matt on Nostr: There's a number of ways to do inbound fees in lightning. The naive method would be ...
There's a number of ways to do inbound fees in lightning. The naive method would be to just slap extra data on the routing information announcements and tell people to pay you more in fees. Of course that doesn't work because users are free to ignore your demands (otherwise how would you roll it out over time - you don't want to reject all payments from old nodes), so the naive fix would be to just make inbound fees negative-only.
Some time ago Rusty Russel proposed a much better way to do this - instead tell your counterparty "hey, I need an inbound fee of X" and your counterparty can add that extra fee to *their* announcement - the same way they announce today. This means no one else in the network needs to upgrade and you can do positive (and marginally negative) fees without any headache. It requires a tiny bit more code on the client side, but avoids the upgrade headaches and usage restrictions.
Guess which version lnd is gonna ship? Hint: its not the better one. I guess luckily we have a spec process so that lnd gets feedback, they just choose to ignore it.
Published at
2023-01-08 03:20:34Event JSON
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"content": "There's a number of ways to do inbound fees in lightning. The naive method would be to just slap extra data on the routing information announcements and tell people to pay you more in fees. Of course that doesn't work because users are free to ignore your demands (otherwise how would you roll it out over time - you don't want to reject all payments from old nodes), so the naive fix would be to just make inbound fees negative-only.\n\nSome time ago Rusty Russel proposed a much better way to do this - instead tell your counterparty \"hey, I need an inbound fee of X\" and your counterparty can add that extra fee to *their* announcement - the same way they announce today. This means no one else in the network needs to upgrade and you can do positive (and marginally negative) fees without any headache. It requires a tiny bit more code on the client side, but avoids the upgrade headaches and usage restrictions.\n\nGuess which version lnd is gonna ship? Hint: its not the better one. I guess luckily we have a spec process so that lnd gets feedback, they just choose to ignore it.",
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