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Lot49

This project exists to explore and simulate ideas for a Layer 2 based payment protocol optimized for incentivizing data delivery in an adhoc mesh network.

Protocol Summary

  • Sender nodes source route message data (think SMS, not TCP/IP) to Destination nodes.
  • Sender nodes include a payment if routing via Relay nodes or internet Gateway nodes.
  • Nodes that relay data for a Sender collect a payment only if the Destination node receives the message data.
  • Payment transactions are verified and settled on a decentralized ledger using online Witness nodes.

Lot49 Network Overview

Simulated Radio Specifications

  • Message Size - up to 236 bytes per message
  • Data Rate - 5 messages per minute
  • Range - 1600 meters

Fixed Simulation Parameters

  • Simulation Rate - 1 update per minute
  • Message Size - size of payload messages (excluding headers) (50 bytes)
  • Area - size of mesh area (5 x 5 km)
  • ID size - size of node ID (2 bytes)
  • Incentive Header Overhead - 4 bytes + relay path + signature (see below)
  • Message Hash - size of message hash (32 bytes)
  • Relay Incentive - how likely a node is to relay without incentives (0%, incentives only)
  • Send Incentive - how likely a node is to send a message with an incentive (100%)
  • Broadcast Success - per broadcast chance of delivery success for message sent from node A * to B based on distance and local node density (100% if in radio range, otherwise won’t send)
  • Correspondents - number of other nodes to communicate with (1 other node for each node in the simulation, always next node numerically)
  • Duration - how long to run the simulation with the same set of peers and correspondents. (up to 120 minutes)
  • Channel Size - default channel starting number of tokens (2000 tokens)
  • Relay Cost - default number of tokens taken per relay (1 token)
  • Prepaid Cost - default number of tokens prepaid to send a message (# of hops + 1 token)
  • Setup Failure - chance a channel setup transaction is not valid, ie. double spent (0%)
  • Pause Time - how long will nodes pause once they have reached their random waypoint (5 minutes).
  • Radio Range - successful radio broadcast distance (1600 meters)
  • Count Single Hop Correspondents: No, only when originated message is sent via a relay.
  • Speed - speed that nodes move (85 meters per minute - walking pace)

Variable simulation parameters

  • Density - average number of nodes per square meter (0.5, 1, 2 or 3 node per sq km)
  • Signature Size - size of aggregate signature (32, 48, 64 or 96 bytes)
  • Gateways - percent of nodes acting as gateways
  • Witness Channel Setup - confirm new channel setup transactions immediately vs. deferred confirmation

Lot49 Simulation

FAQ

Q: Why not use the current Bitcoin network to settle payment transactions?

Currently Bitcoin uses ECDSA signatures that can not be non-interactively aggregated like BLS signatures can. Bitcoin also does not support SIGHASH_NOINPUT which is required for the eltoo update scheme.

Q: Are there any alternatives to using BLS signatures and non-interactive signature aggregation?

A: It may be possible to use Schnorr based Multisignatures to accomplish nearly the same level of overhead reduction as the more general BLS signature aggregation.

Q: Are there any alternatives to using the eltoo update scheme?

A: The current Lightning Network revocation system could also be made to work, but it would be more complicated and require more communication overhead.

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