Lightning Labs Releases Light-Client Protocol Neutrino

Lightning Labs Releases Light-Client Protocol Neutrino

Developed by Lightning Labs, the Neutrino protocol is the first implementation of BIP 157 and BIP 158. The developer claims its protocol provides a lightweight and scalable solution for mobile bitcoin apps without trade-offs in centralization and privacy

What is Neutrino?

Neutrino is a new light-client protocol optimized for devices with low-power processors, limited storage, limited bandwidth, intermittent power, and erratic connectivity. Based on BIP 157/158, Neutrino has a number of advantages over implementations of the popular BIP 37. With Neutrino, the control of private keys stays with their user, which also improves censorship-resistance. Unlike SPV clients, the Neutrino-based apps, Lightning Labs claims, do not leak user information and preserve personal transaction history hidden. The protocol requires less computation and thus boasts a higher level of decentralization and scaling compared to SPV/BIP 37 protocols.

How does it work?

Neutrino is based on the chain of ‘filters’ that each correspond to a block in the Bitcoin blockchain. These filters use a special compression algorithm called Golomb-Rice coding to represent the addresses contained in a block. Neutrino filters (called GCS filters, for 'Golomb-Coded Set') are a much more compressed way of representing a block and are ~15KB each, whereas the source blocks can be over 250 times as large (up to ~4MB).


The protocol allows low-power devices to observe the blockchain, extract transactions that are relevant to the user’s wallet and update the balance. This process includes four steps:

  • As each new block is found, full nodes derive corresponding GCS filters and broadcast them to Neutrino nodes;
  • the Neutrino client receives the filter and compares it to the user’s wallet to see if there are any relevant transactions;
  • If a filter does show relevant transactions, the client downloads the stripped version of the block that contains all transaction data but excludes signatures;
  • After scanning the block, the client updates the user’s balance.


Of course, the client cannot do it in real-time if the Neutrino-based app is closed. When the user first opens the app, it will have to download and validate the entire chain of block headers that adds up to about 40MB for the current Bitcoin blockchain. After that, the client downloads the chain of filter headers. After validation, headers from blocks prior to the wallet’s creation are deleted. The third step is to download all the GCS filters for the blocks starting from when the wallet was created. Finally, the client scans all of the downloaded filters, discards of those that do not contain relevant transactions and downloads the stripped blocks of those that do. Now the client is up to date and ready to be used. The whole initial syncing process, Lightning Labs assure, does not take more than a few minutes on a typical smartphone.


Currently, Neutrino is live in lnd 0.5 and in the Lightning App alpha. For more information, read the official blog post by Lightning Labs.

In the longer term, we hope to see Neutrino supported by many more node operators and Bitcoin wallet developers so that users can enjoy a better user experience while preserving privacy and mitigating security risks. We believe Neutrino will provide a much improved foundation for the next generation of mobile wallets that will allow Alice to finally succeed in her quest.

Bryan Vu of Lightning Labs


7,892 USD -1.59%
Volume, 24h
4,922,425,450 USD
140,459,380,048 USD

Related news

Ripple XRP Stablecoin, Price Manipulation, Hard Fork Bill, FDIC Bitcoin & Crypto Not A Priority

Support Me On Patreon! ---------------------------------------------------------------------------- Protect And Store Your Crypto With A Ledger Nano: ----------------------------------------------------------------------------- Buy Bitcoin And Ethereum With Fiat On Binance! ----------------------------------------------------------------------------- Open An Account With Binance! ------------------------------------------------------------------------------ Bitcoin Donations Address: 1BYhrLpntMYW97sd8K6fquTcr5MYwPAe2y Ripple (XRP) Donation Address: rsoKR5VHJx84oMTYbS7tWg7g5aFebYirVi Ethereum / KIN / OmiseGo Donation Address: 0x0e5f5CEFaA9A0713AB6D8F79E6679E22d86C21f6 -------------------------------------------------------------------------------- Follow Me On Facebook ! Follow Me On Twitter: ---------------------------------------------------------------------------------- Very Special Thanks To My Patreon Supporters: Chris Charles Roman Geber David Chosrova Stuart Niven Larry Gooch Tyler Winklevoss NBKrypto Steven Harper Ulf Fatman Josefsson Mohammad Tabbaa Brian Vaci Jeffrey Pete Mozar Cryptocurrency Logic Jonathan Robert Kraus Josh Gorcyca K9 Ytrup Crypto Jedi Truls Lee 3000 O. Tom Chhuong Kaneko Tomonori Sir Thomas11_11 Mike McCarty Crypto And Beer Shipmate ZEN Lunacy ---------------------------------------------------------------------------------- Photo Credit To:
The Modern Investor

JP Morgan: Big banks stand corrected as Bitcoin rally past intrinsic value; admits current surge mirrors 2017 rise

Big banks are riding a FOMO wave as the Bitcoin bull-run is just beginning. Spearheaded by the changing colors of JP Morgan, which recently forayed into the digital assets world, the banking elite is now suggesting that their initial stance on Bitcoin and the larger cryptocurrency world might have been off. A recent chart by JP Morgan shows the current BTC price veer upwards chiding the “intrinsic value” the big bank placed on the virtual currency. Based on the article by Bloomberg, the price of the coin would reverse towards the end of December 2018 and then make marginal gains until May 2019, all under the $5,000 mark. In reality, the BTC price, after dropping to “rock bottom” at just above $3,100 in early December 2018, edged upwards. Several spurts of growth were seen in early January and February, prior to a massive April ascendance. On April 2, Bitcoin did away with the bank’s value mode and amassed a daily gain of over 15 percent, fuelling its current rise. Breaking the $5,000 ceiling in the process, which was pegged to remain intact well into May 2019, the king coin is now almost $3,000 ahead of the mark and is not looking to stop. Source: Bloomberg It should be noted that JP Morgan’s “intrinsic value” is calculated on the basis of the marginal cost of production, electricity prices, and hash rates. This model does not take into account, at least on absolute terms, the anticipatory effect of the 2020 halving, which, according to a slew of analysts is the behind the price rise. Nikolaos Panigirtzoglou, the MD in the Global Market Strategy team at JP Morgan stated that Bitcoin breaking through its “intrinsic value” showed signs of mirroring its 2017 bull run. He evidenced this move by comparing the pre-December 2017 slump to the one seen prior to the current bullish swing. The analyst added: “Over the past few days, the actual price has moved sharply over marginal cost. This divergence between actual and intrinsic values carries some echoes of the spike higher in late 2017, and at the time this divergence was resolved mostly by a reduction in actual prices.” With the analyst admitting that the imparting of an “intrinsic or fair value” to a cryptocurrency, much less a volatile one like Bitcoin, is a “challenging” ordeal, a mere JP Morgan acknowledgement of a Bitcoin bull-run is a remarkable sign for the digital assets industry, especially given the bank’s and its CEO Jamie Dimon’s Bitcoin-bashing in the past. Mati Greenspan, senior market analyst at eToro attested to the same, adding a key point that JP Morgan failed to take into account in their calculation. He stated: “Great to see JPM finally admitting that Bitcoin has intrinsic value. Now wait till they understand that miners who run a surplus tend to begin hording.” Despite Bitcoin slumping at press time, recording a 1.23 percent decline against the dollar, the prospects look positive. After recording a massive gain on 19 May, briefly surging past $8,000 for the second time in a week, Bitcoin created a High-Low [HL] at $7,100, which many analysts look at with glee. This HL immediately following last week’s pull-back caused due to post-Consensus bears, a Bitstamp sell-order and market correction showed the king coin’s bullish persistence and can even be a foundation for a $9,000 ascendance, defying any “intrinsic value” expectations. The post JP Morgan: Big banks stand corrected as Bitcoin rally past intrinsic value; admits current surge mirrors 2017 rise appeared first on AMBCrypto.

Hot news

By continuing to browse, you agree to the use of cookies. Read Privacy Policy to know more or withdraw your consent.