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Former Lightning Developer Raises Security Concerns, Criticizes Profit-Centric Approach

Algoine News
Summary:
Former Lightning Network developer, Antoine Riard, has expressed concern about Bitcoin layer 2 Lightning Network developers prioritizing profits over security. After leaving the Lightning community over vulnerabilities to a new attack vector called “replacement cycling,” Riard is urging Lightning developers to collaborate with other Bitcoin base layer developers to ensure long-term network security. He also criticizes venture capitalist-backed firms for risking Lightning's mission and security incentives for profit. Despite these security flaws and trends towards centralization, Lightning hasn't experienced significant attacks as users typically hold limited funds in their wallets.
Concerns have been raised by former Lightning Network developer, Antoine Riard, regarding a perceived shift in focus amongst Bitcoin layer 2 Lightning Network developers. According to Riard, there is less emphasis on security with companies prioritizing generating profits for their backers. Riard, a Bitcoin core developer as well as a security researcher, parted ways with the Lightning community due to concerns about a novel attack vector named “replacement cycling.” This form of attack, which has been the subject of much discussion, allows potential thieves to steal funds by targeting payment channels. Riard had previously emphasized that this new category of attacks position Lightning in a significantly risky situation, despite some contrary opinions. Currently, Riard is addressing the problem at the Bitcoin base layer, and recommends that Lightning developers do the same, suggesting they cease their complacency and join forces with other base layer developers. He maintains that developing a resilient and sustainable solution is imperative for safeguarding Lightning's long-term decentralization and openness. Riard has criticized many firms concentrating on Lightning for placing its mission and security incentives in jeopardy to appease venture capitalists. He believes these actions are harming end-users and conform to the "tragedy of the commons" pattern, where people deplete a public resource for their personal benefits. Riard is particularly concerned over these venture capitalist-backed Lightning companies' apparent willingness to compromise on decentralization. He conceded that centralized systems can be efficient but warned of the risks associated with them, including points of systemic failure and the potential for user censorship. Riard unequivocally does not want any part of an acceptable Lightning future after leaving the Lightning project on October 20. Despite these threats, Riard noted that the Lightning Network is still the best solution currently available. He identified several fundamental flaws which he believed rendered the system ultimately unsuitable for Bitcoin in the long run. The Lightning Network, which is a second-layer solution built upon the Bitcoin blockchain, enhances Bitcoin's scalability and efficiency. Nevertheless, its vulnerability to a new attack—known as the "replacement cycling" attack—that permits an attacker to steal funds from a channel participant by manipulating discrepancies between individual mempools is concerning. Despite these vulnerabilities and a potential centralization trend, Riard stated that Lightning had not experienced as many attacks as numerous Ethereum layer 2s, primarily because Lightning users typically keep only a limited amount of funds in their wallets at any one time. A total of $194.1 million in BTC is currently stored in the Lightning Network.

Published At

11/26/2023 11:46:06 PM

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