funds of the buyer, in case the seller force-closes the channel?
And if the buyer force-closes, both the seller and the buyer get their funds back near-instantly, after the dispute period, right?
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That channel will move funds from one side to another, meanwhile is doing routing.
So in case of a force close or cooperative close, each side will get his funds that had in the moment of closure on his side.
The funds are locked until the grace period is reached, for both parties, not just one.
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Ah. Sorry, I wasn't sure how it worked exactly. Thx for explaining it! I wonder why the funds are locked at all in case of a cooperative close, and why they are locked for the buyer too in case of a forced close.
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