This week an individual revealed he had completed the first trustless swap by trading on-chain bitcoin cash (BCH) for off-chain bitcoin core (BTC) using Alex Bosworth’s submarine swap protocol.
Also read: Illegal Activity No Longer Dominant Use of Bitcoin: DEA Agent
On-Chain Bitcoin Cash Submarine Swapped for Off-Chain BTC
The decentralized cryptocurrency bitcoin cash (BCH) was traded over the Lightning Network this week for off-chain bitcoin core (BTC). According to an individual on Reddit named u/Darkdeepths, he says he’s been fortunate to see Bosworth’s submarine swap testing and decided to test the protocol himself. The submarine swap protocol is an atomic on-chain and off-chain trading platform created by Bosworth that allows a person to use on-chain funds to pay for an off-chain Lightning invoice. Users can test the protocol with testnet coins and the process was recently used by Jason Wong for an on-chain litecoin (LTC) transaction traded for an off-chain BTC transaction. The Reddit user Darkdeepths decided to utilize bitcoin cash for the experiment two days ago.
Darkdeepths BCH for BTC submarine swap.
“I’m trustlessly swapping On-Chain BCH for Off-Chain BTC,” explains Darkdeepths. “I am fortunate enough to get a look at some of the cool submarine swap technology that Alex Bosworth is building — I decided I wanted to test turning some of my on-chain BCH to Lightning Network BTC.”
I created a Lightning wallet on Moneni.com and generated the Lightning invoice there. Alex already had channel capacity, so all I needed to do was enter the invoice and pay the script that he provided. His service also returned a payload with a redeem script and a block height after which I could claim a refund (in case things went south).
Concepts like
