litd), connected to the Lightning node and typically runs on the same machine or network as the node. This is where macaroons are baked, requests and data are forwarded between node and user, and where the connection to the proxy server is made.
litd. This creates a pairing phrase, typically 10 English words from which a 64-byte stream ID can be derived.
litdthen starts to listen for incoming connections through the proxy, listening on the stream with the derived ID.