Payment Channels in Stellar Blockchain

Authors

  • E. S. Shcherbina Vinnytsia National Technical University
  • V. І. Mesiura Vinnytsia National Technical University

DOI:

https://doi.org/10.31649/1997-9266-2022-160-1-76-81

Keywords:

cryptocurrency, blockchain, payment channels, off-chain transactions, stellar blockchain, blockchain scaling

Abstract

The article is devoted to the topic of payment channels and their practical implementation in the Stellar blockchain. The general idea of payment channels and technical details that are inherent in their implementation in the Stellar blockchain are described.

The technical details of the Stellar blockchain are given, namely the Stellar accounts, transactions and operations are described. The types of stellar operations that will be used in the article are given. It describes in detail what properties a transaction must satisfy in order to be considered correct from the point of view of a stellar blockchain.

The protocol of payment channels on a stellar blockchain is described, the corresponding diagrams are given. The main actors and elements of payment channels are described. The role of the respective accounts is explained, namely the host account, the guest account and the escrow account. The role of the transactions used in the protocol is explained, namely the funding transaction, the bump sequence transaction and the settlement transaction. The scheme shows the order in which transactions are published.

The process of exchanging off-chain transactions is described in detail. To illustrate the dependence of transactions on each other, a diagram of positive and negative cases of publication of transactions is given.

The last section discusses the mechanism for invalidating obsolete commitment transactions through time limits on the publication of transactions. The timing chart shows which transactions can be published at a specific point in time. The need for a time delay between the publication of a bump sequence transaction and a settlement transaction is explained. The need to use the properties of the sequence number of the account and transactions is explained.

Author Biographies

E. S. Shcherbina, Vinnytsia National Technical University

Post-Graduate Student of the Chair of Computer Science

V. І. Mesiura, Vinnytsia National Technical University

Cand. Sc. (Eng), Associate Professor, Professor of the Chair of Computer Science

References

Harding, Almkglor. “Payment channels,” 2015. [Electronic resource]. Available: https://en.bitcoin.it/wiki/Payment_channels .

Ladislav Mecir, “Lightning Network,” 2020. [Electronic resource]. Available: https://en.wikipedia.org/wiki/Lightning_Network .

Joseph Poon, and Thaddeus Dryj, “The Bitcoin Lightning Network: Scalable Off-Chain Instant Payments,” 2016. [Electronic resource]. Available: https://lightning.network/lightning-network-paper.pdf .

Carl Vitullo, and Jeesun Kim, “Accounts,” 2018. [Electronic resource]. Available: https://developers.stellar.org/docs/glossary/accounts/ .

Carl Vitullo, and Jeesun Kim, “Multisigm” 2018. [Electronic resource]. Available: https://developers.stellar.org/docs/glossary/multisig/.

Carl Vitullo, and Jeesun Kim,“Transactions,” 2018. [Electronic resource]. Available: https://developers.stellar.org/docs/glossary/transactions/ .

Carl Vitullo, and Jeesun Kim, “Operations,” 2018. [Electronic resource]. Available: https://developers.stellar.org/docs/glossary/operations/ .

Carl Vitullo, and Jeesun Kim, “List-of-operations,” 2018. [Electronic resource]. Available: https://developers.stellar.org/docs/start/list-of-operations/#bump-sequence

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Published

2022-03-31

How to Cite

[1]
E. S. Shcherbina and Mesiura V. І., “Payment Channels in Stellar Blockchain”, Вісник ВПІ, no. 1, pp. 76–81, Mar. 2022.

Issue

No. 1 (2022)

Section

Information technologies and computer sciences

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