Lightning cryptocurrency exchange

Exchange Bitcoin Lightning Network to Zcash

A brief history of the Lightning Network

The Bitcoin community has long been baffled by the scalability issue. The speed of transactions fell, and the network fees grew. In 2015 Thaddeus Dria and Joseph Poon proposed a solution called the Lightning Network. The idea was to carry out some of the transactions outside the network, thereby reducing the load on the BTC blockchain. In 2018, the Lightning Network was launched in Bitcoin.

The Lightning Network is a system that helps users move funds among themselves without having to use a blockchain to verify a transaction. Instead, there is a quick check of funds from the sender and a request from the recipient who agrees to the transaction.

Problems that may arise when sending Lightning Network

1. If an error occurs when you try to send the Lightning Network, then most likely it happened due to the lack of channels. The Lightning Network requires links between nodes. If your wallet allows you to open channels yourself, then you can open a channel with FixedFloat.
   FixedFloat Node:
   037[email protected]lnd.fixedfloat.com:9735
   
   For more information on how to do this, see our article "How to start using the Lightning Network?".
2. If you see a "Payment in transit" message when sending the Lightning Network, it means the Lightning Network has been sent, but there is a problem with intermediate nodes. You need to wait for the final invoice payment or refund.

Lightning Network Speed and Fees

Since transactions on the Lightning Network do not end up on the blockchain, they are almost instantaneous. But if one of the intermediate nodes is off the network, the transaction may be delayed.

The fee depends on the intermediate channels through which the payment passes. Usually it is almost zero. But it so happens that some channels charge a high fee for passing the payment. It can reach up to 1% of the amount.

Zcash — the first truly anonymous cryptocurrency

Zcash — a decentralized cryptocurrency developed by Zerocoin Electric Coin Company in 2016. The main feature is the ability to send truly hidden payments, which provide a high level of security and anonymization. Since the Zero-Knowledge protocol is used, the blockchain does not get full open transaction information.

Address Types

There are 2 types of addresses: a z-address, which is protected by a zero-disclosure proof protocol and is anonymous, and a t-address, which is public. Today 95% of ZEC addresses are open.

Transaction processing speed on the Zcash blockchain

ZEC is a relatively fast blockchain. The average formation time of a new block is approximately 2.5 minutes, which is several times faster than Bitcoin. The developers plan to improve the software and even switch to a completely new blockchain in the future, reducing the complexity of mining. This will reduce the time to confirm one transaction to 1-5 minutes.

Zcash network fee

Cryptocurrency Zcash gained great popularity not only due to anonymity. Many users rated the extremely low fee on transfers. For example, for 2019, it did not exceed $0.0007, and the average figure was in the range of $0.0001.