From cjp at ultimatestunts.nl Sun Aug 30 17:30:09 2015 From: cjp at ultimatestunts.nl (CJP) Date: Sun, 30 Aug 2015 19:30:09 +0200 Subject: [Lightning-dev] Loop attack with onion routing.. In-Reply-To: References: <874mjujyqe.fsf@rustcorp.com.au> <1440870652.4197.88.camel@hppg6.kloosterkade> Message-ID: <1440955809.5747.22.camel@hppg6.kloosterkade> > Well-behaving nodes will always pay the fine, thereby keeping > their link > intact and keeping a healthy network of well-behaving nodes. > > > ?The thing that I can't get to work out here is when you have a > misbehaving node at the end of a chain, who doesn't pay their fine, > but well-behaved nodes making up the rest of the chain. > If all fines are accumulated towards the payee side, the effect would be that the last well-behaving node has to pay the fine. So we've punished an innocent party. Luckily, this innocent party can prevent further damage by closing the channel to the real bad guy. If the risk of paying fines because of mis-behaving neighbors is really significant, you could demand non-trusted (e.g. anonymous) neighbors to pre-pay a fine fund to you, before you start routing payments towards them. Of course you could also try to design a cryptographic payment channel method for enforcing fine payment, but I think that, by now, we're already so deep into 2nd-order, 3rd-order etc. effects that it might not be worth the added complexity. You should keep things simple to make them work reliably and have them implemented in time. CJP