Ethereum: Why Your “Spendable MSAT” Is So Much Lower Than “MSAT to Nodes”
As an active participant on the Ethereum network, you’re probably no stranger to the nuances of cryptocurrency transactions. However, I’m about to dive into a common issue that can arise when using the Lightning Network (LN), which is one of Ethereum’s core protocols for fast and secure payments.
In this article, we’ll explore why your “spendable MSAT” (also known as “payment msat”) can be so much lower than your “msats to nodes” (MTU). This discrepancy can lead to delayed or failed payments, which is particularly frustrating when using the Lightning Network, where network congestion and time play a significant role.
Understanding Spendable MSAT
Spendable MSAT is a crucial metric that indicates how much value you have available to spend on the Ethereum network. It represents the amount of transaction fees associated with making an outgoing payment from your local wallet to a recipient on the network. In essence, it’s like having a credit limit on your Ethereum balance.
Why Spendable Msat is Lower than MTU
There are several explanations for why your spendable Msat may be lower than your MTU:
- Transaction fees: When you make an outgoing payment on the Lightning Network using c-lightning version v0.7.1-64-gbb30104, you are essentially sending transaction fees to the sender of the Lightning channel. These fees are typically much higher than the value of your spendable Msat.
- Channel fees: When a channel is established in 2018, it is typically created with a lower fee structure compared to the MTU. This means that the fees associated with using an established channel can be significantly higher than what you would pay if you were creating a new channel for your specific use case.
- Network Congestion and Slow Fees
: The Lightning Network is still in its early stages, and network congestion can cause transaction fees to increase exponentially. Additionally, slow fees can occur when the payment sender is not ready to receive the payment quickly, leading to delays in payment processing.
- Gas Price Differences: Gas price differences between your spendable Msat and MTU can also contribute to this discrepancy. Gas prices vary depending on factors such as the user’s wallet, network congestion, and other external factors.
What to do next
To address these issues, consider the following steps:
- Create a new channel for your specific use case
: This will allow you to take advantage of the lower fees associated with creating a new channel.
- Use a more established channel: Look for channels that have already been created and have been used extensively on the network.
- Optimize your transaction fee settings: You can adjust your transaction fee settings in c-lightning to reduce or eliminate slow fees.
- Monitor network congestion and gas prices: Keep an eye on the current gas price and network congestion levels, as these factors can impact transaction fees.
By understanding and addressing these differences between your Msat and spendable MTU, you should be able to resolve issues related to payment delays and successful Lightning Network payments.
