The Lightning Network, a scaling solution for Bitcoin, offers improved privacy compared to on-chain payments. However, it is not completely private, as the sender can learn details about the receiver while the receiver learns nothing about the sender. The main issue is the vulnerability to global passive adversaries who can monitor internet connections and potentially deanonymize payment systems like Lightning. To mitigate this, nodes can send fake traffic to confuse adversaries and improve privacy. While improvements are being made, it is important to consider overall privacy rather than just incremental local changes.



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