Nanotip LApp: Blockstream’s Lightning Network Bitcoin Tipping?
Lightning Apps are quickly spreading across the cryptocurrency landscape. LApp had been originally designed for use on Bitcoin and in fact Bitcoin were the first coins to implement the concept. It had been praised by technology experts as a way to make transactions faster and cheaper by moving them a layer above the blockchain. Now, AltCoins like Litecoin, Zcash, Ethereum and Ripple are either planning to or already implemented lightening network in some form or the other. Many other companies, mostly of whom are in the early stages, are interested in working with the technology.
Elements is an open source, protocol-level technology what developers can use to extend the functionality of Bitcoin and explore new applications of Blockchain. They are the minds behind NanoTip.
NonoTip is a simple web server for accepting lightning donations. It generates Lightning invoices on the fly using a Lightning Charge server, allowing users to set up a tip jar that accepts Lightning Networks payments.
Blockstream, a platform dedicated in innovation of sidechains(a technology invented to extend the capabilities of Bitcoin’s Blockchain), had announced the launch of NanoTip, which is third in the series of Lightening Apps(Lapps.)
What Problem Does NanoTip Solve?
Tipping is an important way to support content creation and other free to consume services on the internet. Bitcoin has been a good tool to support online tipping, however, they come with problems attached to them. Using a Bitcoin address for tipping comes with a good deal of privacy entanglement due to its inherent characteristics related to transparency. The longer a tipping address remains static, the greater the chance that the correlation can occur. This reduces the pseudonymous privacy on the Bitcoin network of the recipient.
How Do They Solve It?
Nanotip uses the power of the Lightning Charge micro-payment processing system to test Blockstream’s c-lightning implementation of the Lightning Network. Nanotip LApp solves Lightning’s payment request problem for tipping by creating an easy to use and uncomplicated web server that writes Lightening payment requests on the go.
Essentially, they will be issuing all the content providers their own virtual tip-bot, which gives all the autonomy to the creators while giving a stronger sense of privacy than the traditional Bitcoin tipjar. Subscribers of an online creator or service provider can choose exactly the amount they want to tip. They receive Lightning invoice for the tip provided at lightning speeds.
How Do You Use NanoTip?
You can give Nanotip a try for experimentation with combining c-lightning and Lightning Charge on testnet to collect micro-payments for content or services. This is in preparation for the release of c-lightning beta release. Or you can test drive it to get a feel of how a Lightning charge works. All the things required to start this are a testnet node, a Lightning Charge server and the NanoTip LApp.
A point to be notes is that NanoTip uses Lightning Charge’s built in checkout page which means that the Lightning Charge server must be publicly accessible to users.
Lightning is perhaps the most important protocol innovation happening in the cryptocurrency space right now. When they come fully online, any community not prepared for scalable off-chain solutions is going to get left in the dust. NanoTip will become a necessity to obtain donations in Bitcoins(or other cryptocurrency) in the near future. If you want to take a closer look at the source code and other technical details of NanoTip, you can visit https://github.com/ElementsProject/nanotip .