Sphinx shows off Its Validating Hardware in Action
Lightning Network messaging service provider Sphinx has figured out a way to improve node setup and maintenance with its latest hardware configuration. The team surprised the community it when posted images of its hardware signing device leveraging Validating Lighting Signer software. The hardware could make it easier for node operators to use cloud services and much more. Here's why people are buzzing about the Sphinx Validating Lightning Signer hardware.
Problems That Sphinx Helps to Resolve
There are many reasons why hardware signing architecture can benefit the Lightning Network community. The main one is people can host nodes on cloud platforms without giving up access to their wallets. This is a major u[grade to today’s standards that require users to provide this information as part of the arrangement.
Setting Up A LN Node
Currently, running a Lightning Network node can be a complicated task. The setup takes some technical understand and there are some serious uptime requirements. As such, most node operators have elected to use a cloud service to ensure they meet these goals. While there have been more LN-dedicated options, most people use a normal cloud service provider.
This setup requires you to provide your keys. Obviously, it’s never ideal to give your keys to anyone. When you do you are opening the door for potential issues in the future. The Sphinx hardware signer works with Lightning node cloud firms like Nodl to provide a non-custodial alternative to the market. The developers behind the project feel like this added security step will improve adoption rates.
How Sphinx Works
Sphinx's signer architecture works by separating the signing and key processes. This strategy means that you need to possess the hardware signer to access the node wallet. This requirement protects you from hackers and other cloud computing threats. It also opens the door for some advancements in the Lightning Network.
The signing device is at the core of the approach. This unit only requires power and an internet connection to accomplish its task of signing your transactions. The entire communication remains encrypted which ensures that the cloud operators have no way of accessing the data.
Notably, the Signing Architecture has a built security policy to verify the safety of the transaction. This setup enables the device to function even if the node software gets compromised by intruders. Additionally, the hardware owner can access their coins even if the cloud service hosting their node gets shut down unexpectedly.
Lightning Network Upgrades Due to the Hardware
One of the most interesting aspects of the project is how it opens the door for future upgrades like multi-sig LN wallets. Multi-sig wallets require multiple keys to sign off on transactions. They are more secure because of this requirement and have become an industry standard for exchanges and other firms that hold large amounts of crypto.
Sphinx Makes it Safer to Host Lightning Network Nodes
Sphinx's latest entrance into the Lightning Network community has the potential to improve the entire market. Anything that streamlines the onboarding of new nodes is going to be beneficial to the network. Additionally, the introduction of multi-sig wallets in the future could make the Lightning Network more appealing to large trading firms. As such, Sphinx appears to be on the right path.