This past week’s fee market demand brought up much discussion on scaling. I’m seeing more frequent independent thinkers land on interactive batching like payjoin as a solution. Lots of people understand batching as when an enterprise sends lots of transfers to many parties in one transaction. I call this single-source batching, since only one party has input to the batch. Payjoin enables multi-source batching, where two parties contribute to a batch paying one another and various third parties while consolidating their own wallets to save in fees.
Unlike single-source batching, multi-source optimizes payment flows requiring sequential transactions, like exchange withdrawals to fund lightning channels, into a single transaction. The new ability to batch sequential transactions significantly improves what was thought to be the best case fee savings of payment batching. The release of this week’s interactive batching with payjoin essay could not have been timed any better. I’m happy to be able to share even more payjoin progress updates with you this week too.
BOB Radio invited me to speak on Bitcoin Privacy Tools and Practices with Gandlaf21, Dan Gould & Giacomo Zucco. Giacomo listed the three main levels of privacy to concern yourself with, and we broke down how to address each one, aiming past controversy to deliver actionable advice. BO฿ Space, is a Bangkok based bitcoin incubator and co-working space. Those building and designing on bitcoin are encouraged to apply for residency. Their first cohort will be anounced May 15.
Finally, I’d like to congratulate Will Owens. Payjoin has a new dedicated contributor. Will has been recruited to integrate payjoin into the BDK-CLI by the Summer of Bitcoin internship program. He will deploy a second Bitcoin Dev Kit payjoin integration, following BitMask’s. This work should establish a common pattern and documentation to integrate payjoin with any wallet using the kit. Will’s stated his goal “to help make Bitcoin more accessible, secure, and private for all users” and his plan to use payjoin as an entrypoint to address Bitcoin fungibility, privacy, security, and efficiency in his application. Will, I am eagerly looking forward to collaborating with you and witnessing the exceptional work we will accomplish together. Congratulations.
Sincerely,
Dan