CD112: Lightning Node Security with Ken of the VLS Project (HSMs for Lightning)
support dispatch: https://citadeldispatch.com/donate
EPISODE: 112
BLOCK: 809610
PRICE: 3813 sats per dollar
TOPICS: using HSMs to reduce lightning hot wallet risk
project website: https://vls.tech
nostr live chat: https://citadeldispatch.com/stream
nostr account: https://primal.net/odell
youtube: https://www.youtube.com/@citadeldispatch
podcast: https://www.podpage.com/citadeldispatch
stream sats to the show: https://www.fountain.fm/
(00:00:30) Introduction to Citadel Dispatch and the topic of improving the security of Lightning Nodes
(00:01:25) Background of Ken and his experience in Bitcoin and custody
(00:09:52) Discussion on the hot wallet risk issue in Lightning Nodes and the need for additional signing mechanisms
(00:14:36) Explanation of HSMDs (Hardware Security Module Daemons) and their role in securing hot wallets
(00:20:08) Discussion on the vulnerabilities in Lightning Nodes and the need for improved security
(00:28:07) Exploration of different use cases for VLS, including enterprise, consumer, and small retailer applications
(00:39:46) Importance of open source and decentralization in the development of VLS
(00:42:46) Status update on the progress of VLS and its collaboration with other projects
(00:46:09) LND's signing abstraction and adaptation challenges
(00:46:37) Effort to connect LND to VLS
(00:47:06) Node integration and additional information
(00:47:50) Adding hints to wallet addresses
(00:49:03) Critical messages for VLS
(00:49:31) Buy-in from maintainers of implementations
(00:50:09) Anticipating a killer app for Lightning
(00:52:50) Preparing for scaling and security issues
(00:56:48) The vision of a plug-and-play Lightning node
(01:00:38) Value for value and micro paywalls
(01:04:30) Use cases for Nostr
(01:09:53) Contributors and contact information