DEVELOPERS ARE TESTING THE PROTOCOL FOR ERC-20 TOKENS EXCHANGE TO BTC IN LIGHTNING NETWORK

On December 12^th, the R&d reported that research laboratory of the TenX startup tested the cross-chain Protocol for the transfer of ERC20 tokens to BTC in the Lightning Network.

The researchers reported that the technical difficulty was that the exchanging ERC-20 tokens, depending on the smart contract, had to be transferred to Satoshi, the smallest exchange unit of the Bitcoin network. The Lightning Network uses HTLC, temporary contracts, to open channels between users and conduct transactions outside the network. The developers of CoBlox “shared HRLC startup on two transactions” – resolving the contract and the transfer request, but they have not been able to connect these two steps:

“The ERC20 transfer function uses msg.sender for authentication. In this case, the transfer request, after the settlement of the contract, sends msg.sender to the address where there are no tokens yet!”

Also, the authors of the development noted that the transfer of cross-chain tokens in the Lightning Network has its own difficulties, which yet limit the functionality of the proposed solution.

The team promises to continue its developing program and solve all this problems. Recall that in June, the engineers of Lightning Labs repeated the exchange of coins between the Ethereum and Bitcoin blockchains, and shared a step-by-step instruction, and in October such companies as iBitcome and Dex.top introduced a new OFGP Protocol that allows transactions between Bitcoin and Ethereum networks, using a special token.

The post DEVELOPERS ARE TESTING THE PROTOCOL FOR ERC-20 TOKENS EXCHANGE TO BTC IN LIGHTNING NETWORK appeared first on Bitcoin News.

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