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155 sats \ 2 replies \ @siggy47 11 May 2023 \ on: Is it possible for exchanges to create fake sats using lightning? bitcoin
The only way to open a channel is with an on chain transaction. I don't see how that can be faked.
You can even verify that all channels have funds locked onchain:
Gossip Protocol Messages
...channel_announcement
: A blockchain anchored proof of the existence of a channel between two individual nodes. Any third party can verify this proof to ensure that a real channel is actually being advertised. Similar to thenode_announcement
, this message also contains information describing the capabilities of the channel, which is useful when attempting to route a payment. ... It's important to note that each component of the channel graph is authenticated, allowing a third party to ensure that the owner of the channel/update/node is actually the one sending out an update.
-- Mastering the Lightning Network, Chapter 11: Gossip and the Channel Graph (p.276-277)
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Right answer.
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