So now we know the entire means of bitcoin functioning and the way Bitcoins can be used for making all kinds of actual transactions. Bitcoins are exchangeable for fiat forex via cryptocurrency exchanges and can be utilized to make purchases from merchants and retailers that accept them. Greg Sanders: Yeah, if I can bounce in. Mark Erhardt: So I’m questioning, considered one of the problems that seems to leap out when i hear you speaking about that is, what if one aspect keeps making updates but not concluding it? And we’ve at all times gone again and forth between those, because we don’t know if we should do a less complicated version first and look forward to later to do a much more complicated version, or if we should simply jump to the more advanced model right now. Because we’ve all the time been discussing the fact that saying, having the channel announcement level to a particular onchain output, was quite unhealthy for privateness and that we may most likely do better. So, those are issues that we’ve always been just hand-wavy about how we might do that in the future. Read More: Amid value drops and increased regulation, what’s the way forward for cryptocurrency?  
But I don’t think we’ll assist you to have any kind of multiplier, as a result of one among the other ideas was that you could possibly additionally simply announce some UTXOs that you own, with the proof that you simply own them, with a complete value of, for instance, 2 bitcoin, and then that might grant you the power to announce up to X occasions that in channels without having to level to any particular onchain output. I didn’t think it was too dangerous, however the one key difference right here is that for the payment channels with penalties as currently designed, it’s necessitating that you just store these secret nonces ceaselessly until channel close. These charts are cardinal part of the entire affair as with them traders are ready to foretell the movement near accuracy. But, realizing that the markets by no means shut is a useful safeguard to have. If in case you have one other Lightning-like channel specification that you just coded up or a custom channel type, you may also include that on this channel announcement and it will just work. That’s why we’re not doing that proper now, and that’s why most people will just keep announcing the output that basically corresponds to the channel so that when it will get spent, folks actually discover it and can take away it from that graph and know that they can not route by means of that channel anymore.  
I believe we’re going to persist with a simple version, the place you permit pointing to any sort of output to pay in your channel. PTLC fixes that by ensuring that as a substitute of utilizing the preimage of a SHA256 hash and its hash, we’re going to make use of elliptic curve points and their non-public keys. This may seem pointless on condition that BIP32 already supplies prolonged non-public keys (xprvs) that can be shared between signing wallets. Maybe we can begin with t-bast. Can the channel keep open when the UTXO will get spent? And however, how do you guantee that the identical UTXO isn't reused for the announcement; and what happens if that UTXO will get spent? So, will we need to be protecting observe of the UTXO actually not being moved whereas it is the stand-in to have introduced the channel? Mike Schmidt: The taproot and MuSig2 channel dialogue considerably leads into the up to date channel announcement discussion and the way gossip protocol would should be upgraded as a way to assist transferring to P2TR outputs. So, we'd like to change that, because we need to permit taproot, which means permitting also enter, especially if we use MuSig2; we don’t wish to reveal the internal keys.  
And right now, it’s going to use the same payment hash with all these nodes, which means that if someone owns two of the nodes in the trail, they're learning information, and this is bad for https://youtu.be/W-k9oRUwUsI privacy. Right now, whenever you send a payment, this fee is going to go through multiple nodes on the community. Bastien Teinturier: Sure. So right now, when we introduced the channel on the network, we explicitly announced node IDs and the Bitcoin keys that are inside the multisig 2-of-2, and other people verified that the output that we're referencing is actually locked with the script hash of multisig 2-of-2 of these two keys, so you may solely use it with scripts that really follow the format of Lightning channels with out taproot. Mike Schmidt: Murch or t-bast, some other feedback on taproot and MuSig2 channels? Mike Schmidt: Go forward, Murch. Mike Schmidt: Next section from the Summit discussed PTLCs and redundant overpayments. Bastien Teinturier: Okay, so PTLCs are a change that's allowed by taproot and adaptor signatures.