X

Sarah from El Paso

Signed up at BC Game 20 minutes ago.

» Try BC Game too
Do not show again

Today, Crypto Lists initiate the interview series where interesting people from the crypto industry will speak out and discuss what matters.

This time we have had the honor to speak with the crypto expert Robert in Cyprus, who has created a real lightning node with good capacity for transferring Bitcoin. The name of his lightening node is Hash Position and “hash” in this context stands for “transformation of an arbitrary input to a 256-bit output”. The website is simple, but fulfils its function and makes Bitcoin transfers both faster and cheaper compared to when using the Bitcoin network.

Two of the biggest disadvantages of Bitcoin according to the critics are the transfer speed and the cost, which is exactly what a layer 2 blockchain like the Lightning network can improve.

Bitcoin lightning network

What is your role in the Lightning network?

My role on the network has been to set up a large lightning node with good capacity, hashposition.com, which anyone can connect to, to help the network handle transactions. Has also helped debug and test various implementations.

How does Hash Position differ from other lightning nodes?

We have self-developed “manager” software that makes sure to set the right fees, establish the right channels, and automatically rebalance channels so that it is always possible to make (route) a payment through us.

How quickly did the Lightning network get up and running after the first plan was released?

The Lightning network was on a test network for a long time and was not recommended for mainnet (real bitcoin) until much later due to the risk of minor issues. However, some of us could not wait but removed the barrier and used the Lightning mainnet. This was sometime in 2017 if I remember correctly.

But even when it was officially released for the mainnet, there was a restriction that channels could not be larger than 0.17 BTC, which was not lifted until about a few years ago. Recently, multi-path payments have also been introduced, which means that you can pay via several routes at the same time, which makes it easier for a payment to find suitable routes.

The Lightning blockchain is constantly growing with the number of nodes involved, capacity, traffic and new functions. Since it is layer 2, it is much easier to add and test new functions without having to have full consensus from all nodes. Even if it goes fast, long-term Lightning users like me feels that it goes slowly. The fact that El-Salvador run Bitcoin on Lightning network is a nice little news lately.

Can you explain to a beginner what a layer on top of a blockchain means in Lightning’s case?

How do you help the end customer?

Robert from the Lightning network replies: In short, it reduces the price of transactions and also speeds them up. Compare that to presenting your credit card at the bar, and they withdraw a total when all the transactions are complete. It will be a channel with balance between you and the bartender. If your friend has also presented his credit card in the same bar, and you owe your friend SEK 100 in advance, you can send them via the bartender to your friend. Or you make your own channel with your friend and pay the bartender there.

When a network is built, and if you leave the channels open, they never need to be written down, but the balances move back and forth. Once you close a channel, only the total is written down at each end on the blockchain, which means that it takes up very little space. It is also good for integrity as the transactions are never written down on the blockchain, and in the lightning network itself they are encrypted, so not even the nodes you send the transaction via know which ones they are from or where they are going.

Was the Bitcoin blockchain not good enough, or why was the Lightning network started?

The blockchain is good enough and is needed to anchor lightning. There is no point in having all the small transactions there. A layer 2 has always been needed, it took a while before someone figured out how to solve it best.

Can you compare Lightning network with MATIC or Immutable X for Ethereum?

What is the biggest difference otherwise?

It seems similar but I do not have insight into them in order to be able to compare. Lightning is Bitcoin, not a separate token or side chain. However, there are also promising experiments to send stablecoins over bitcoin.

Is there an update to the Lightning network’s first white paper?

Crypto Lists says: Noticing that the original Lightning document could need an update. Do you know if there is an alternative Robert?

Robert replies: Regarding white paper, I would say that the BOLT-specification is that applies, which is still under development. As I said, since there are no changes to the blockchain itself, development can take place much faster and more flexibly on layer 2.

The two who wrote the white paper you refer to were the seed that became lightning as it looks today. As far as I know, they are no longer active on the lightning network anymore. Lightning is just like bitcoin an open and decentralized standard.

Lightning is not a crazy token or some obscure new blockchain that needs to be explained or sold to people. It is rather technical improvements on top of the regular bitcoin chain.

Is there a lot that has happened since Lightning’s first seed came out?

Is there anything that has changed the direction or thoughts behind Lightning Network?

There are many thoughts going on such as multipath routing (sending payment in parts different ways to increase the chance that large payments will arrive) and watch towers that monitor channels for others to make sure no one is trying to do something stupid if your node is down one longer time.

We are also waiting for some development on the block chain to be able to make the actual anchoring of the channels smoother, safer and cheaper. Different ways to send non-bitcoin via lightning as well (such as stablecoins). However, the basic idea of Lightning is exactly the same.

Are you investing in crypto yourself?

Crypto Lists asks: Any particular major cryptocurrencies, or any small and fast growing ones?

I am a bitcoin maximalist“, says Robert. For those of you who are not so familiar with cryptocurrencies, CryptoLists can explain that Bitcoin maximalists believe that Bitcoin can give users everything they need in the form of digital currencies. You simply don’t need to care about any other cryptocurrency, the original – is the only one that has any value, is what they believe.

Robert continues: There are cryptocurrencies that you can make money on, but that is nothing I do personally. I’m a little curious about how ETH’s proof of stake will affect everything, but have no guesses.

Rating: 9.5/10
Supply: 18,925,000 / 21,000,000
Release date: January 3, 2009

Description: Are you a Bitcoin maximalist too? See live Bitcoin prices, read news and facts about the world’s largest cryptocurrency.

Risk warning: Trading, buying or selling crypto currencies is extremely risky and not for everyone. Do not risk money that you could not afford to loose.


What would the optimal blockchain look like for you?

A fixed range, it should be easy to avoid bugs, but still flexible. Short answer: Bitcoin.

Do you see any serious challengers to Bitcoin and Ethereum in the coming years?

Not directly. I believe in a central blockchain, but side chains and layer 2 built on bitcoin I believe in. Bitcoin is not so great on smart contracts, but I do not think it should be either. Bitcoin can be seen as a stable engine for everything else.

Do you know which crypto wallets have a smooth Lightning integration?

Development goes at different speeds in different places as usual. There are large crypto wallets and exchanges such as Kucoin and Gate.io that still can not handle segwit or taproot. Here you have a huge list of supported exchanges and other good links for Lightning Network.

Why should a normal crypto user care about Lightning?

Crypto Lists continues: Is it worth to use?

Robert replies: Definitely worth using. Next time you change or transfer to another crypto wallet, look for one that has lightning. They can usually be transmitted on-chain as well.

Crypto Lists conclude: Many thanks for your participation in the interview Robert and for taking the time. I believe that many of our visitors will like the Lightning network once they discover the benefits.

Footnote: There are many different companies that develop lightning products and protocol and enable faster and cheaper transfers for Bitcoin. Some of them are Lightning Labs, ACINQ and Blockstream.

by Our Certified Author
Bitcoin Newsflash
    Mt. Gox Moves 142 000 Bitcoin: Will the sell off continue?Mt. Gox Moves 142 000 Bitcoin: Will the sell off continue?
    Tuesday, 28 May 2024 11:21 am
    Speculators have been worried about the latest move from Mt. Gox. They transferred around $10 billion in Bitcoin, along with 67 million in Bitcoin cash - which is expected to go to creditors. This might in worst case result in a sell off the coming days, weeks or even hours. If you rather have some fun on one of the newest Bitcoin casinos than sitting and waiting for how the Mt Gox story will unfold, we recommend that you visit Goat Casino's website. It's the hottest BTC casino in May 2024 and their VIP club and huge range of games are attracting many players from around the world. Yes, it's a VPN friendly casino that accept players from almost any country...
    Read the full newsflash


    Hong Kong Approves First Spot Bitcoin ETFHong Kong Approves First Spot Bitcoin ETF
    Monday, 15 Apr 2024 11:31 am
    The original intention for Bitcoin is starting to be diluted with all the Bitcoin spot ETF's that's getting approved. Now, the Hong Kong Securities and Futures Commission (SFC) have made conditional BTC spot approvals according to Reuters - the first in Asia. Crypto Lists expect that all the current and upcoming Bitcoin ETF's are will give bigger sudden movements for BTC in the medium term, both in terms of a potential bull market followed by a...
    Read the full newsflash


    A volatile weekend for BTC before halvingA volatile weekend for BTC before halving
    Monday, 15 Apr 2024 8:36 am
    It's been a more volatile weekend than usual for Bitcoin (BTC), for many reasons. First of all, the U.S tax year ends today which might explain some of the recent sell offs. Secondly, Iran did retaliate the deadly Israeli attack on diplomats in Syria this weekend and Bitcoin dropped a bit extra after that news. However, today the Iranian mission to the United Nations said the issue "can be deemed concluded", so a wider conflict is not very likely anymore. Finally, in about 4.5-5 days, the actual Bitcoin halving is set to take place. It's estimated to be between the evening of 19th of April 2024 or in the beginning of the 20th of April. Historically, Bitcoin have been taking off a few weeks or months after the halving so let's see if the history repeat itself...
    Read the full newsflash


    Bitcoin halving special on Ledger: Zero feesBitcoin halving special on Ledger: Zero fees
    Friday, 12 Apr 2024 11:34 am
    Ledger is doing a special with the fiat-to-crypto payment processor Moonpay (see review), where they offer zero exchange fees for 24 hours. This offer is only valid until 3 PM (GMT) on the 12th of April, 2024. So grab your Bitcoin before the halving with the serious hardware wallet Ledger...
    Read the full newsflash


    Bitcoin halving party in MarbellaBitcoin halving party in Marbella
    Thursday, 11 Apr 2024 10:12 am
    It's not long left until the Bitcoin halving. If you happen to live in or simply are visiting southern Spain, then may we suggest you join us for the party on the 20th of April, 2024. We'll meet up at Paradise Beach Banus in Marbella (Spain) at around 8 PM. There will be a dinner shortly after, followed by a boat trip with drinks and possibly to mingle with other Bitcoin HODL'ers. You can read more details about the Bitcoin halving party in Marbella here and feel...
    Read the full newsflash

New Casino Reviews
New Crypto Casinos
Best Crypto Casinos
Recent Crypto Sites
Recent Crypto Coins
Keep up to date with
 

Our Newsletter

Sign up to our newsletter to get the
latest crypto news, new casinos,
bonus offers and other exciting
exclusives.
* indicates required
CryptoLists.com
Copyright © 2019-2022, by Crypto Lists Ltd (CryptoLists.com). Company name: Crypto Lists Limited. Address: 5 Upper Montagu Street, LONDON W1H 2AG, England.
Jump to top