Nostr Wallet Connect: Bringing Lightning Network Payments to Any App
Nostr Wallet Connect is an open protocol that can bring Bitcoin Lightning Network payments to ANY app!
How does NWC work?
Problem: Lightning Wallets Operate in Their Owns Silos
One problem with Bitcoin Lightning wallets is that they operate as a closed system.
Separate accounts, wallets, balances..
Lightning is also a very complicated protocol stack to implement.
If only there was a glue that bound the wallets and normie apps together..
NWC does this with the help of the Nostr Protocol.
If you are unfamiliar with Nostr, you can learn more about it here.
Wallets and Apps Communicate Through a Nostr Relay
NWC uses Nostr relays to communicate between wallets and apps.
The app and the wallet exchange connection strings.
App requests to pay a Lightning invoice via Nostr relay.
The wallet pays the invoice.
No Nostr account is needed to use NWC.
Nostr is just the messaging layer.
One wallet connects to several apps.
One app can be powered by several wallets.
Synergy for both 🤝
Bootstraps App and Wallet Development
App devs and wallet builders can both reach more users.
App devs don’t have to worry about custodying funds, since it’s outsourced to wallets (if a custodial wallet).
1-click payments without cumbersome closing and opening of various apps and scanning QR codes.
NWC allows sustained interaction between wallets and apps.
Because payments are routed through a Nostr relay, the receiver doesn’t have to be online.
NWC works both with custodial and self-custodial wallets, and across platforms (desktop, mobile).
Subscription Payments, Set a Budget for Payments etc.
NWC was created by the Alby (npub1get…0nfm) and Amethyst (Nostr client) teams in order to let Nostr users integrate Lightning payments without having to use a specific-purpose wallet.
NWC allows single, multiple, streaming, and subscription payments and also a configurable access to your funds.
You can e.g. make monthly donations to geyser (npub1kmw…xqk9) projects from e.g. Mutiny Wallet (npub1mut…23vg) by Flash.
Prism prism (npub1arc…ggtw) uses NWC to bring Lightning micropayments to Discord with its Discord Zap Bot.
This tipping bot adds more value to an app compared to other bots because everyone doesn’t have to agree to use a specific bot.
What do you think about Nostr Wallet Connect?
Will it be the missing piece that brings Bitcoin and Lightning payments to mainstream?
Additional Resources
Nostr Wallet Connect: A Bitcoin Application Collaboration Layer, Bitcoin Magazine article by Shinobi
Technical Presentation by gudnuf at BitBlockBoom 2024