Interledger test network in a box

Sets up an Interledger network on top of the Ethereum test network in a box.

Overview

This sets up two Interledger Connectors and two Interledger Ethereum Settlement Engines on top of a docker-compose Ethereum test network. This has some pretty tight coupling with the above mentioned docker-compose Ethereum test network, but it does make layering the services easy. For instance, a Ripple or Bitcoin test network could be set up in a separate docker-compose file and yet another docker-compose file could have the rest of the Interledger network settling over the other cryptocurrency network.

Since it uses shared externally managed networks, it is easy to connect it to another docker-compose managed project in the same manner this connects with the docker-compose Ethereum test network. It uses ilp-test-net and eth-test-net networks which are set up with the create_docker_network scripts in each repo.

Getting started

Make sure you've cloned both repos:

git clone git@github.com:adaburrows/ethereum-testnet-docker.git
git clone git@github.com:adaburrows/interledger-testnet-docker.git

Get four terminal tabs open. Two of them should be in the ethereum-testnet-docker and two of them should be in interledger-testnet-docker.

Let's step through getting the test networks set up:

1. Use the scripts to set up the required docker networks.
2. Bring up the Ethereum test network.
3. Use the facet to distribute some Wei to a few wallets.
4. Bring up the Interledger test network.
5. Run the script to set up the Interledger accounts.
6. Send a transaction and watch the transaction get settled.
7. Start playing around with more configuration options.

Set up the networks

In your first ethereum-testnet-docker terminal run:

./ethereum/scripts/create_docker_network

In your first interledger-testnet-docker terminal run:

./interledger/scripts/create_docker_network

Bring the Ethereum testnet online

In your first ethereum-testnet-docker terminal run:

docker-compose up

Wait for a few minutes looking at the logs until the nodes are reporting they all have 4 peers.

Distribute some funds

In your second ethereum-testnet-docker terminal, execute the following:

Let's give Xochitl and Cuauhtli 7 ETH.

./ethereum/scripts/drip 075DDc7E2f96e65a7835e55FB3DbfD438c4A26E0 7000000000000000000 # Xochitl

It will respond with a transaction number like this:

"0x59b4534074b6b495724cec6694856bc9c754326a4334d9964241f07234eb4b77"

Then run:

./ethereum/scripts/drip 65F5641480B861815E2C188F6097D519A8c48c98 7000000000000000000 # Cuauhtli

It will also return a transaction number like:

"0x132ef54cbdee6f8862441a9e9a419a0f0446ac7e95cf429c1c801a5db6e0008d"

Once those transactions are confirmed on the network and the new block replicates out to the nodes, we can check the balances to confirm:

./ethereum/scripts/balance eth-xochitl

7000000000000000000

./ethereum/scripts/balance eth-cuauhtli

7000000000000000000

Bring up the ILP network

In your first interledger-testnet-docker terminal run:

docker-compose up

That should actually come up really quickly and start displaying the logs.

Set up the ILP accounts

In your second interledger-testnet-docker terminal run:

./interledger/scripts/create-accounts

That should display output like this:

{"id":"0bf95a1b-c5a6-468d-93df-e545133d085f","username":"xochitl","ilp_address":"test.xochitl","asset_code":"ETH","asset_scale":18,"max_packet_amount":18446744073709551615,"min_balance":null,"ilp_over_http_url":null,"ilp_over_http_incoming_token":"SECRET","ilp_over_http_outgoing_token":"SECRET","ilp_over_btp_url":null,"ilp_over_btp_incoming_token":"SECRET","ilp_over_btp_outgoing_token":"SECRET","settle_threshold":null,"settle_to":null,"routing_relation":"NonRoutingAccount","round_trip_time":500,"packets_per_minute_limit":null,"amount_per_minute_limit":null,"settlement_engine_url":null}
{"id":"aa733d7e-ca2f-413f-8bef-59b62bab8f81","username":"cuauhtli","ilp_address":"test.cuauhtli","asset_code":"ETH","asset_scale":18,"max_packet_amount":18446744073709551615,"min_balance":null,"ilp_over_http_url":null,"ilp_over_http_incoming_token":"SECRET","ilp_over_http_outgoing_token":"SECRET","ilp_over_btp_url":null,"ilp_over_btp_incoming_token":"SECRET","ilp_over_btp_outgoing_token":"SECRET","settle_threshold":null,"settle_to":null,"routing_relation":"NonRoutingAccount","round_trip_time":500,"packets_per_minute_limit":null,"amount_per_minute_limit":null,"settlement_engine_url":null}
{"id":"6ff1f9d8-3f12-4d27-8d8f-431283d31c31","username":"cuauhtli","ilp_address":"test.cuauhtli","asset_code":"ETH","asset_scale":18,"max_packet_amount":18446744073709551615,"min_balance":null,"ilp_over_http_url":"http://ilp-cuauhtli-node:7770/accounts/xochitl/ilp","ilp_over_http_incoming_token":"SECRET","ilp_over_http_outgoing_token":"SECRET","ilp_over_btp_url":null,"ilp_over_btp_incoming_token":"SECRET","ilp_over_btp_outgoing_token":"SECRET","settle_threshold":7,"settle_to":0,"routing_relation":"Peer","round_trip_time":500,"packets_per_minute_limit":null,"amount_per_minute_limit":null,"settlement_engine_url":"http://ilp-xochitl-eth:3000/"}
{"id":"b9d145d3-7cdb-464e-bd98-06d2668cb6a7","username":"xochitl","ilp_address":"test.xochitl","asset_code":"ETH","asset_scale":18,"max_packet_amount":100000,"min_balance":-150000,"ilp_over_http_url":"http://ilp-xochitl-node:7770/accounts/cuauhtli/ilp","ilp_over_http_incoming_token":"SECRET","ilp_over_http_outgoing_token":"SECRET","ilp_over_btp_url":null,"ilp_over_btp_incoming_token":"SECRET","ilp_over_btp_outgoing_token":"SECRET","settle_threshold":7,"settle_to":0,"routing_relation":"Peer","round_trip_time":500,"packets_per_minute_limit":null,"amount_per_minute_limit":null,"settlement_engine_url":"http://ilp-cuauhtli-eth:3000/"}
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This script went through and created:

• a xochitl ilp account on ilp-xochitl-node
• a cuauhtli ilp account on ilp-cuauhtli-node
• a peering relationship for for settling between xochitl and cuauhtli
• a peering relationship for for settling between cuauhtli and xochitl

It also set the balances of the accounts equal to the balances of the reserve Ethereum wallets. The output from these actions are the two 0s. This will lead to an interesting outcome about reserve accounts.

Set up some aliases, so we don't have to type nearly as much.

. ./interledger/scripts/aliases

You can verify the balances by running:

xochitl-cli accounts balance xochitl --auth token.xochitl

{"asset_code":"ETH","balance":7.0}

Examine Cuauhtli's new ILP account balance with:

cuauhtli-cli accounts balance cuauhtli --auth token.cuauhtli

{"asset_code":"ETH","balance":7.0}

Send a transaction

In your second interledger-testnet-docker terminal:

Send a payment from Xochitl to Cuauhtli over ILP.

xochitl-cli pay xochitl --auth token.xochitl --amount 1000 --to http://ilp-cuauhtli-node:7770/accounts/cuauhtli/spsp

{"delivered_amount":1000,"destination_asset_code":"ETH","destination_asset_scale":18,"from":"test.xochitl","in_flight_amount":0,"sent_amount":1000,"source_amount":1000,"source_asset_code":"ETH","source_asset_scale":18,"to":"test.cuauhtli.09tfBVYWdMV3kgJHdTBHwPlD"}

Examine the new balance Xochitl has on the ILP network with:

xochitl-cli accounts balance xochitl --auth token.xochitl

{"asset_code":"ETH","balance":6.999999999999999}

Examine Cuauhtli's new ILP account balance with:

cuauhtli-cli accounts balance cuauhtli --auth token.cuauhtli

{"asset_code":"ETH","balance":7.000000000000001}

Once you see the next confirmation in the Ethereum network, you can check the Ethereum balances in the corresponding accounts.

In your second ethereum-testnet-docker terminal, execute the following:

./ethereum/scripts/balance eth-xochitl

6999978999999999000

./ethereum/scripts/balance eth-cuauhtli

7000000000000001000

Notice how these numbers are "wrong": Xochitl's balance is much lower than one would expect and it no longer matches what's in the Interledger account. This is because every Ethereum transaction costs "gas" which is paid by the sender. This will be mentioned again below along with ways to mitigate this.

That's the basic demo. Congratulations! You have just sent a payment over your own ILP network. Now you can change things around to see what happens. Also, the various script files are well documented in hopes that it makes understanding how to configure ILP a little easier.

Tear down the networks

In each terminal displaying docker-compose logs, hit Ctrl-C and wait for it to stop. Then in each of those terminals run:

docker-compose rm

That's it. The configuration is ready to change and be brought back up.

Play with the configuration

There's some interesting things going on here. The primary one is how much gas is used for confirming transactions on the Ethereum network. In our example, the cost is so much more than the single transaction that it's not worth settling that little because it eats up the reserve Ethereum account. How would we change this? We could edit the account configuration to have a much higher settlement threshold. Also, since this is our own network we could just lower the amount of gas required in our Ethereum network.

There's lots of other things which can be played with. For instance, we could set up a multitude of accounts all backed by Xochitl's reserve. This, however, is currently left as an exercise to the reader.

Here are some very important pointers on where to find the configuration options:

• Some of the configuration is based in the config files. These options are found in the source code for both the connector and the settlment engine:
  • Connector
  • Settlement Engine
• Some of the configuration is set on accounts and other entities through the API. One of the best sets of documentation for this is found in the:
  • CLI tool
  • Open API Specification
  • interledger-rs/docs/peering.md