Probabilistic Logic Models for the Lightning Network

Abstract

The Lightning Network (LN) has emerged as one of the prominent solutions to overcome the biggest limit of blockchain based on PoW: scalability. LN allows for creating a layer on top of an existing blockchain where users can send payments and micro-payments without waiting long confirmation times. One of the key features of LN is that payments can also be sent towards nodes that are not directly connected. From the routing perspective, the balance of an edge that connects two nodes is known, but the distribution between the two involved ends is unknown. Thus, the process of sending payments is based on a trial and error approach, and the routing can be considered probabilistic. Probabilistic Logic Programming (PLP) is a powerful formalism that allows the representation of complex relational domains characterized by uncertainty. In this paper, we study the problem of reasoning about the existence of a path between two nodes that can route a payment of a given size leveraging multiple models based on PLP. We adopt some recently proposed extensions of PLP and develop several models that can be adapted to represent multiple scenarios.

A Review of the Lightning Network’s Evolution: Unraveling Its Present State and the Emergence of Disruptive Digital Business Models

“…Refs. [11,33] developed a Probabilistic Logic Programming model to better understand the routing process, while [34] analyzed the topology of the network, focusing on centrality measurements, churn rate and clustering coefficients. Ref.…”

“…Essentially, HTLCs enable payments in which the recipient must confirm receipt before a specified time or predetermined deadline, eliminating the need for custodial trust and enabling dynamic, open participation [10]. Payment routing in the LN is based on the balance of an edge between two nodes, and the distribution of the balance is unknown, so payments are sent through a trial and error process that is probabilistic in nature [11]. The LN enables users to transact without directly moving Bitcoins.…”