Paper 2024/1526 Original: eprint.iacr.org/2024/1526 ↗

Overpass Channels: Horizontally Scalable, Privacy-Enhanced, with Independent Verification, Fluid Liquidity, and Robust Censorship Proof, Payments

Abstract

Overpass Channels presents a groundbreaking approach to blockchain scalability, offering a horizontally scalable, privacy-enhanced payment network with independent verification, fluid liquidity, and robust censorship resistance. This paper introduces a novel architecture that leverages zero-knowledge proofs, specifically zk-SNARKs, to ensure transaction validity and privacy while enabling unprecedented throughput and efficiency. By eliminating the need for traditional consensus mechanisms and miners, Overpass Channels achieves remarkable cost-effectiveness and energy efficiency. The system's design focuses on unilateral payment channels and off-chain transaction processing, allowing for high-speed, low-latency operations without compromising security or decentralization. This paper provides a comprehensive analysis of the Overpass Channels system, including its cryptographic foundations, scalability metrics, integration, and potential applications across various domains, from global payments to confidential voting systems and secure health record management.