Replying to Avatar Colby Serpa

Great quote:

“Currently, a Lightning Network channel is effectively a bet that the channel counterparty will be receiving funds: this is precisely the "predict largest gross income" problem.

By using a sidepool to help the liquidity of existing channels, a forwarding node operator is instead taking the bet that *at least one* of the other participants in the sidepool will be receiving funds.”

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Colby Serpa 2y ago

Not sure yet if Lightning sidepools are better than CTV at achieving this, but the problem is well outlined in this quote.

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