Blockstream Green App Update Enables Trustless Atomic Swaps Between Lightning Network and Liquid Sidechain
Blockstream has updated its Green app to support trustless atomic swaps between the Lightning Network and the Liquid sidechain. This enhancement allows users to make private Bitcoin (BTC) payments seamlessly without managing Lightning channels or inbound liquidity.
Users can now pay Lightning invoices directly from their Liquid BTC (LBTC) balances in a self-custodial way, eliminating the need for channel management. These atomic swaps are secured by cryptographic hash locks, ensuring that if any step fails during the process, funds automatically return to the original wallet.
The update reflects ongoing efforts to improve interoperability across Bitcoin's second-layer ecosystem while preserving users' private keys. Upcoming features include on-chain swaps between Bitcoin mainnet, Liquid, and Lightning networks via a single interface, as well as hardware-wallet integration with Blockstream Jade to enable receiving Lightning payments.
The integration combines the benefits of both networks: the Lightning Network offers instant, low-fee BTC payments, while Liquid facilitates confidential transactions and easier UTXO management. This allows merchants to accept Lightning payments while keeping assets in a Liquid wallet without exposing balances or relying on hot wallets, thanks to the cross-network swap functionality.
This feature is now live in the Blockstream Green app, marking a significant step toward enhancing the privacy and convenience of Bitcoin payments across multiple layers.
