Awesome! Thank you for the detailed reply and I appreciate your hard work in this area. With regards to the timelock, where no one can spend the coins (let's call this a "no-spend timelock"), I do think this would be helpful for locking up funds in DEEP cold storage. Basically funds that you don't see needing for a while. As you approach the end of the no-spend timelock (eg 1 month), you can reset the timelock to always have the provable deniability that you cannot spend the coins. Once again, I think this will be helpful in preventing coercion like kidnapping.
Until this functionality is implemented, I don't see much need to switch from my current setup since this is technically simpler than adding a timelock and still provides redundancy.
I'm now following you on Nostr and I look forward to future updates!
Login to reply
Replies (1)
Glad we could be helpful! One quick follow up:
> As you approach the end of the no-spend timelock (eg 1 month), you can reset the timelock
Because it is part of the locking script on the coins, the only way to change or reset it is to wait until the timelock expires and the coins are spendable. You can't reset it a month before it expires.
The only way to be able to "reset" timelocks before they expire is to have a spending path available that doesn't include the timelock (this is what we do). But I think it would defeat the goal of what you are trying to achieve.
There are several ways to do simple timelocks in bitcoin, but one of the main reasons they are not commonly used in the manner you describe is that to truly make your coins unspendable for a set period of time, you would also not be able to change the locking conditions on them yourself.