Blockstream to Implement Lightning in Liquid Sidechain

Adam Beck, the CEO of Blockstream believes that now networks of different levels can interact with each other efficiently and seamlessly for users
04 July 2019   2051

The developer of Blockstream, under the name of grubles, told in his blog that users of the Liquid Sidebar could open the Lightning Network payment channels using c-lightning implementation.

This makes it possible to conduct quick and private transactions with the Liquid-BTC asset (L-BTC). In the future, the developer notes, this function, along with Confidential Transactions, will work with all assets of the Liquid network through payment channels Lightning Network.

According to Adam Beck, the CEO and co-founder of Blockstream, now, thanks to new developments, networks of different levels can interact with each other efficiently and seamlessly for users.

Liquid is a federated sidecoin of Bitcoin, functioning as a settlement and payment network for cryptocurrency exchanges, market makers, brokers and other financial institutions.

Lightning Network (LN) is a payment protocol that allows for low-cost and instantaneous transactions, which is also a solution to the problem of Bitcoin scalability. According to 1ML, currently 8944 LN nodes are in operation, interconnected by 34,291 payment channels.

Potentional Vulnerabilities Found in ETH 2.0

Least Authority have found potentional security issues in the network P2P interaction and block proposal system
26 March 2020   919

Technology security firm Least Authority, at the request of the Ethereum Foundation, conducted an audit of the Ethereum 2.0 specifications and identified several potential vulnerabilities at once.

Least Authority said that developers need to solve problems with vulnerabilities in the network layer of peer-to-peer (P2P) interaction, as well as in the block proposal system. At the same time, the auditor noted that the specifications are "very well thought out and competent."

However, at the moment there is no large ecosystem based on PoS and using sharding in the world, so it is impossible to accurately assess the prospects for system stability.
Also, information security experts emphasized that the specifications did not pay enough attention to the description of the P2P network level and the system of records about Ethereum nodes. Vulnerability risks are also observed in the block proposal system and the messaging system between nodes.

Experts said that in the blockchains running on PoS, the choice of a new block is simple and no one can predict who will get the new block. In PoS systems, it is the block proposal system that decides whose block will fall into the blockchain, and this leads to the risk of data leakage. To solve the problem, auditors suggested using the mechanism of "Single Secret Leader Election" (SSLE).

As for the peer-to-peer exchange system, there is a danger of spam. There is no centralized node in the system that would evaluate the actions of other nodes, so a “malicious" node can spam the entire network with various messages without any special punishment. The solution to this problem may be to use special protocols for exchanging messages between nodes.