This is what will happen if you're affected: Your node tries to open a channel. The channel funding transaction gets rejected (due to it using already spent funds) but it won't realize that. You'll end up with a pending channel that will never confirm and missing on-chain funds.
If this already happened to you, you need to: (1) Reinitialize your LND wallet by starting LND with
reset-wallet-transactions=true
(2) abandon the pending channels that have invalid opening transactions
The cause for this bug is 330 sat anchor transactions being swept and LND still thinking they're just unconfirmed.
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Lightning node operators - a thought:
Rebalancing should only be a measure of last resort if there is absolutely no other way to steer liquidity. Setting fees appropriately is working way better. 🧵
A lot of smaller node operators seem to aim for the perfect 50/50 channel balance, aggressively rebalancing, but only unbalancing other perfectly balanced channels, resulting in a perpetuum mobile of liquidity being moved back and forth all the time, paying fees to the pros.
If you're charging fees, you should use those to disincentivize liquidity flowing towards peers that you almost have no liquidity left to. If a channel has all the liquidity on your end, make it real cheap (maybe even zero) to route back. This will balance your channels for free.