Dear passionate lightning community!
Some time ago, together with a few LN users we imagined a system reminiscent of a massive and extended liquidity swap (that many of you know well and use frequently), where every channel you open and every transaction you make is reciprocated over the long term. This isn't just a vision; it's the foundation behind the LN+ Liquidity Pool. Just as liquidity swaps allow for short-term reciprocity, our new system promotes long-term cooperation across the entire network. It's like the traditional concept of liquidity swaps, but on a grander and more prolonged scale.
At LN+, we're always looking for ways to up our game. We know the hurdles Bitcoin Lightning Network node operators face, and while we've got great solutions already, we're all about finding even better ones. So, get ready because today I'm unveiling a shiny new tool to help node operators.
Opening the LN+ Liquidity Pool
If you have a Bitcoin Lightning Node and you want to get incoming capacity, you can join our liquidity pool. In order to join you have to buy or earn liquidity credits. Once you're in the pool, nodes will open channels to you in return for your credits. You have full control over to whom you open and who opens to you. We will give you instructions all throughout the process to make it easy. You can monitor the status of the liquidity credit flow in your private section on your profile page.
How To Dive Into the LN+ Liquidity Pool
In order to get started you don't need to learn the process of how to participate in the pool, because we will guide you step by step all the way. However, if you're interested to get a quick overview, you can read about the process below: Login with your lightning node to LN+ using a signed signature. Optionally purchase liquidity credits and fast-forward to step 7, otherwise proceed to step 3. Or, to get involved without spending, select a node in the pool to open a channel. Patiently await acceptance of your channel opening offer (also called credit transaction) from the other node. Upon acceptance, initiate the channel opening. Watch as you automatically and gradually accrue credits over a span of 50 days – a fixed timeframe, during which the channel needs to stay open. Once you've gathered some credits, other nodes will approach you with their channel own opening offers. It's your call - accept or decline as you deem fit. After accepting an offer, wait for a channel to be opened towards you by another node. The cost of the new channels will be covered by your liquidity credits over the subsequent 50 days.
Why Should You Jump In
  • Fluidity: No strict time frame constraints for opening and receiving channels.
  • Flexibility: Tailored channel sizes, depending on your preferences.
  • Inclusivity: Beginners and merchants can easily integrate with the community by buying liquidity credits.
  • Control: You decide your channel partners – both for opening and receiving.
  • Cost-effectiveness: Earn liquidity credits just by opening channels. Stay active within the pool, and you could maintain a profitable node without added costs of needing to ever loop out to establish incoming liquidity.
Liquidity Credits Explained
Central to the Liquidity Pool are the Liquidity Credits, ensuring that everyone gets their fair amount of incoming channel liquidity that is equal to the amount of liquidity they opened to other nodes. Liquidity Credits aren't a token or (shit)coin. Instead, they're an internal measure of owed incoming liquidity that can only be exchanged for incoming liquidity on LN+.
Node operators and merchants in need of significant incoming liquidity, you have the option to purchase liquidity pool credits directly from LN+, so that node operators would open channels towards you in return for your credits. The price of purchased liquidity credits is determined by LN+ based on market conditions with the intention to ensure there is always enough liquidity credits available in the pool to keep the pool functional. The price is subject to change.
Comparing the Pool with Swaps
I can't thank you enough for being passionate users of liquidity swaps in the last years. It is a huge success thanks to you. The pool is a direct competitor to swaps, so the question would naturally arise. How do the two services, the liquidity swaps and the liquidity pool compare?
Benefits of the Pool over Swaps:
  • You have full control over who you connect to. In swaps you partially rely on luck for some of your connections.
  • As a merchant, you can join the pool and start receiving channels even if you don't have capacity to open more channels of your own. This requires you to buy liquidity credits from LN+. In swaps, you're required to open channels as well.
  • Pool channel opens is a continuous process without a specific end. Swaps happen within a specific time frame.
  • In the pool the channels you open and the channels you receive can be of a different size and quantity. In swaps the opened and received channels are of equal size.
Benefits of Swaps over the Pool:
  • Channel opens happen potentially faster, sometimes within 24h. Pool is a continuous process without a specific end.
  • Some of the connections are partially accidental which is good for LN's decentralization and equity. The pool connections are fully under your control.
  • Easier to understand and explain how a triangle works with 3 node operators opening to each other. The pool has the concept of liquidity credits that ensures fairness in the system, but adds some complexity.
The Pool is Now Open
I'm eager to hear what you think of the new liquidity pool. If you have any ideas, find any errors, need any help getting started, or want to resolve any potential issue, I'm available on email, in DM, or on social media. You can also learn more about the pool on the about page, which contains a glossary of important terms. Please don't think twice to reach out. And now...
First 10 commenters posting their pubkeys will get free liquidity credits!
cool idea to reward stackers on SN with liquidity credits!
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TIL stacker news users don't know what a lightning pub key is.
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we are still very early...
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Huge congrats on the release!!
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That's really kind of you!
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Great Job!
Question: This may be a future feature, but is there anyway to communicate what the fee rate will be on the incoming channel (Like in Swaps)?
Example: Paying credits for an inbound channel just to have that channel set fees to 9000 base rate.
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That's a good question. I was considering this.
There could be a commitment to keep it under a certain base and ppm rate. We can monitor it and enforce it, and stopping the transfer of the credits if the rate is above the promised rate.
The only reason I didn't include it just yet, because I wanted to keep it simple for launch, because the concept of the pool is already complicated enough. I'm planning to introduce the fee as an advanced option.
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021998f701de16564da7abff57abf8a79bd722de3f0152d5e7a219021fd5287510
Thanks!
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Done. Thank you for your interest! πŸ™Œ
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Thanks! Idea to improve: Give the possiblity to set a reason why a request is declined. Of course I can write it in the comment.
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028803c6dd88596c7cf92566a641f7fb62cc848f525ab0bd5d72b6856fc71a44a9 Thanks.
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Done! Enjoy the pool! 🍹
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030a425f5c69a29db30f6740d4e7df8f5612ef9955078ef4497490015464733dc8
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Done! Thanks for trying out the pool! 🀘
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Credits granted! Hope you will enjoy the pool! 🍹
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Very cool, much appreciated!
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Oh, 0380cd74093aafadd0d2db4ceed5cd7b0436e9e1c64327b1d789a175f4d331c3e3
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037a43b480b33ffaaaef6abd80814becfb89389c21bd18787884e186a5cb507138
Thanks! Looking forward to trying it out.
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Credits granted! Enjoy the pool! πŸŠβ€β™‚οΈ
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Thanks!
I have my LND node too if you are being extra generous! :) 03b9b264fed14f0db13e053e2d48ea61a3db898638dee2e19ec02b6ce3aadc5fc1
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I got you! 🀘
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Thanks! 02d2451ad77976b304c8f6c591ed635b62946846feead72da9b81b550f61019858
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Credits granted! Enjoy! 🌴
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Thanks in Advance.
0225c2a44be98ae923118e92c5b58033a0fd7dd3135be99ee1047ec9d30291dc5d
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Credits granted! Enjoy the pool! 🍸
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0333a4a1ec6ddb057fdc26c830ee0e457ddaa32c1eb476a8b46d4eb1a592f70578
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Should a budding routing node join this pool? I don’t need inbound liquidity but I need traffic!!!
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Yes, generally having more good sized channels (both inbound and outbound) allows you to route more traffic.
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πŸ€”
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Find your node here and claim it: https://lightningnetwork.plus/nodes
Then, give me your node pubkey please!
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It is very uncomfortable for me to admit, but I do not understand what is happening, why some have such a key, others have such a key
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The ones that start with npub are posting their nostr pubkey. The ones that start with numbers are posting the pubkey to their lightning nodes. You can find yours by searching for it on https://amboss.space
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Because you didn't read the post and paid attention. Is about LN nodes. And is about pool credits not sats. LOL But you just came and think you can grab some sats... typical shitcoining attitude.
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Don't swear, Dart, I just don't quite understand everything, I don't need sat, I won't live on it, it's not my goal, I just want to be closer to you, and I don't want to lose my cowboy hat, I periodically go to participate in dialogues, and no, no, I throw off memes. I am a kind and sincere person, I am not for profit.
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Just by reading that post and you should understand what is about. But you just throw a nostr pubkey without even thinking.
Of course I am pissed off when people do not use their brain to think.
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I understand you, I realized that the award is not sets, and then, looking through the comments, I saw that the person threw off his public nostr key, decided that it was somehow connected with the relay) yes, I admit, in front of me I promise to be careful, hello to you from Russia, the city of Ulyanovsk, this is where Lenin was born and make UAZ cars, once again sorry that I didn't understand and froze nonsense, All the best, bitcoin live.
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03d91f2dbbe7783d489efaa5b84f9a3b873889d9b0bc9cbe7442408f7df1ec77a7
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I had to close all channels, but plan to open new ones soon
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Cool. Let me know!
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02dc5b5874c8d6a6400f4707aca663def7feba9f4e8e22a260fe077992dbed5995
Thanks in advance and congrats on the upgrades!
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Thank you! Please double check the pubkey, because it looks like the node is down: https://lightningnetwork.plus/nodes/02dc5b5874c8d6a6400f4707aca663def7feba9f4e8e22a260fe077992dbed5995
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Back-up now and trying out some new swaps
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It was down yes. Previously used the service before lack of storage space brought the node down :/ Will open some channels once more today
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Can you give a pubkey please?
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I think he doesn't even know what is a LN node.....
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Are credits withdrawable?
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Not right now. But I'm planning on it, the way you suggested in your comments. Right now the objective is to make a self sustaining pool where people earn and spend through channel openings. The buying / selling of credits is secondary. But it's likely we will have to encourage channel openings by allowing the sale of liquidity credits so the pool keeps working optimally.
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What do you mean? I'm not sure the exact numbers, but it is around 20k sats for 90 million sats of inbound liquidity credit. Are you wanting to withdraw those 20k sats?
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I mean that if I only provide liquidity, I earn credits. And that should be my reward for giving liquidity. It should be withdrawable in some way
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Yeah, I guess I can see that.... Right now the reward is the ability to have others provide liquidity to you. If you provide 4 million sats liquidity to a node, then you get 4 million sats in credits. What is that worth? There is no possible way that it would be worth 4 million sats that you could somehow withdraw.
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I'm not asking for 4M. I'm talking about the 1000ppm/50 days of the opening reward.
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Hmm. Not sure about that.
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Wow 🀩i only have nostr pubkey πŸ™ˆ
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that means you still need to learn about LN nodes.
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Right! What’s the simplest way? I am thinking of using voltage or can you recommend one? Thanks
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In my SN use bio you have all the guides necessary to start learning. Read them all Additional list here #77060
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