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49% of the Bitcoin [BTC] Lightning Network is occupied by one node

Priya

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49% of the Bitcoin [BTC] Lightning Network is occupied by one node
Source: Unsplash

According to 1ml, Andreas Brekken, the CEO of Shitcoin.com occupies 49% of the Bitcoin [BTC] Lightning Network. Shitcoin has over 35 BTC on the Lightning Network and the portal has announced that this is for an upcoming review on the Lightning Network.

Lightning Network node for Shitcoin || Source: 1ml

Lightning Network node for Shitcoin || Source: 1ml

Andreas Brekken was the former Advisor at Kraken and Bitcoin.com. He has been a part of the Bitcoin community since 2011 and his website shitcoin.com is solely for criticizing crypto-projects. It also includes reviews of tokens such as Tron [TRX], EOS [EOS], IOTA [MIOTA].

The Bitcoin Lightning Network is a second layer payment protocol on top of the Bitcoin blockchain. It is a solution for the Bitcoin scalability issues. It allows 2 nodes to make an unlimited amount of transactions off the Bitcoin blockchain. The transactions are recorded on the blockchain only when the node channel is closed. The key features of the Lightning Network include instant payments, scalability, low cost and cross-chain atomic swaps.

An increase in the number of nodes on the Lightning Network results in an increase of the network’s capacity, as seen by the capacity doubling since 1st July 2018.

The current statistics of the Lightning Network are:

  • Number of Nodes: 2755
  • Number of Channels: 9159
  • Network Capacity: 72.29 BTC
  • Nodes with active channels: 2024

Out of the total network capacity, Shitcoin’s node holds 35 BTC leading it to occupy more than 48% of the total capacity of Lightning Network. The other node holds approximately 1% of the total capacity. This results in the nodes occupying 49% of the total capacity making it the largest amount of Bitcoin on the Lightning Network.

Leading Bitcoin Lightning Network || Source: 1ML

Leading Bitcoin Lightning Network || Source: 1ML

  • Alias: Shitcoin.com [Andreas Brekken]
  • Capacity: Bitcoin [BTC] held by the node
  • Min HTLC [Hash Time-locked Contracts]: Minimum block height
  • Base Fee: The fees to open the channel
  • Fee Rate: The rate of the fees to open the channel

Moreover, Andreas has been continuously showing his interest in the Bitcoin Lightning Network. When questioned on his Lightning Network node on Twitter, he responded by saying that he was surprised no one noticed the nodes’ color choice.

Cyborgene, a Redditor says:

“I don’t think it’s one guy. Probably a company or a few miners together trying to grow their lightning channels capacity and become a medium. By the way, I am also setting up my Lighting Node”

Uvas, another Redditor says:

“Yes, I am very curious about what he has planned. My guess is that he is just going to shut them all down at once and see what happens.”

Some Redditors even argue that it could be a 51% attack but it does not apply here as the Lightning Network has no mining power.



Owlholic, a Redditor says:

“Well. True and not. It’s not the mining 51% attack but likely there is some downside of one player owning over half. Otherwise they wouldn’t do it!”

Since 49% of the Lightning Network is occupied by Brekken, only 51% of the Lightning Network is left for the other users. Unless there are more nodes added to the network, it might hamper the overall usability of the network.





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Priya is a full-time member of the reporting team at AMBCrypto. She is a finance major with one year of writing experience. She has not held any value in Bitcoin or other currencies.

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HitBTC responds to allegations of insolvency, refutes claims made by Redditors

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HitBTC responds to allegations of insolvency
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HitBTC, a Hong Kong-based exchange has been the center of accusations among users on Reddit, Twitter, and other forums. HitBTC users started complaining about issues regarding withdrawal and extensive procedures after one particular user @ProofofReserach put out a thread alleging insolvency of HitBTC.

To put an end to all the accusations, HitBTC has broken its silence with a blog post explaining their side of the story. According to HitBTC, their systems performed well during the winter of 2017-18, however, HitBTC mentioned that due to overwhelming demand for the services, they experienced bottlenecks at an operational level.

Referring to the BitcoinExchangeGuide article, HitBTC responded:



“A widely quoted article, in its entirety, is based on only 2 AML cases. One of them was initiated as part of the investigation into the December, 2018 BTCP security breach, at the request of the coin’s core team. Unfortunately, there is no clear indication of the nature of the second case that can be discerned from the article. The author of the article failed to track the deposit/withdrawal dynamics that did not uncover any irregularities. A simple block explorer or our public System Monitor would suffice for these purposes”

Additionally, referring to the altcoins being added and removed from the platform, the exchange said that they were honored to work with a diverse range of projects, however, since the crypto sphere was still nascent, there were lapses in their judgment in assessing the integration partners. With the above-mentioned prominent cases, HitBTC also addressed other topics.

@ProofofResearch replied to HitBTC’s blog:

“Is there a reason why you’re unable to tell people us where your Bitcoin storage is at? If what I published is as untrue as you claim it is, then providing a wallet address where your Bitcoin funds are stored will go a long way in *proving that*.”





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