Why do we need a "routing" process in Lightning Network?

Why do we need a "routing" process in Lightning Network?

If I am wrong, please correct me.

If we simplify Lightning Network, it seems to work similar to this simple unidirectional payment channel between two parties (although, Lightning Network is a bidirectional).

So we may simplify the process of a payment between two parties in Lightning Network as follows:

(1) the sender and recipient just need to create a channel and deploy the contract and then the sender puts the recipient's address in the contract as recipient.

(2) Then any agreed number of off-chain transactions will be done between sender and recipient such that the sender's address for each mico-payment will be verified by recipient.

(3) Eventually, a settlement will be done via an on-chain transaction, by which the recipient will receive the total amount the contract.

In a first view, it seems no need for "routing" process.

So, can we now ask that why do we need a routing process for performing a payment in Lightning Network?

P.S. I refer you to the Lightning Network website, where it's mentioned that:

"By creating a network of these two-party ledger entries, it is possible to find a path across the network similar to routing packets on the internet."

Note: The payment channels are composable, meaning that If A and B have a payment channel, and B and C have another, then A can pay C through B. But the matter is that there is a fee incentive for intermediaries. Now the question is which one is more affordable?

(1) Doing like above approach?

Or

(2) A and C create another channel between themselves without paying to B and without need for routing ?

So, the answer of necessity of need for a routing process in Lightning Network is dependent on affordability of paying to one or multiple intermediaries instead of paying for a new direct channel without intermediary?

https://ift.tt/2r7DRnm

Comments

Popular posts from this blog

bitcoin node: what is the difference between simnet and regtest?

How to check if Electrum is masking my IP with the Tor proxy?

Need help to recover blpckchain.info wallet, my wife forgot her password and the brute force with btcrecover is not catching the password