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Lightning Network aneb Bitcoin 2.0, Plzensky Barcamp, 7.4.2018

Lightning Network aneb Bitcoin 2.0, Plzensky Barcamp, 7.4.2018

Ondrej Sika

April 07, 2018
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  1. Lightning Network
    aneb Bitcoin 2.0
    Ondrej Sika
    [email protected]
    Plzensky Barcamp 2018,
    Pilsen, 7. 4. 2018

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  2. https://sika.link/ln

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  3. Ondrej Sika - Software Engineer @ Slush Pool
    - Bitcoiner since 2013
    - Consultant

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  4. What is Bitcoin?
    - Peer to Peer payment network
    - Decentralized currency
    - Digital gold
    - Money of internet
    - Internet of money

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  5. Bitcoin
    Advantages
    - Decentralized
    - Distributed
    - Fast
    - Cheap

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  6. Fast & Cheap!

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  7. Bitcoin
    Disadvantages
    - Expensive
    - Slow
    - Limited to few txs per second
    (1MB blocks)

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  8. Onchain Scaling
    BBigger blocks - Bitcoin Cash
    Advantages
    - easy to implement
    - easy to use
    - cold storage & HW wallets
    Disadvantages
    - Network centralization
    - No instant transactions
    - Not solving scaling, postpones it
    - High fees

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  9. Sidechains
    Another blockchain two-way
    pegged to Bitcoin (eg. rootstock)
    Advantages
    - Any sidechain functionality with
    Bitcoin (eg. smart contract)
    - Cold storage & HW wallets
    Disadvantages
    - 2-way peg is not solved yet
    - No instant transactions
    - Fees

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  10. Lightning Network

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  11. Advantages
    of Lightning Network
    - Instant transactions
    - Almost no fees

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  12. Disadvantages
    of Lightning Network
    - Requires running node with
    money (no cold storage)
    - Requires monitoring network
    for frauds
    - Requires invoice to receiving
    money
    - Payment routing is not been
    solved properly yet

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  13. How LN works
    - Two nodes create channel (Bitcoin TX),
    with capacity of x BTC.
    - Updates channel states many times they want
    - Close channel (Bitcoin TX)

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  14. Implementation
    of Lightning Network
    - LND (Lightning Labs)
    - C-Lightning (Blockstream)

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  15. Clients
    of Lightning Network
    - Zap (Desktop)
    - Bitcoin + Lightning Wallet
    (Android)

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  16. Summary
    - LN is still in early stage
    - Many people working on
    - Concept seems to be working
    - Have a fun with LN

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  17. Resources
    - github.com/bcongdon/awesome-lightning-network
    - https://ondrej-sika.cz/lightning-network
    - http://lightning.network/
    - https://github.com/lightningnetwork/lnd
    - https://github.com/LN-Zap/zap-desktop

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  18. Thank you & Questions
    Ondrej Sika
    email: [email protected]
    web: ondrej-sika.cz
    twitter: @ondrejsika
    linkedin: /in/ondrejsika/
    Slides & materialy na https://sika.link/ln.1

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