Blockstream Green Enables Atomic Swaps Between Lightning and Liquid Networks

The latest update allows self-custodial payments of Lightning invoices directly from Liquid bitcoin balances, boosting privacy and simplifying bitcoin interoperability.

BTC
LBTC

Summary

Blockstream has updated its Green mobile app to support atomic swaps between Bitcoin’s Lightning network (instant, low-fee payments) and the Liquid network (sidechain for confidential transactions). Users can now pay Lightning invoices directly from their Liquid bitcoin (LBTC) balances without managing Lightning channels or inbound liquidity. The trustless process uses cryptographic hash locks, ensuring transactions complete fully or not at all, with funds returned automatically if failed. Future upgrades will add on-chain swap support and hardware wallet integration, enhancing multi-layer bitcoin interoperability.

Terms & Concepts
  • Atomic Swap: A trustless exchange between two cryptocurrencies across different blockchains or networks, using cryptographic hash locks to ensure both sides complete or cancel together.
  • Lightning Network: A Bitcoin second-layer protocol enabling instant, low-cost transactions by opening payment channels off-chain.
  • Liquid Network: A Bitcoin sidechain offering fast settlement, confidential transactions, and easier management of unspent bitcoin outputs (UTXOs).