A Scaling Breakthrough for the Lightning Network

John Law has just published a fascinating proposal to allow for much improved scaling of the Lightning Network.


This new protocol (named **Inherited IDs**) would completely replace the proposed Eltoo protocol, and greatly improves it by allowing multiple Lightning channels to be opened (or modified) with a single on-chain transaction, saving thousands or millions of transactions.

This can be implemented via a Bitcoin soft fork.

The proposal appears well thought-out and sensible at first glance, but perhaps my brain just isn’t big enough to pinpoint any flaws in the proposal…

View Reddit by booleanlifeformView Source

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  1. I was able to read the first several sections of Mastering the Lightning Network and conceptually understand what is happening.

    This John Law paper starts off too technical for me. The high high high level overview sounds nice, but I can’t wrap my head around how its actually working.

    Hopefully somebody can right up a “Scaling BTC with IIDs for Dummies” so I can understand this better.

  2. Wow, this is pretty amazing. I’m kinda stuck for now in the later parts of the paper because the brain jammed a little, so I don’t quite understand how the update-tree-forest works…

    Something important that wasn’t memtioned in the OP is that this can supposedly onboard casual users, which are not part of the funding transaction and it also gets rid of the requirememt for watchtowers. If that works, it basically solves two of the biggest issues lightning has for large scale adoption.

  3. >allowing multiple Lightning channels to be opened (or modified) with a single on-chain transaction

    I routinely open multiple channels in a single transaction. That’s always been possible under the Lightning protocol 1.0 (although it has taken software implementations varying amounts of time to actually implement it).

    Still waiting for splicing to be implemented.

  4. I’m excited for this. I can’t wait to see the reaction from some of the core Dev’s. I’m not smart enough to tell if this will work or not, but I know you don’t write a paper like this overnight. They clearly know their shit, an this could be the scaling debate decided once an for all. If this is feasible, we could even reduce the blocksize in future.

What do you think?

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