1. Bitcoin’s new Era OP_CSV, Segregated Witness And how it relates to Bitcoin at Visa’s scale

2. What the Block Size is about

3. What Lightning Network is about

4. 1.Bitcoin does not scale 2.bitcoin does scale TL;DR

5. « Off Chain » Definition Off ChainOn Custody “Makes the difference, it can save your life” MtGox Creditor

6. OP_CSV and Segwit are the base of future innovation Bitcoin Protocol 1 to 1 Off Chain payment 1 to Many Off Chain payment

7. What does a world with LN looks like? Source: Tadge Dryja talk at Scaling Bitcoin (http://diyhpl.us/wiki/transcripts/scalingbitcoin/hong-kong/overview-of-bips-necessary-for-lightning/) Transaction / Sec Unlimited

8. Bitcoin Protocol Bitcoin Protocol Layer

9. OP_CSV “Fails the script if this coin’s age is below X” X = Block counts or time span

10. OP_CSV 3 OP_CSV OP_DROP Jim OP_CHECKSIG Broadcasted MinedSpendable

11. OP_CLTV “Fails the script if the date is below X” X = Block counts or time span

12. OP_CLTV 109 OP_CLTV OP_DROP Jim OP_CHECKSIG Broadcasted Mined Spendable

13. Segwit “Let’s put the signature out of the transaction id”

14. Segwit Before After TxId (P2PKH) (P2W*)

15. Segwit P2W* ScriptPubKey: 0 e4873ef43eac347471dd94bc899c51b395a509a5 ScriptSig: Empty Result: Valid For Old Nodes:

16. Segwit P2W* ScriptPubKey: 0 e4873ef43eac347471dd94bc899c51b395a509a5 ScriptSig: Empty Result: Valid For New Nodes: WitScript: Signature1

17. Segwit P2W* ScriptPubKey: 0 e4873ef43eac347471dd94bc899c51b395a509a5 ScriptSig: Empty Result: Valid For New Nodes: WitScript: Signature1

18. Payment Channels 1 to 1 Off Chain payment

19. Payment Channels We’ll do a lot of business Let’s create a payment Channel

20. Payment Channels Broadcast Open the Channel Broadcast Close the Channel

21. Payment Channels Commitment 0 0.5

22. Payment Channels Commitment 1 0.4 0.6

23. Payment Channels

24. Payment Hub 1 to Many Off Chain payment

25. Payment Hub

27. 1.Requires trust into all PH to destination 2.PH are Money Transmitters 3.PH needs to lock enormous reserves 4.PH are a systemic risk Problems

28. Lightning Network

29. Lightning Network (Simplified) How can Alice send 5 BTC to Bob without trusting Jim ? Hash Time Locked Contract (https://github.com/ElementsProject/lightning/blob/master/doc/deployable-lightning.pdf)

30. Lightning Network (Simplified)

34. 1.The HLTC output miss conditions 2.Jim never has custody over the money 3.Jim does not have to trust Alice&Bob Notes