Saw this. Screenshot of Blockstream Green wallet. Openning a 10k sat channel for 2500 fee, NOW?! Im weirded out by it, real channel must cost like 10x that with current fees. Are they eating this cost or the channel isnt actually open?
Best answer helping me understand how Breez SDK / Greenlight works will get 5k sats. Do they pay the onchain fee for user or am I completely clueless of how this works. Cos they claim its non-custodial.
https://primal.b-cdn.net/media-cache?s=o&a=1&u=https%3A%2F%2Fm.primal.net%2FHUDl.jpg
I am pretty sure most these services are batch opening channels to there own main nodes. It makes it so if 100 people open private channels at 2500+ each they will cover majority of the channels needed. Now in a high fee environment they probably have to eat the fees/ I also have seen breez charge additional fees to increase or send more to your wallet. I wanted to send 100k agian and I was charged 10k for the channel increase after the initial 2.5k setup fee.
that was my initial thought too, that they are batching. I would like to confirm or deny but Green just wont show txid
Well in breez you can use dev options to see your channels and stuff. Pretty sure you can see on chain stuff too.
yea Im not using that :/ If someone can check it, any recent channel opens were batched or not. But still, 2500 sats doesnt cover it, not even batched.
Breex fees are dynamic and based on fee environment. it will range from .5% to 2%.
hmmm, ok so its just Green. They subsidize it then
hmmm, ok so its just Green. They subsidize it then
zappity zap. Thx
The transaction doesn't actually need to confirm for the channel to be usable. So they may just be low balling fees and accepting that the channel txs might not confirm any time soon.
Can you explain a bit more what you mean with that? How can a channel be usable if the transaction is not included in the blockchain? What are the risks in doing so?
Because you, the receiver of the channel, can't double spend it. So Breeze/Phoenix/whatever have no risk in accepting LN payments to and from that channel.
Of course, you have a risk that the channel provider will double spend the transaction. But that's a low risk that people are willing to accept. Particularly when you're likely trusting their software anyway.
What if they never get in block for that price?
Not sure about Breez but Green is 2,500 sats to open channels up to 600k or so, which is fair IMO as long as you open channels big enough.
They use Breez SDK so its the same question. How is it possible to open 10k channel for 2500 sats? Screenshot is from Green
Check this episode to learn more about Greenlight's model and incentives.
https://fountain.fm/episode/Tultng0WurN3UaRCHY3l
Trying to empty it out now and that shit isnt working....Green. Pls fix.
They are likely batching. Slightly different commercial model where they have a fixed and percentage based fee for both opens and closes. It seems they are taking a strategic approach that smooths out the fee spikes.
https://m.stacker.news/8435
strategically losing money :D How will they close 10k channel? :D
Did you open it?
I don't believe
Someone else oppened 10k. I openned much bigger for 4k fee....well "openned"