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04.md
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## Rationale
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## Rationale
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[BDS-01](https://github.com/bits-wallet/specs/blob/main/01.md) mandates BitsApp channels to operate one-way-only for the interactivity benefits. This means inbound payments are not allowed for BitsApp channels. Sending on BitsApp is off-chain only, and receiving is on-chain-only. The only way to receive on-chain liquidity through lightning is submarine swaps. However, submarine swaps have many drawbacks:
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[BDS-01](https://github.com/bits-wallet/specs/blob/main/01.md) mandates BitsApp channels to operate one-way-only for the interactivity benefits. This means inbound payments are not allowed for BitsApp channels. Sending on BitsApp is off-chain only, and receiving is on-chain-only. The only way to receive on-chain liquidity through lightning is submarine swaps. However, submarine swaps have many drawbacks:
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### On-chain footprint
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Cannot allow batch openings, consuming more on-chain footprint. A third party (i.e. on-ramp exchange) cannot open a channel for two other parties (between the user and LSP), among other outputs. Note that Vortex enables batch openings as a side result but requires interactivity pre-channel formation.
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### Receiver privacy
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### Receiver privacy
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Offline receiving is not possible without compromising privacy.
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Offline receiving is not possible without compromising privacy.
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