Sentences with phrase «mechanism for micropayments»

The idea behind the project, which is a simpler take on the still - in - development Raiden network, is to provide a mechanism for micropayments similar to bitcoin's Lightning network.

Not exact matches

However, for the time being, the mechanism needed to implement the Sprite micropayment channels makes use of functions that can not currently be executed in bitcoin script (but could be run on the ethereum blockchain).

The Lightning Network expands on the Bitcoin Blockchain's basic transaction functionality by providing a means for users to execute smart contracts on the blockchain itself, providing for a mechanism for users to establish near - instant micropayments without the need to offload transactions to a custodian, which makes small payments impractical because the fees might be more expensive than the transaction itself.

Through time - lock and hash - lock mechanisms and a trust-less system wherein transactions can be committed while broadcasting to the rest of the Blockchain at a later time, users can send as little as 0.00000001 BTC, or 0.01 bits, without the need for custodian fees (which can make such micropayments impractical otherwise).