0 sats \ 5 replies \ @Fabs OP 16 Sep \ parent \ on: Who can give me an ELI5 on Inbound liquidity and it's increase / decrease?! lightning
So if I send 100k to SN, I have new inbound liquidity?
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Inbound liq. = channel size - outbound liq - channel reserve - commit fee
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Outbond liq. = channel size - inbound liq - channel reserve - commit fee
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Channel size = UTXO amount locked in the channel opening tx
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Commit fee = First-to-fill sats in LN channel that acts as a emergency funds to get your part of funds confirmed on-chain. Usually equal as the Onchain fee
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Channel reserve = Mutually-agreed fidelity bond that deters channel counterparty from publishing fraudulent close. Usually 1% of channel size