Sequentia Wallet

In any asset a block producer accepts. None is privileged: tSEQ is one choice among the others.

Each producer keeps a list of the assets it takes for fees, each with an exchange rate that turns a fee into a common reference value, so producers can compare fees paid in different assets. A price server usually builds that list from the Asset Registry and from market prices.

Send offers the assets you hold that the nodes this wallet sends to accept, and shows the fee in that asset and in your reference currency before you sign.

• Green: the nodes this wallet sends to accept it, it is published on the Asset Registry and it has a market price. Any producer's price server can value it.
• Amber: the nodes accept it, but it is not published on the Asset Registry or has no market price, so the price servers other producers run may not value it. The payment can then confirm only in a block of a producer that accepts it. Every send can be replaced, so if it waits you can replace it and pay the fee in another asset.
• Red: the nodes this wallet sends to do not accept it, or list it at a rate of zero, which refuses it. The transaction would be rejected before it reached a producer. An asset only some of them accept is listed but cannot be chosen.

Send pays the recommended fee unless you change it. Open Advanced under the recipients to choose the asset that pays it and how soon it should confirm, or pick Custom and type the fee yourself: as the total for this transaction or as the rate per 100 bytes, either in the fee asset or in your reference currency. The other three follow. A transaction's size is measured in bytes, so a 300-byte payment at 0.000001 OILX per 100 bytes pays 0.000003 OILX.

Below the relay minimum no node takes the transaction at all. When blocks are full, the next block takes only what pays more than the cheapest transaction it still fits; the panel says how busy the next block is and which of these your fee clears. Replace, bump and speed up use the same panel and also show what the original transaction pays.

A fee worth more than 30 USD is flagged before you sign: it is almost always a rate typed in the wrong unit.

When the network refuses a transaction, nothing is sent, and the wallet says why in a sentence. The usual reasons:

• a coin it spends was already spent, usually by another payment from this wallet: refresh and try again;
• it conflicts with a payment still waiting for a block: wait for that one, or speed it up;
• the fee is under the minimum, or the fee asset is not accepted: raise the rate or pick another asset;
• an amount is too small to relay (dust);
• too many of your payments are waiting in a row: wait for the next block;
• the asset is frozen by its supervisor, or its supervision rules refuse the transfer.

A block comes about once a minute. Open the transaction in History: under Why it is waiting the wallet reads the explorer and says what holds it back. The fee asset may be accepted by only some nodes, or refused by the producer. The rate may be under the mempool's minimum, or under what a full next block takes. Or nothing may be wrong.

If it misses a block, the row offers Bump fee, Replace and Speed up.

• Bump fee sends the same payment again at a higher fee, in any accepted asset, and replaces the original. A replacement must pay at least the old fee plus the network's increment for its own size; the dialog says the least it must pay.
• Replace spends the same coins with new recipients or amounts, to correct a payment that has not confirmed.
• Speed up sends a small payment to yourself that spends the stuck one and pays enough for the two together, since a producer takes them as a pair. It works on a payment you received too. It cannot change the asset the stuck one paid its fee in: if that asset is the problem, use Replace.

Each one checks, just before you sign, that the stuck transaction has not confirmed in the meantime.

The explorer no longer has the transaction, so no producer will mine it. That happens when the mempool is full and drops its cheapest transactions, when a transaction waits too long, or when another one spending the same coins replaces it. Its coins are yours to spend again; send the payment again if it is still needed.

Every address of this wallet has two forms. The usual one, starting tb1, receives in the clear: anyone can see on the explorer how much of which asset arrived. The blinded one, starting tsqb1, hides the amount and the asset from everyone but you. Both belong to this wallet and to the same recovery phrase.

Coins received at a blinded address count in your balance, spend like any other and come back with your recovery phrase. An explorer shows that a payment happened, not how much or of what. Transactions that carry hidden amounts are a little larger, because each hidden amount comes with a proof, so they cost a slightly higher network fee.

To bring them back to your usual address, send them to yourself: in Send, paste your tb1 address from Receive and the amount. That one transaction makes them visible again; sending the whole balance of that asset also gathers its coins into one.

Swaps receive at your usual address unless you turn on Receive this swap at a blinded address, or tick Receive at a blinded address of this wallet in the review of a swap with a maker who completes it: that maker then blinds the output that pays you. Unticked, it pays your usual address in the clear, like any transfer.

It shows at once and is confirmed in about a minute. A confirmed payment stands as long as Bitcoin does not reorganise the block it anchors to.

Each asset you move to Lightning is in a channel of a Lightning node the service hosts for you. That node holds no keys. Your browser derives them from your recovery phrase and signs every channel update after checking it.

The service cannot move your coins on its own, with one exception. An operator who runs both your hosted node and the node your channel is with could, together, publish an old state of the channel. Keep on Lightning what you would trust the service with.

Keep one tab of the wallet open at a time: two tabs are two signers for the same channels.

Move to Lightning pays the amount straight into a channel, in one on-chain transaction. The wallet signs it only after the channel's way back is signed. An asset is movable when that transaction can pay a fee, in the asset itself or in another you hold, that a block producer accepts.

Move on-chain closes the channel and pays your side of it to an address of this wallet. If the node your channel is with does not answer, the close is unilateral instead: it pays your hosted node's own address, after a delay of some blocks set when the channel opened.

A channel is one balance split between its two sides. You can send what is on your side. You can receive only up to what is on the other side, because a payment to you moves value from that side to yours. A channel you open with Move to Lightning has everything on your side: it can send, not receive.

To receive, the other side of a channel needs room, and the service sells it: it opens a channel to you with its own coins on its side.

You choose how much you want to be able to receive and for how long: 1, 3, 6 or 12 months. You pay once, in the asset itself, on chain, before the channel opens.

The price is a yearly percentage of the room you buy, charged only for the months you choose: half of it for 6 months, a quarter for 3. Each asset has its own yearly percentage, set by the service. There is also a minimum, because opening any channel costs the service something whatever its size; when the percentage comes to less, you pay the minimum.

For example, with USDX at 5% a year and a minimum of 1 USDX:

• 100 USDX of room for 6 months: half of 5% of 100 USDX, so 2.50 USDX.
• 100 USDX for a year: 5% of 100 USDX, so 5 USDX.
• 1,000 USDX for 3 months: a quarter of 5% of 1,000 USDX, so 12.50 USDX.
• 100 USDX for 1 month: a twelfth of 5 USDX is 0.42 USDX, under the minimum, so 1 USDX.

The dialog does this calculation with the service's real percentage before you pay. Why it is priced this way: what the service gives up is its own coins, held in your channel for that time, so the price grows with the amount and with the months. The percentage differs by asset because a coin that would earn something elsewhere, lent out or staked, costs more to hold than one that would not.

What is guaranteed is the channel, kept open for the months paid for, not a fixed amount of room. Receiving uses room up and spending makes it again. When the time is over the service may close the channel: what is on your side then comes back to you on chain. To keep receiving, buy room again.

You can ask for room when you move an asset to Lightning: its fee travels in the same transaction, and the service opens its channel as soon as that transaction confirms.

Room to receive BTC is bought on its own, with Add room to receive, and needs no BTC channel of yours first. Its fee is paid in BTC on Bitcoin testnet4, and the channel is ready once a Bitcoin block confirms it, often ten minutes or more.

Add capacity on the side you need, without giving up any you have:

• To receive more, buy more room from the asset's row in Balance: the service adds a channel to you with that room on its side. Spending over Lightning also makes room again, for free.
• To send more, move more of the asset to Lightning: it adds a channel with that amount on your side. Receiving over Lightning also adds to what you can send.

Each addition is a channel of its own beside the ones you have, because channels in an asset cannot be enlarged in place. Your node uses them together, and splits a payment across them when one channel is not enough.

For sending, by far. A payment over Lightning pays no on-chain fee, only a small routing fee when it passes through another node; on chain you pay once to move the asset in and once to move it back out. Someone who sends three payments a week on chain at 10 cents each pays about 7.80 USD in six months; over Lightning the same payments cost the two moves, about 20 cents, plus those routing fees.

For receiving, it depends on whether money also leaves. Room you buy is used up by what you receive and made again by what you spend, so:

• If you spend about as much as you receive, a little room serves you for months. 100 USDX of room for 6 months costs 2.50 USDX at 5% a year, against 7.80 USD for 78 payments on chain.
• If you only receive, every payment uses room up for good, and you need room for all of it. Receiving 10 USDX three times a week is 780 USDX in six months: buying that room for 6 months at 5% a year costs 19.50 USDX, and buying it a month at a time costs the minimum six times. On chain, receiving costs you nothing: the sender pays the fee.

These numbers use 5% a year and a 1 USDX minimum as an example; the dialog always shows the real price before you pay.

A Sequentia block comes about once a minute, a Bitcoin block about every ten minutes, and Lightning settles at once.

Why the last three are not available. When one side settles on-chain and the other over Lightning, a Bitcoin reorganisation can undo the on-chain side while the Lightning payment stands, and one party loses. Making that safe means waiting until the on-chain side is buried under several Bitcoin blocks, longer than the times shown. Swaps here settle in a minute or less, or in one Bitcoin block, so these combinations are not offered. Settle both sides on-chain, or both over Lightning.

The bitcoin here is Bitcoin testnet4, a public test network, not Sequentia. A swap that moves bitcoin on chain waits for a testnet4 block, and testnet4 blocks come irregularly: sometimes several in a few minutes, sometimes none for hours. People also flood it with transactions, so its fee estimates can climb to hundreds of sat/vB for coins worth nothing. On Bitcoin itself a block comes about every ten minutes.

While a trade waits, its row in Active trades says how long ago the last testnet4 block was found. You can close the wallet: the trade resumes when you open it again, and if the other side never completes, your coins come back to you after the timeout shown in the review.

Swaps between Sequentia assets, and swaps whose bitcoin moves over Lightning, do not wait for testnet4 blocks.

A swap that pays you over Lightning needs room on the other side of one of your channels, in the asset you receive, or the payment cannot arrive. With no room in that asset, receiving over Lightning is off in the swap: receive on-chain, or buy room first. With some room but less than the amount, the swap says what the rest costs; the service opens it when the order is placed, and its fee is owed to the service and paid with your next purchase of room to receive.

The same goes for paying: each side of a swap offers only the rails where you hold the asset, and picks the only one by itself when there is one.