Good morning Nadav,

I strongly disagree that I first proposed payment points + scalars for 
Lightning.

My understanding is that Andrew Poelstra first proposed this.
Indeed, his work on Scriptless Script was, to my understanding, primarily 
motivated by a goal of eventually enabling Lightning over a MimbleWimble 
blockchain.
The first main use of Scriptless Script was as a replacement for HTLCs, the 
construction we currently use to enable cross-channel atomic swaps.

(the efforts of Lightning over MimbleWimble have been stymied, I believe, by 
the difficulty of implementing relative locktimes in a MimbleWimble blockchain 
while retaining its "magical shrinking blockchain" property; Andrew Poelstra 
has figured out how to implement absolute locktimes without strongly requiring 
storage linear to block height under MimbleWimble, to my understanding)

The first time I have mentioned the use of payment points + scalars was here, I 
believe: 
https://lists.linuxfoundation.org/pipermail/lightning-dev/2018-March/001100.html

At the time my understanding was already that we would eventually (but not yet 
in the foreseeable future at that time) switch to payment points + scalars.

The "Multi-hop Locks" paper is basically the proposal to use payment point + 
scalar and also provide path decorrelation.

I believe the features we already know to be enabled or enhanced by payment 
point + scalar are:

1.  Path decorrelation. "Multi-hop locks"
2.  "High" AMP 
https://lists.linuxfoundation.org/pipermail/lightning-dev/2018-March/001100.html
3.  Escrow over Lightning.
4.  Stuckless payments.
5.  Pay-for-signature

There may be others.

Regards,
ZmnSCPxj

Sent with ProtonMail Secure Email.

‐‐‐‐‐‐‐ Original Message ‐‐‐‐‐‐‐
On Thursday, July 18, 2019 3:25 AM, Nadav Kohen <na...@suredbits.com> wrote:

> I've gotten a couple questions about the payment point idea. Here are the 
> threads I've seen where ZmnSCPxj mentions payment points may help:
> https://lists.linuxfoundation.org/pipermail/lightning-dev/2019-June/002028.html
> https://lists.linuxfoundation.org/pipermail/lightning-dev/2019-June/002030.html
>
> Nadav
>
> On Wed, Jul 17, 2019 at 1:27 PM Nadav Kohen <na...@suredbits.com> wrote:
>
> > Here is a pretty comprehensive write-up on how to make a DLC: 
> > https://medium.com/crypto-garage/p2p-protocol-based-crypto-asset-derivative-settled-in-bitcoin-on-discreet-log-contracts-13c823448ae8
> > I believe they also put the txid and such of their CET so you can find the 
> > actual script in a block explorer.
> >
> > Also this is always great in case you haven't read it: 
> > https://adiabat.github.io/dlc.pdf
> >
> > Best,
> > Nadav
> >
> > On Wed, Jul 17, 2019 at 1:16 PM Lloyd Fournier <lloyd.fo...@gmail.com> 
> > wrote:
> >
> > > Hi Nadav,
> > >
> > > Interesting. Is there a writeup anywhere of this CET idea that I can add 
> > > to my reading list. I feel like I am missing some background.
> > >
> > > LL
> > >
> > > On Thu, Jul 18, 2019 at 2:56 AM Nadav Kohen <na...@suredbits.com> wrote:
> > >
> > > > Hi Lloyd,
> > > >
> > > > Glad you like it :) And to address your concern, I think that although 
> > > > certainly it is possible for oracles to sell options contracts, it is 
> > > > also possible to have a more decentralized setup with normal DLC 
> > > > oracles (that can be used for all kinds of things as all they do is 
> > > > schnorr sign messages with pre-commited R values), and then have the 
> > > > CETs be 3-of-3 multisig outputs. In this way the oracle is still not 
> > > > learning about the contract, just like normal DLCs.
> > > >
> > > > Best,
> > > > Nadav
> > > >
> > > > On Wed, Jul 17, 2019 at 11:23 AM Lloyd Fournier <lloyd.fo...@gmail.com> 
> > > > wrote:
> > > >
> > > > > Hi Nadav,
> > > > >
> > > > > This is cool idea. I always imagined oracles would either give their 
> > > > > DLC signatures away for free or work via a subscription model.
> > > > >
> > > > > The downside to this proposal is that the seller of the signature 
> > > > > knows which signature they're selling and therefore learns what kind 
> > > > > of contract the buyer must be involved in.
> > > > >
> > > > > LL
> > > > >
> > > > > On Thu, Jul 18, 2019 at 1:37 AM Nadav Kohen <na...@suredbits.com> 
> > > > > wrote:
> > > > >
> > > > > > Hi All,
> > > > > >
> > > > > > I recently posted a proposal here for a scheme through which a 
> > > > > > trusted data provider can utilize the Lightning Network to 
> > > > > > privately sell data where data is received atomically with purchase.
> > > > > >
> > > > > > I've more recently been thinking about situations where a party, 
> > > > > > that is *not* trusted, is attempting to sell its signature to a 
> > > > > > known message. One example of a situation where this would be 
> > > > > > useful is if someone is trying to offer a DLC-like Option contract 
> > > > > > where they are essentially collateralizing themselves in a funding 
> > > > > > transaction and then selling their signatures to Contract Execution 
> > > > > > Transactions (CETs). In this example, we must ensure that the buyer 
> > > > > > of the signatures pays if and only if they receive valid signatures 
> > > > > > for the CETs which are known.
> > > > > >
> > > > > > I believe that this is achievable in a relatively straightforward 
> > > > > > way if we were to use ZmnSCPxj's proposed payment points with 
> > > > > > scalars (as opposed to payment hashes with pre-images). The 
> > > > > > (Schnorr) signature seller could give the buyer their one-time 
> > > > > > public key, `R = k*G`, through which the buyer could compute the 
> > > > > > payment point whose scalar is the seller's signature: `sig*G = R + 
> > > > > > h(m, R)*A` where `A` is the seller's public key. Using this value 
> > > > > > as the payment point, the buyer could be assured that they pay if 
> > > > > > and only if they receive `sig` from the seller, where `sig` is the 
> > > > > > desired valid signature of `m`!
> > > > > >
> > > > > > Best,
> > > > > > Nadav
> > > > > > _______________________________________________
> > > > > > Lightning-dev mailing list
> > > > > > Lightning-dev@lists.linuxfoundation.org
> > > > > > https://lists.linuxfoundation.org/mailman/listinfo/lightning-dev


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