Lightning Network User Retrieves Most of the Lost Funds of 4 Bitcoin (BTC)

    There was a commotion from a Redditor user losing 4BTC through the Lightning network. The unfortunate user, ZippoTm claimed to have lost the funds after force closing a channel using an older invalid state.

    I'm the guy who "lost" ~4 BTC on Lightning Network from Bitcoin

    On lightning, the distribution of funds occurs when a channel gets closed, and the protocol refers to the most recently signed balance sheet. If you force close using an older invalid state, they can take your money while it is time-locked if their node is online.

    How did it Happen?

    The fact that a user could lose a 4BTC worth fund is a clear indication that the technology wasn't ready for close – down use. However, part of the situation was caused by the user due to incorrectly closing the payment channels.

    Most people are worried about how insecure the lightning network has turned out to be; some people only invest with only what they are willing to lose. The disastrous story has brought about an alarming trust issue at the platform.

    However, the user confirmed that the lightning Network has put in place all efforts to support him and has ensured him that he has recovered most of the lost coins.

    Rectifying the Lightning Network Incident

    The Redditor user gave various advice in this regard.

    If you have a physical server always use UPS power supply to prevent power fails, also if you want to force-close channels, always do it manually, one-by-one when your node is fully synced. Create SCBs (static channel backups) every time after opening a new channel and keep your 24 words seed. After pressing the “RETURN” button, don't panic, wait, and don't press Ctrl + C (like me) instantly after that. Inform yourself how that system works before sending a higher amount of coins there.

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    Daniel W
    Daniel W
    Daniel Wambugu writes daily cryptocurrency and blockchain related articles BitcoinExchangeGuide. His articles have appeared in numerous blogs, media publications, and community forums. He prides himself on once being a beginner and uses his experience to deliver high-quality insightful content for our dear readers. With a knack for reviewing ICOs or researching news, Daniel plans to continue being a top contributor for many years to come.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


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