X and Y locked up 1 ETH each on-chain.
Balance: X (1 ETH) & Y (1 ETH).
X signed off-chain Tx sending 0.1 ETH to Y.
Balance: X (0.9) & Y (1.1).
X signed off-chain Tx sending 0.2 ETH to Y.
Balance: X (0.7) & Y (1.3).
Y signed off-chain Tx sending 0.5 ETH to X.
Balance: X (1.2) & Y (0.8).
Now, if we send all 3 of above off-chain tx on blockchain, it will consume similar gas as if we had send them at the time of signing the tx. How does it reduce the cost?
And if X and Y are signing a new balance status of both the party everytime then what prevents them from uploading the previously off-chain transaction (which doesn't reflect the actual balance) to blockchain?
What if I signed an off-chain with nonce 102 and then make an seperate on-chain transaction with nonce 102? The off-chain signed tx will become obsolete because same nonce tx are consider invalid.