gandlaf21 on Nostr: The thing is, a channel is actually just an UTXO. You don't want to create UTXOs that ...
The thing is, a channel is actually just an UTXO. You don't want to create UTXOs that are of very low value, because depending on how high the onchain fees are, it might be economically unviable to move the funds in the future.
On chain fees are calculated by the amount of data that gets written to the blockchain, and not by the amount of the UTXO.
If you have a channel that is only 10k sats, you might pay 10-30% fees to close the channel later. If the channel is 100k, that would be 1-3%
. If it's 1M, it's 0.1-0.3%.
these numbers are nit exact, but i hope you get what i mean
Published at
2025-05-16 00:38:50Event JSON
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"content": "The thing is, a channel is actually just an UTXO. You don't want to create UTXOs that are of very low value, because depending on how high the onchain fees are, it might be economically unviable to move the funds in the future.\n\nOn chain fees are calculated by the amount of data that gets written to the blockchain, and not by the amount of the UTXO.\n\nIf you have a channel that is only 10k sats, you might pay 10-30% fees to close the channel later. If the channel is 100k, that would be 1-3%\n. If it's 1M, it's 0.1-0.3%.\n\nthese numbers are nit exact, but i hope you get what i mean\n",
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