In the recent past, Bitfury Group put forth a white paper outlining how Bitcoin payments between the users could be enhanced by the in-development micropayment protocol. Over the years, Bitfury Group has been developing and delivering hardware and software solutions. Its major clients have been governments, businesses, individuals and organizations seeking to transit assets across the block chain. The company guarantees its clients of secure, fast, cost-effective and easy connectivity to the block chain. Bitfury Group is renowned for its contribution in development of codes.
The white paper, which has 40 pages, introduces Flare. Flare is a new hybrid routing system (algorithm). In Lightning Network, Flare may prove beneficial to network routing. The objective of the algorithm is to facilitate quick access to the routes courtesy of path discovery. This system is a proof of how Lightning Network can manage the balance between scalability, centralization and performance. At the same time, the network model disregards hostile behavior.
Lightning Network is an additional network to the Bitcoin block chain. Through instantaneous micro transactions, the network is able to increase its utility. In the industry, Lightning Network is regarded as one of the leading networks in terms of block chain scalability. Lightning is a decentralized network that uses smart contract within the block chain to facilitate instant payments across the network. Through Lightning Network, it is possible for individuals to have a secure network that enables them to transact at high speed and high volumes.
Both the members of Lightning Network community and Bitfury believes that the paper will elucidate how various Bitcoin community stakeholders are uniting to find solutions on varying technical challenges. While talking to CoinDesk, the CEO of Bitfury, Valery Vavilov, said that the company decided to partner with the Lightning Network team because the team will enhance scalability to the Bitcoin block chain. This scalability is in reference to the orders of magnitude beyond which the block chain can presently support. According to Bitfury, Lightning Network is able to scale Bitcoin block chain. This way, it would enable financial inclusion and non-financial utilization of block chain technology.
Bitcoin network has been operating on a cryptographic protocol given that it is a peer-to-peer payment network. Bitcoin is open-source. In order to start using Bitcoin, one has to install Bitcoin wallet on his or her computer or mobile phone. The first thing it will do is that it will generate one’s first Bitcoin address. You are free to disclose the address to your family and friends because it can be used as a mode of payment. However, the Bitcoin address should only be used once.
The block chain is regarded as a shared public ledger. The entire Bitcoin network relies on the block chain. The block chain has all confirmed transactions. Bitcoin wallets are able to make accurate calculations on the spendable balance. The wallets can also verify new transactions, especially the spending bitcoins that are owned by the spender. A transaction is considered a transfer between Bitcoin wallets. This transfer must be of value.
Aleksei Ostrovskiy, Slava Zhigulin, Pavel Prihodko and Mykola Sahno are leading researchers. They work at Bitfury. These researchers together with an employee of Lightning Network, Olaoluwa Osuntokun, authored the white paper. The co-founder of Lightning, Joseph Poon, posited that the paper places Lightning Network away from its earlier hub-and-spoke routing models and affiliates it with a centralized node network. The Flare proposal seeks to introduce the concept of beacon nodes. All the parties to the proposal asserted that it was at the simulation stage. This way, more needs to be done in order to validate the technology. Vavilov posited that should the Lightning Network be successful, there would be numerous opportunities for commercialization. Bitfury’s top priority is the Lightning Network. The company will continue to undertake more research and test flare.
