hmichellerose on Nostr: So then, we can imagine that Alice wants to open an asset channel to Bob. Alice funds ...
So then, we can imagine that Alice wants to open an asset channel to Bob. Alice funds the channel with a transaction where she uses as an input the UTXO that currently holds her AliceBux.
After the channel opening the Merkle trees that hold that asset data are now “living” in the new UTXO for the Lightning channel.
Currently this will be an unannounced simple Taproot Lightning channel that does contain sats. Taproot Assets is an entirely opt-in protocol. Both the Bitcoin network and the Lightning network don’t need to know anything about Taproot Assets. As such we still need sats to open/close channels, and for use in the HTLC’s in Lightning transactions.
After the channel opening the Merkle trees that hold that asset data are now “living” in the new UTXO for the Lightning channel.
Currently this will be an unannounced simple Taproot Lightning channel that does contain sats. Taproot Assets is an entirely opt-in protocol. Both the Bitcoin network and the Lightning network don’t need to know anything about Taproot Assets. As such we still need sats to open/close channels, and for use in the HTLC’s in Lightning transactions.