Topic: [2019-10-24] Lightning Network User Reportedly Loses 4 Bitcoin: What Happened - page 2. (Read 366 times)
October 24, 2019, 05:07:28 PM
That's a huge money to risk. He shouldn't have done that because Bitcoin network right now is not that congested. Besides few people are using Lightning Network because they know the risk or even the normal transactions. They're irreversible. I don't know that Bitcoin is using Lightning Network now. Thestakes on the user's end. Not the network itself. Maybe he send to a wrong address and didn't even check if it's the correct address.
October 24, 2019, 04:27:15 PM
Max. you should put on LN is $500 and that's if you are a risk taker. Normally $200 would do great. If you are putting 40k on that thing you are insane or dumb or both.
You could use these analogies:
How much cash do you take with you in your wallet? $500 max really, anything can happen, and everyone can see the giant stacks of high value bills every time you open it if you do
How big a credit card limit do you agree to when it's 1968 when credit cards are brand new? Not so big, it's new tech, and you're responsible for the tab if anything goes wrong
So when it's one new form of tech (Bitcoin) with another riding on top (payment channels), AND everyone tells you it's inherently risky too, well, I'm not sympathetic to this person, let's put it that way
October 24, 2019, 03:48:01 PM
Thank you for the TLDR, I wonder if they'll publish a story every time someone does something stupid.
e.g. Person using the euro fiat network loses 40,000 euros after they burn the money while trying to start a campfire.
e.g. Person using the euro fiat network loses 40,000 euros after they burn the money while trying to start a campfire.
It doesn't even make any sense to use LN with that big amount. You should only use LN for coffee purchases (by coffee I mean all the crap which sells for ~$5-10.)
Max. you should put on LN is $500 and that's if you are a risk taker. Normally $200 would do great. If you are putting 40k on that thing you are insane or dumb or both.
October 24, 2019, 03:37:59 PM
Thank you for the TLDR, I wonder if they'll publish a story every time someone does something stupid.
e.g. Person using the euro fiat network loses 40,000 euros after they burn the money while trying to start a campfire.
e.g. Person using the euro fiat network loses 40,000 euros after they burn the money while trying to start a campfire.
October 24, 2019, 03:31:10 PM
tl;dr
moral of the story: don't sign a smart contract if you're, uh, not smart
seriously though, even one of the Lightning devs did this accidentally one time, although I don't think 4 BTC was lost (really, 4BTC? this person was taking the whole reckless thing too far)
- user wanted to close a channel
- user sent the wrong tx, an old one (always use the newest to close any channel)
- the other side of user's channel automatically assumed this was a cheating attempt
- it's in the smart contract that you lose everything if you close using an old tx
moral of the story: don't sign a smart contract if you're, uh, not smart
seriously though, even one of the Lightning devs did this accidentally one time, although I don't think 4 BTC was lost (really, 4BTC? this person was taking the whole reckless thing too far)
October 24, 2019, 03:30:18 PM
It's from Dash. And at the top it clearly says "Opinion". (Nothing wrong with Dash, but maybe the news would look better if it came from somewhere else.)
October 24, 2019, 02:11:18 PM
Lightning Network User Reportedly Loses 4 Bitcoin: What Happened
Dr. Darren Tapp Research Assistant Professor at Arizona State University Blockchain Research Lab explains what happened to the users reported loss of 4 Bitcoin when using the Lightning Network.
A Lightning Network user reportedly lost 4 Bitcoin, but don’t call it weird.
The original design of Bitcoin had a user submit a transaction to any node. That node would share the transaction around the whole network, and the transaction would almost always be included in a block that is secured with proof of work. Subsequent blocks would be found, each one increasing the amount of work needed to reverse the payment. This setup created an abstractly beautiful game theoretic solution where a bad actor would have incentive to support the network instead of attack the network. In the literature we have called information that is included in a block as part of a growing blockchain to be under a Nakamoto Consensus.
The Lightning Network supports metadata associated to the blockchain, though this metadata is not secured by a Nakamoto Consensus. In theory, this metadata could be secured and updated on chain from time to time. In practice, this can be costly/difficult due to on chain restrictions of Bitcoin.
How the Lightning Network works
Jump to: