System and method for hierarchical token distribution on blockchain network
A computer-implemented method to generate a unidirectional commitment channel to send one or more tokens from a sender node to a recipient node using a blockchain is disclosed. The method is implemented by a processing resource that performs steps comprising: generating a first commitment transaction representing a commitment component in which a specified set of tokens is sent or committed for transfer from the first node to the second node; generating a return transaction which returns all tokens from the second node to the first node; signing the return transaction and, based on the signing of the return transaction, signing the commitment transaction; creating one or more further return transactions to reflect the transfer of tokens being made off the blockchain.
1. A computer-implemented method for generating a unidirectional commitment channel from a first node to a second node, the method implemented by a processing resource, the computer-implemented method comprising:
generating a commitment transaction representing a commitment component in which a specified set of tokens is sent or committed for transfer from the first node to the second node;
generating a return transaction which returns all tokens from the second node to the first node;
signing the return transaction and, based on the signing of the return transaction, signing the commitment transaction; and
creating one or more further return transactions to reflect the transfer of tokens being made off a blockchain.
2. The computer-implemented method according to claim 1 , wherein the commitment transaction is a pay-to-script hash transaction.
3. The computer-implemented method according to claim 1 , wherein the return transaction is only executable after a specific point in time.
4. The computer-implemented method according to claim 1 , wherein the one or more further return transactions reflect a net transfer of tokens that the first node is required to make to the second node.
5. The computer-implemented method according to claim 1 , wherein the method is implemented by both the first node and the second node.
6. The computer-implemented method according to claim 1 , wherein the first node is a transferor node and the second node is a transferee node.
7. A method according to claim 1 , wherein the unidirectional commitment channel is suitable for use where a party A associated with the first node desires to pay party B associated with the second node via multiple transfers over a period of time.
8. The computer-implemented method according to claim 1 , wherein the return transaction allows the committed tokens to be returned to the first node if the second node is unable to satisfy a stated criteria for the commitment transaction.
9. The computer-implemented method according to claim 1 , wherein:
the first node provides a secret value to the second node or vice versa; and
the secret value locks the unidirectional commitment channel.
10. The computer-implemented method according to claim 9 , wherein the secret value is generated in accordance with the method comprising:
a random number is transferred between the first and second nodes; and
an encrypted version of a secret key is transferred between the first and second nodes.
11. A computing device comprising:
a processor;
memory;
a network interface; and
a blockchain application containing computer-executable instructions that, when executed by the processor, cause the processor to carry out the computer-implemented method of claim 1 .
12. A non-transitory processor-readable medium storing processor-executable instructions, wherein the processor-executable instructions, when executed by a processor in one of the first or second nodes, cause the processor to carry out the computer-implemented method claimed in claim 1 .