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zerofeerouting/channel-opening-service.md

Last active June 24, 2023 22:39
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zero fee routing - channel opening service
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channel-opening-service.md

Channel opening service

I will open a channel to you with my on-chain funds for a fee.

⚡ https://zerofeerouting.com ⚡

If you have any questions, please reach out to me via Twitter or telegram. I rarely look in the comments of this gist.

How much is a channel?

The price for the channel depends on the size and can be calculated as:

[size] * 0.0075 + 2,500

A 10M channel (0.1 BTC) would cost 77,500 sats.

What channel size do I recommend?

If you buy the channel in order to increase your routing, I recommended a size between 5M and 20M, depending on the size of your other channels.

The smallest channel I sell is 1M (10,000 sats).

Is there a money-back guarantee?

Yes there is. If you're not happy with your purchase, you're free to cooperatively close your channel within 2,016 blocks of the funding transaction being confirmed (~2 weeks).

Please reach out to me via twitter or telegram (@zerofeerouting) to arrange for the refund after closing the channel.

I will refund your purchasing price minus the fee for the liquidity that did not get returned on chain to me.

Example: You coop close a 10M channel I've opened (for 50,000 sats). 2M have moved over to your end, so it's balanced 20/80. I refund 8M * 0.0075 (60,000 sats) for the liquidity I received back by your cooperative close.

If your node force-closes on me within 2,016 blocks you're still eligible for a refund, but I will deduct a 10,000 sat fee to recover my on-chain cost caused by the force-close.

What are you allowed to do?

You can use the channel as you like it. You can drain it, disable it, set any kind of fees you want or just close it again. You not force-closing the channel is very much appreciated.

What happens on an involuntary force-close?

Unfortunately force-closes can happen to no fault of any of the participants, especially if a channel is routing heavily. If such a force-close happens on a channel that you bought from me, independently of which node force-closed the channel, I offer two options:

  1. I reopen a new channel to you with my returned liquidity for on-chain fee of the force-closing transaction (which I paid) + 2,000 sats
  2. I credit you the returned liqudity towards a new channel (at least 2M larger than returned liquidity)
  3. I reimburse 0.1% of the liquidity I get back

Example: A 10M channel we had gets force-closed due to a stuck HTLC by either side with an on-chain fee of 1,500 sats. The liquidity is evenly distributed (5M/5M). Your options are: (1) me opening a 5M channel to you for a 3,500 sat fee (2) you getting a new 10M channel for 40,000 sats (instead of 77,500) (3) me paying you 5,000 sats for the returned liquidity.

How long am I keeping the channel open?

The channel will stay open for a minumum of 90 days.

After this I review the channel and might:

  • ask for an additional liquidity fee to cover my capital cost for the next 90 days
  • coop close the channel if it sees little to no movement (thus is of no use for both peers)
  • force-close the channel if your node is down for more than 14 consecutive days
@carnhofdaki
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@Tobben67 see https://bitcoinops.org/en/topics/large-channels/, CLN has --large-channels and LND has --maxchansize=.

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