Lightning Channels Quick refs : state-machine.md, commitment-tx.md, force-close.md A Lightning channel is a 2-of-2 multisig output on chain that two parties update off-chain via signed commitment transactions . Each commitment is a fully-signed tx that, if broadcast, settles the channel in one party's favour at the latest committed state. Channel lifecycle 1. Open — → → on-chain funding tx → (after ). 2. Update — exchange / / to flow funds. 3. Close — cooperative ( + ) or unilateral (broadcast latest commitment). Funding tx Two-party 2-of-2 multisig (legacy): Or Taproot key-aggregated (taproo…