Share this article
Wallet Demo Showcases Lightning-Like Network for Ethereum
A Liquidity Network founder has demoed how an ethereum wallet could function using a new off-chain scaling solution.
Updated Dec 10, 2022, 9:18 p.m. Published Nov 29, 2017, 3:00 p.m.
Make us preferred on Google
Two technologies designed for bitcoin and ethereum appear to be converging.
A new video demo released this week, presented by Imperial College London assistant professor Arthur Gervais, shows how ethereum wallets might function with a mechanism like Lightning Network – a payments protocol originally designed to enhance bitcoin.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
It's a notable step, as off-chain payments networks have long been touted as scaling solutions for blockchains such as bitcoin and ethereum. And although the wallets are not yet ready for use, the demo, from Gervais' new project, called Liquidity Network, signals that more people in the ethereum community are interested in adopting the technology.
To users, the wallet functions similarly to other ethereum wallets, in that it allows users to send and receive ether. But under the hood, the wallet is more complex, allowing users to connect to so-called "hubs" if they can't connect directly.
In the demo, Gervais shows one user depositing 100 wei (a tiny division of ether) into a hub.
Since the connection can then be used to send payments to any other user connected to the same hub, Gervais instantly sends 50 wei payments to one user and 30 wei to another.
[embed]https://www.youtube.com/watch?v=jM9VWRBbqtU&feature=youtu.be[/embed]
Liquidity Network is working on a relatively new off-chain network for ethereum, that could possibly provide an alternative to the well-known in-development network, Raiden.
However, Liquidity uses slightly different technology modeled after the Revive payment channel – a model first put forth by the Liquidity Network founders in a white paper in September.
Paint merginghttps://www.shutterstock.com/image-photo/nail-polish-paint-spills-isolated-on-336350912?src=ypYuxW6jYqgdQebGsB22eQ-1-73 via Shutterstock
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
Crypto ETFs with staking can supercharge returns but they may not be for everyone
From yield potential to custody risks, here’s how direct ETH and staking funds compare for different investor goals.
What to know:
- Investors can now choose between owning ether directly or buying shares in a staking ETF that earns rewards on their behalf.
- While staking ETFs offers yield, they come with risks and less control than holding ETH in an exchange or wallet.
- Grayscale’s Ethereum staking ETF recently paid $0.083178 per share, yielding $3.16 in rewards on a $1,000 investment.
Top Stories
