Payments & Routing
How multi-hop payments are routed through the Lightning Network using onion encryption.
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Hash Time-Locked Contracts (HTLCs)
HTLCs are the secret sauce of Lightning routing. They allow a payment to be routed through intermediate nodes without any node being able to steal the funds.
Onion Routing
Lightning uses Sphinx onion routing to protect the privacy of participants. Each node only knows the immediate previous and next hops in the path.