NostrPayDM

Fun logo aside, NostrPayDM isn't really a thing; it's just a simple idea for how to run an on-chain bitcoin donation campaign via Nostr DMs.

This code is just an example proof of concept. Any Nostr client could easily implement this functionality.

How does it work?

• User adds an xpub to their Nostr client.
• Nostr client generates a new Nostr PK that will be its NostrPayDM bot account.
• User publishes the npub of their NostrPayDM bot.
  • (perhaps as part of their Nostr metadata, ala lnurl)
• Donors DM the NostrPayDM bot for a new on-chain address.
• User's Nostr client checks the bot's DMs in the background
  • The user continues to use their client as usual; all of this is essentially invisible to the user.
• User's Nostr client uses the xpub and the bot's PK to reply to the DM requests and send the new address.
• User's Nostr client updates its internal address index count so it never re-uses an already revealed address.

Goals

• Receive on-chain bitcoin without reusing addresses
• Keep bitcoin keys safely in cold storage
• Leverage Nostr DMs for close-enough-to-real-time interactions
• No server requirements. Just need it built into a Nostr client.

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Demo implementation

This demo has to be run on an internet-connected device that can run python. The ideal implementation of this idea is directly inside a Nostr client app.

Setup

# Requires python 3.8+
git clone https://github.com/kdmukai/nostrpaydm.git
cd nostrpaydm

pip install virtualenv
virtualenv .env
source .env/bin/activate
pip install -r requirements.txt

# Currently requires the 'dev' branch of my fork of python-nostr
git clone https://github.com/kdmukai/python-nostr.git
cd python-nostr
git checkout dev
pip install -e .
cd ..

cd src
python main.py