And one more question.

I see on the github README that the proxy "validates and redeems the token" .

What is meant be "redeem"? I assume it doesn't mean melting and reminting to prevent double spending? That would need to be done as a follow-up?

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Yes. It melts and remints to prevent double spending. Users get a response online after this process.

only after this process*

Fantastic! Nice work.

And thanks for all the help/responses!

And I see the .env requires an NSEC, which I would rather not provide. But it looks like it's used in the cashu.py (haven't dug into it) maybe for creating the cashu wallet/identity (whatever the term is) and for validation etc.

Do I need to use the same nsec for announcements as the cashu wallet?

I would assume so.. that the npub of the announcement is used by routstr client for sending the cashu tokens, and then the cashu wallet uses the same nsec to redeem/validate the tokens.

No. Not actually. The nsec is used to store your Cashu balances in Nostr relays using Nip60. You publishing an event on Nostr is only for discoverability.

Thanks for clarifying!