PeerSwaps: Rebalancing Channels Without the Chain

The Context

Running a Lightning node at scale means constantly fighting liquidity imbalances. Channels get depleted on one side. Traditional rebalancing means chain fees - expensive and slow.

PeerSwaps offers an alternative: swap liquidity directly with peers using atomic swaps, no on-chain transaction required.

Why This Matters

This is infrastructure-level efficiency improvement. Less chain footprint means lower costs and faster operations.

The post covers our integration approach, the trust assumptions involved, and the measurable impact on our channel management overhead.