Unfortunately hosted channels are kind of abandoned, but IMHO are a nice way to onboard new users, easily and with minimum liquidity.
I really wish somebody will continue this project with HC.
Right now, only Valet wallet is still using them. All the rest are abandoned.
Read more here (if you already didn't read these):
Here I wrote a use case scenario if somebody want to use HC https://github.com/Darth-Coin/Poncho-OBW-testing
Do they only exchange signed payment messages without actually linking them to any utxos on chain?
Yes, something like that. Also the HCP node could use wrapped invoices hiding the client nodeID destination.
0 sats \ 3 replies \ @OT 3 Nov
Did Blixt abandon their HC too?
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Blixt never used HC. I don't know from where did you come up with this. Blixt is just a LND node. Nothing else.
HC are used with CLN nodes through Cliche or with Immortan (original LN implementation for HC), and to work with a LND it needs development.
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0 sats \ 1 reply \ @OT 3 Nov
Blixt has dunder channels no? Don't they work in the same way?
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Seems that you don't know what are hosted channels and what is Dunder... Dunder is just an implementation of standard LN LSP inbound channels for Blixt. Hosted channels are something totally different !
Dunder is like what is offering Zeus with the LSPS1 protocol https://lsps1.olympusln.com/ but adapted to Blixt wallet. Eventually Blixt will adopt the LSPS1 as a standard protocol.
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