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​​​​​​​​​​➡️Lightning Introduces “Loop” To Keep Its Payment Channels Open

The Lightning Network is well known as an off-chain Bitcoin payment protocol that offers faster and cheaper transactions. Now, it has announced a related service called Loop, which will make it easier for users to receive a continuous flow of funds. This will also ensure that payment channels stay open. Lightning explains the current situation:

“Lightning channels are like tubes of money: the more you send the more you can receive, and the other way around. Money moves around in the tube, but the total amount of funds remains constant … Lightning requires ‘inbound capacity’ in order to receive funds.”

Right now, users are responsible for ensuring that their channels have a large enough capacity to handle incoming payments. Often, that involves opening a new channel when a previous channel reaches its capacity. It is possible to refill and rebalance channels, but this is not straightforward. Loop will make things easier.

Crypto Yoda
​​​​​​​​​​➡️Lightning Introduces “Loop” To Keep Its Payment Channels Open

The Lightning Network is well known as an off-chain Bitcoin payment protocol that offers faster and cheaper transactions. Now, it has announced a related service called Loop, which will make it easier for users to receive a continuous flow of funds. This will also ensure that payment channels stay open. Lightning explains the current situation:

“Lightning channels are like tubes of money: the more you send the more you can receive, and the other way around. Money moves around in the tube, but the total amount of funds remains constant … Lightning requires ‘inbound capacity’ in order to receive funds.”

Right now, users are responsible for ensuring that their channels have a large enough capacity to handle incoming payments. Often, that involves opening a new channel when a previous channel reaches its capacity. It is possible to refill and rebalance channels, but this is not straightforward. Loop will make things easier.
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​​​​​​​​​​➡️Lightning Introduces “Loop” To Keep Its Payment Channels Open

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