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2022/11/02 11:00 UTC - LSP Spec Meeting

Video of call: https://drive.google.com/file/d/1zN-bCr3z9-6FMtce6ndWwxMEEzfFbxzT/view?usp=sharing

Attendees:

John Carvalho, Corey Philipps, Elias Rohrer, Aljaz Ceru, Ivan Razsl, Rene Pickhardt, Ryan Gentry

Notes by Pav Nikolov:

JC - saw a talk from Lisa N about Liquidity ads, suggested she should join the calls, after we finish this spec, we can work on reputation, and we'll decide whether we do another call biz dev efforts for getting adoption for these specs + expressing it through PRs. Liquidity ads seem to be fitting our use cases as LSPs - maybe it can be expanded beyond just supporting a channel.

Aljaz - sounds like a logical step, it would get sense to get it implemented. Working on this - BitcoinAndLightningLayerSpecs/lsp#10 We have the current policy schema idea - would you have this as a sub-schema inside the policies?

JC - are we going to give people any way that they have reputation as an achor in this spec? If so, what is the minimum way to express that so they can get

Ryan - I don't see any downsides, using terminal list as an example and being able to point to that makes sense.

Ivan - I will be providing that reputation on my side.

JC - not sure we have anything else to discuss as part of this marketplace spec.

Rene - I discussed reputation in combination with proof of work in context of channel jamming recently. But that is slightly offtopic.

We can proceed and discuss biz dev in regards to the spec or discuss reputation more deeply.

Aljaz - https://github.com/BitcoinAndLightningLayerSpecs/lsp/blob/main/liquidity-marketplace-spec.md

Ryan G - step 1 would be to agree on step 2 - non custodial wallets, and LSPs that we need to get to comply with these interfaces, work with Roy to add BT added in Breez wallet.

JC - Roy and I are on the same page as far as the request spec. and use that as an excuse to implement in Breez and Bitkit.

Aljaz Ceru https://github.com/BitcoinAndLightningLayerSpecs/lsp/blob/main/liquidity-marketplace-spec.md - draft is here

Ryan - on Pool side, the structure of having Pool's order book be contained in the marketplace doesn't lend itself super well, how I imagine this working, there is a broker node sitting between Pool and the broader / external interface and buys channels out of Pool and connecting them to the buyer. For example have a BT node in Pool. Looking for way to take Pool as it currently works and have it working with this standard, the way that the orders are executed means you need to have an account first to interact with the order book. So for this to work maybe there is a node who interacts between Pool and p2p.

Aljaz - Pool is purely matching, you need a broker as compared to buying p2p as are most of the other marketplaces working.

JC - granted we can have a bot working and automates it, but then all the nodes have to do this. Mayb in a mature market we have the opposite.

Aljaz - there will be artbitrage opportunities here, but we are long way from that. What Ryan proposed is something we have on our roadmap, but it's not something for the next 2-3 weeks.

Ryan - LSPs would broker liquidity or provide their own, the broker option for the market can work and is interesting, it can work within the spec as a special case, not sure how you'd do the brokering order fees.

JC - I need not be able to know what your IP is.

Aljaz - we should get Lisa on this, as it's very close to how the spec is designed and would be beneficial for Liquidity Ads

Ryan - reach out to Nick Slaney from TBD, he'd be good one BD wise to be intercepted early.

Next steps:

Review Aljaz proposal Make some progress Implementing request spec in Btank Begin discussing for reputation project