What is a payment channel?

In this context, a payment channel represents a two-of-two multi-signature account or a Pay-to-Script-Hash (P2SH) address. For the uninitiated, a two-of-two multi-signature account is an account that necessitates the signatures of two different private keys to initiate transactions or spend bitcoin.

What is a payment channel network protocol (htlc)?

The payment channel network protocol leverages HTLCs to ensure that the intermediary nodes are properly incentivized to pass along the payment routed through them and not steal it. The first component of an HTLC is the hash, which refers to using a cryptographic hash algorithm to commit to a randomly generated secret.

What is an omnichannel payment platform?

With an omnichannel payments platform, you only have to set it up once and then you can add payment methods or channels when you need them. You’ll only have to learn how to use one platform and you’ll never have to worry about discrepancies when it comes to sales reports. It’s all centralized in a single dashboard.