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> if you lose connectivity your deposit could be lost i haven't heard of that. if you aren't monitoring on-chain transactions the other channel party may commi
by exit 8y ago
> if you lose connectivity your deposit could be lost
i haven't heard of that. if you aren't monitoring on-chain transactions the other channel party may commit an out of date state, and you may not manage to issue a justice transaction in response.
"watchtowers" are currently in development, to which this burden can be outsourced.
> doesn't it make Bitcoin even more hyper-deflationary by forcing money to be locked up in LN nodes
lightning channels do not permanently lockup bitcoin, no. the channels have a timelock based maximum age, but cooperative peers can agree to finalise and close the channel at any time.
in any case, value can circulate via the lightning network.