Bitcoin LN and Ethereum connected: the idea of a startup
Bitcoin LN and Ethereum connected: the idea of a startup

Bitcoin LN and Ethereum connected: the idea of a startup

By Matteo Gatti - 2 Aug 2019

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The two most important networks in crypto, Bitcoin and Ethereum connected to each other. It seems utopian but a startup is really working on this virtual bridge that would bring the two worlds closer.

Blockade Games managed to connect the two networks by sending a bitcoin lightning transaction that triggered the activation of an Ethereum smart contract.

Bitcoin Lightning Network has been in beta testing for almost a year and a half now, but its use is constantly increasing. More and more projects have decided to adopt Lightning Network to integrate it into their service platforms. LN is a second layer solution on top of the bitcoin blockchain, aimed at improving scalability, usability, speed and reducing transaction fees.

Blockade Games connects Bitcoin and Ethereum

The startup is currently working on a testnet called Rinkeby but the goal is to use real Ether on the mainnet within a few weeks as confirmed by CTO Ben Heidorn. When ready, this feature will be useful for the integration of lightning network in Neon District, a role-playing game developed by Blockade.

The startup is not new to such solutions. It has already created a crypto-puzzle, a Twitter bot based on machine learning and a blockchain-based game. The integration of payments via the Bitcoin Lightning Network allows the software company to receive them immediately and directly. Here’s how it works:

bitcoinln ethereum startup

A channel is created between the company and the buyer. This is possible by connecting to the node managed by Blockade: as long as the channel remains open, it is possible to make payments.

When a player wants to buy a game item, a QR code (payment request) is automatically created, which is based on the BOLT-11 protocol. When the player scans the QR code with a wallet compatible with LN, the node generates the payment that is processed by the monitor of Blockade Games. This is just one of many use-cases for this technology. Another idea concerns for example micro-payments using few satoshis among the players themselves.

Heidorn explained that he is certain that bitcoin and ethereum will play a key role in the future and that’s why they are working to integrate both blockchains into their games. The source code that allows the connection between Bitcoin and Ethereum is not yet open but the developers have promised to release it as soon as they consider it ready.

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