remvod verbose debugging in stream api; fixed warning in stream_big test case
[oweals/gnunet.git] / src / stream / stream_api.c
index a7085c0afe58e7980f6066811a8b65359368e2c2..1dc1ba80e6c7ee959587aa9d2370ab238c4c0a4b 100644 (file)
   Boston, MA 02111-1307, USA.
 */
 
+/* TODO:
+ *
+ * Checks for matching the sender and socket->other_peer in server
+ * message handlers  
+ *
+ * Add code for write io timeout
+ *
+ * Include retransmission for control messages
+ **/
+
 /**
  * @file stream/stream_api.c
  * @brief Implementation of the stream library
  * @author Sree Harsha Totakura
  */
+
+
 #include "platform.h"
 #include "gnunet_common.h"
+#include "gnunet_crypto_lib.h"
 #include "gnunet_stream_lib.h"
 #include "stream_protocol.h"
 
+#define LOG(kind,...)                                   \
+  GNUNET_log_from (kind, "stream-api", __VA_ARGS__)
+
+/**
+ * The maximum packet size of a stream packet
+ */
+#define MAX_PACKET_SIZE 512//64000
+
+/**
+ * Receive buffer
+ */
+#define RECEIVE_BUFFER_SIZE 4096000
+
+/**
+ * The maximum payload a data message packet can carry
+ */
+static const size_t max_payload_size = 
+  MAX_PACKET_SIZE - sizeof (struct GNUNET_STREAM_DataMessage);
+
 /**
  * states in the Protocol
  */
@@ -85,11 +117,73 @@ enum State
   };
 
 
+/**
+ * Functions of this type are called when a message is written
+ *
+ * @param cls the closure from queue_message
+ * @param socket the socket the written message was bound to
+ */
+typedef void (*SendFinishCallback) (void *cls,
+                                    struct GNUNET_STREAM_Socket *socket);
+
+
+/**
+ * The send message queue
+ */
+struct MessageQueue
+{
+  /**
+   * The message
+   */
+  struct GNUNET_STREAM_MessageHeader *message;
+
+  /**
+   * Callback to be called when the message is sent
+   */
+  SendFinishCallback finish_cb;
+
+  /**
+   * The closure for finish_cb
+   */
+  void *finish_cb_cls;
+
+  /**
+   * The next message in queue. Should be NULL in the last message
+   */
+  struct MessageQueue *next;
+
+  /**
+   * The next message in queue. Should be NULL in the first message
+   */
+  struct MessageQueue *prev;
+};
+
+
 /**
  * The STREAM Socket Handler
  */
 struct GNUNET_STREAM_Socket
 {
+  /**
+   * Retransmission timeout
+   */
+  struct GNUNET_TIME_Relative retransmit_timeout;
+
+  /**
+   * The Acknowledgement Bitmap
+   */
+  GNUNET_STREAM_AckBitmap ack_bitmap;
+
+  /**
+   * Time when the Acknowledgement was queued
+   */
+  struct GNUNET_TIME_Absolute ack_time_registered;
+
+  /**
+   * Queued Acknowledgement deadline
+   */
+  struct GNUNET_TIME_Relative ack_time_deadline;
+
   /**
    * The mesh handle
    */
@@ -101,9 +195,65 @@ struct GNUNET_STREAM_Socket
   struct GNUNET_MESH_Tunnel *tunnel;
 
   /**
-   * The session id associated with this stream connection
+   * Stream open closure
    */
-  uint32_t session_id;
+  void *open_cls;
+
+  /**
+   * Stream open callback
+   */
+  GNUNET_STREAM_OpenCallback open_cb;
+
+  /**
+   * The current transmit handle (if a pending transmit request exists)
+   */
+  struct GNUNET_MESH_TransmitHandle *transmit_handle;
+
+  /**
+   * The current act transmit handle (if a pending ack transmit request exists)
+   */
+  struct GNUNET_MESH_TransmitHandle *ack_transmit_handle;
+
+  /**
+   * Pointer to the current ack message using in ack_task
+   */
+  struct GNUNET_STREAM_AckMessage *ack_msg;
+
+  /**
+   * The current message associated with the transmit handle
+   */
+  struct MessageQueue *queue_head;
+
+  /**
+   * The queue tail, should always point to the last message in queue
+   */
+  struct MessageQueue *queue_tail;
+
+  /**
+   * The write IO_handle associated with this socket
+   */
+  struct GNUNET_STREAM_IOWriteHandle *write_handle;
+
+  /**
+   * The read IO_handle associated with this socket
+   */
+  struct GNUNET_STREAM_IOReadHandle *read_handle;
+
+  /**
+   * The shutdown handle associated with this socket
+   */
+  struct GNUNET_STREAM_ShutdownHandle *shutdown_handle;
+
+  /**
+   * Buffer for storing received messages
+   */
+  void *receive_buffer;
+
+  /**
+   * The listen socket from which this socket is derived. Should be NULL if it
+   * is not a derived socket
+   */
+  struct GNUNET_STREAM_ListenSocket *lsocket;
 
   /**
    * The peer identity of the peer at the other end of the stream
@@ -111,19 +261,24 @@ struct GNUNET_STREAM_Socket
   struct GNUNET_PeerIdentity other_peer;
 
   /**
-   * Stream open closure
+   * Task identifier for the read io timeout task
    */
-  void *open_cls;
+  GNUNET_SCHEDULER_TaskIdentifier read_io_timeout_task_id;
 
   /**
-   * Stream open callback
+   * Task identifier for retransmission task after timeout
    */
-  GNUNET_STREAM_OpenCallback open_cb;
+  GNUNET_SCHEDULER_TaskIdentifier retransmission_timeout_task_id;
 
   /**
-   * Retransmission timeout
+   * The task for sending timely Acks
    */
-  struct GNUNET_TIME_Relative retransmit_timeout;
+  GNUNET_SCHEDULER_TaskIdentifier ack_task_id;
+
+  /**
+   * Task scheduled to continue a read operation.
+   */
+  GNUNET_SCHEDULER_TaskIdentifier read_task_id;
 
   /**
    * The state of the protocol associated with this socket
@@ -136,14 +291,61 @@ struct GNUNET_STREAM_Socket
   enum GNUNET_STREAM_Status status;
 
   /**
-   * The current transmit handle (if a pending transmit request exists)
+   * The number of previous timeouts; FIXME: currently not used
    */
-  struct GNUNET_MESH_TransmitHandle *transmit_handle;
+  unsigned int retries;
 
   /**
-   * The current message associated with the transmit handle
+   * The application port number (type: uint32_t)
+   */
+  GNUNET_MESH_ApplicationType app_port;
+
+  /**
+   * The session id associated with this stream connection
+   * FIXME: Not used currently, may be removed
+   */
+  uint32_t session_id;
+
+  /**
+   * Write sequence number. Set to random when sending HELLO(client) and
+   * HELLO_ACK(server) 
+   */
+  uint32_t write_sequence_number;
+
+  /**
+   * Read sequence number. This number's value is determined during handshake
+   */
+  uint32_t read_sequence_number;
+
+  /**
+   * The receiver buffer size
+   */
+  uint32_t receive_buffer_size;
+
+  /**
+   * The receiver buffer boundaries
+   */
+  uint32_t receive_buffer_boundaries[GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH];
+
+  /**
+   * receiver's available buffer after the last acknowledged packet
+   */
+  uint32_t receiver_window_available;
+
+  /**
+   * The offset pointer used during write operation
+   */
+  uint32_t write_offset;
+
+  /**
+   * The offset after which we are expecting data
    */
-  struct GNUNET_MessageHeader *message;
+  uint32_t read_offset;
+
+  /**
+   * The offset upto which user has read from the received buffer
+   */
+  uint32_t copy_offset;
 };
 
 
@@ -152,39 +354,126 @@ struct GNUNET_STREAM_Socket
  */
 struct GNUNET_STREAM_ListenSocket
 {
-
   /**
    * The mesh handle
    */
   struct GNUNET_MESH_Handle *mesh;
 
+  /**
+   * The callback function which is called after successful opening socket
+   */
+  GNUNET_STREAM_ListenCallback listen_cb;
+
+  /**
+   * The call back closure
+   */
+  void *listen_cb_cls;
+
   /**
    * The service port
+   * FIXME: Remove if not required!
    */
   GNUNET_MESH_ApplicationType port;
+};
+
 
+/**
+ * The IO Write Handle
+ */
+struct GNUNET_STREAM_IOWriteHandle
+{
   /**
-   * The callback function which is called after successful opening socket
+   * The socket to which this write handle is associated
    */
-  GNUNET_STREAM_ListenCallback listen_cb;
+  struct GNUNET_STREAM_Socket *socket;
 
   /**
-   * The call back closure
+   * The packet_buffers associated with this Handle
    */
-  void *listen_cb_cls;
+  struct GNUNET_STREAM_DataMessage *messages[GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH];
+
+  /**
+   * The write continuation callback
+   */
+  GNUNET_STREAM_CompletionContinuation write_cont;
+
+  /**
+   * Write continuation closure
+   */
+  void *write_cont_cls;
+
+  /**
+   * The bitmap of this IOHandle; Corresponding bit for a message is set when
+   * it has been acknowledged by the receiver
+   */
+  GNUNET_STREAM_AckBitmap ack_bitmap;
+
+  /**
+   * Number of bytes in this write handle
+   */
+  size_t size;
+};
+
+
+/**
+ * The IO Read Handle
+ */
+struct GNUNET_STREAM_IOReadHandle
+{
+  /**
+   * Callback for the read processor
+   */
+  GNUNET_STREAM_DataProcessor proc;
+
+  /**
+   * The closure pointer for the read processor callback
+   */
+  void *proc_cls;
+};
+
+
+/**
+ * Handle for Shutdown
+ */
+struct GNUNET_STREAM_ShutdownHandle
+{
+  /**
+   * The socket associated with this shutdown handle
+   */
+  struct GNUNET_STREAM_Socket *socket;
 
+  /**
+   * Shutdown completion callback
+   */
+  GNUNET_STREAM_ShutdownCompletion completion_cb;
+
+  /**
+   * Closure for completion callback
+   */
+  void *completion_cls;
+
+  /**
+   * Close message retransmission task id
+   */
+  GNUNET_SCHEDULER_TaskIdentifier close_msg_retransmission_task_id;
+
+  /**
+   * Which operation to shutdown? SHUT_RD, SHUT_WR or SHUT_RDWR
+   */
+  int operation;  
 };
 
+
 /**
  * Default value in seconds for various timeouts
  */
-static unsigned int default_timeout = 300;
+static unsigned int default_timeout = 10;
 
 
 /**
- * Callback function from send_message
+ * Callback function for sending queued message
  *
- * @param cls closure the socket on which the send message was called
+ * @param cls closure the socket
  * @param size number of bytes available in buf
  * @param buf where the callee should write the message
  * @return number of bytes written to buf
@@ -193,109 +482,720 @@ static size_t
 send_message_notify (void *cls, size_t size, void *buf)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
+  struct MessageQueue *head;
   size_t ret;
 
   socket->transmit_handle = NULL; /* Remove the transmit handle */
+  head = socket->queue_head;
+  if (NULL == head)
+    return 0; /* just to be safe */
   if (0 == size)                /* request timed out */
-    {
-      // statistics ("message timeout")
-      
-      
-      GNUNET_log (GNUNET_ERROR_TYPE_INFO,
-                 "Message not sent as tunnel was closed \n");
-      ret = 0;
-    }
-  else                          /* Size is more or equal to what was requested */
-    {
-      ret = ntohs (socket->message->size);
-      GNUNET_assert (size >= ret);
-      memcpy (buf, socket->message, ret);
-    }
-  GNUNET_free (socket->message); /* Free the message memory */
-  socket->message = NULL;
+  {
+    socket->retries++;
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Message sending timed out. Retry %d \n",
+         GNUNET_i2s (&socket->other_peer),
+         socket->retries);
+    socket->transmit_handle = 
+      GNUNET_MESH_notify_transmit_ready (socket->tunnel,
+                                         0, /* Corking */
+                                         1, /* Priority */
+                                         /* FIXME: exponential backoff */
+                                         socket->retransmit_timeout,
+                                         &socket->other_peer,
+                                         ntohs (head->message->header.size),
+                                         &send_message_notify,
+                                         socket);
+    return 0;
+  }
+
+  ret = ntohs (head->message->header.size);
+  GNUNET_assert (size >= ret);
+  memcpy (buf, head->message, ret);
+  if (NULL != head->finish_cb)
+  {
+    head->finish_cb (head->finish_cb_cls, socket);
+  }
+  GNUNET_CONTAINER_DLL_remove (socket->queue_head,
+                              socket->queue_tail,
+                              head);
+  GNUNET_free (head->message);
+  GNUNET_free (head);
+  head = socket->queue_head;
+  if (NULL != head)    /* more pending messages to send */
+  {
+    socket->retries = 0;
+    socket->transmit_handle = 
+      GNUNET_MESH_notify_transmit_ready (socket->tunnel,
+                                         0, /* Corking */
+                                         1, /* Priority */
+                                         /* FIXME: exponential backoff */
+                                         socket->retransmit_timeout,
+                                         &socket->other_peer,
+                                         ntohs (head->message->header.size),
+                                         &send_message_notify,
+                                         socket);
+  }
   return ret;
 }
 
 
 /**
- * Sends a message using the mesh connection of a socket
+ * Queues a message for sending using the mesh connection of a socket
  *
  * @param socket the socket whose mesh connection is used
  * @param message the message to be sent
+ * @param finish_cb the callback to be called when the message is sent
+ * @param finish_cb_cls the closure for the callback
  */
 static void
-send_message (struct GNUNET_STREAM_Socket *socket,
-              struct GNUNET_MessageHeader *message)
+queue_message (struct GNUNET_STREAM_Socket *socket,
+               struct GNUNET_STREAM_MessageHeader *message,
+               SendFinishCallback finish_cb,
+               void *finish_cb_cls)
 {
-  socket->message = message;
-  socket->transmit_handle = 
-    GNUNET_MESH_notify_transmit_ready (socket->tunnel,
-                                       0, /* Corking */
-                                       1, /* Priority */
-                                       socket->retransmit_timeout,
-                                       &socket->other_peer,
-                                       ntohs (message->size),
-                                       &send_message_notify,
-                                       socket);
+  struct MessageQueue *queue_entity;
+
+  GNUNET_assert 
+    ((ntohs (message->header.type) >= GNUNET_MESSAGE_TYPE_STREAM_DATA)
+     && (ntohs (message->header.type) <= GNUNET_MESSAGE_TYPE_STREAM_CLOSE_ACK));
+
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Queueing message of type %d and size %d\n",
+       GNUNET_i2s (&socket->other_peer),
+       ntohs (message->header.type),
+       ntohs (message->header.size));
+  GNUNET_assert (NULL != message);
+  queue_entity = GNUNET_malloc (sizeof (struct MessageQueue));
+  queue_entity->message = message;
+  queue_entity->finish_cb = finish_cb;
+  queue_entity->finish_cb_cls = finish_cb_cls;
+  GNUNET_CONTAINER_DLL_insert_tail (socket->queue_head,
+                                   socket->queue_tail,
+                                   queue_entity);
+  if (NULL == socket->transmit_handle)
+  {
+    socket->retries = 0;
+    socket->transmit_handle = 
+      GNUNET_MESH_notify_transmit_ready (socket->tunnel,
+                                        0, /* Corking */
+                                        1, /* Priority */
+                                        socket->retransmit_timeout,
+                                        &socket->other_peer,
+                                        ntohs (message->header.size),
+                                        &send_message_notify,
+                                        socket);
+  }
 }
 
+
 /**
- * Makes state transition dependending on the given state
+ * Copies a message and queues it for sending using the mesh connection of
+ * given socket 
  *
- * @param socket the socket whose state has to be transitioned
+ * @param socket the socket whose mesh connection is used
+ * @param message the message to be sent
+ * @param finish_cb the callback to be called when the message is sent
+ * @param finish_cb_cls the closure for the callback
  */
 static void
-make_state_transition (struct GNUNET_STREAM_Socket *socket)
+copy_and_queue_message (struct GNUNET_STREAM_Socket *socket,
+                        const struct GNUNET_STREAM_MessageHeader *message,
+                        SendFinishCallback finish_cb,
+                        void *finish_cb_cls)
 {
-
+  struct GNUNET_STREAM_MessageHeader *msg_copy;
+  uint16_t size;
+  
+  size = ntohs (message->header.size);
+  msg_copy = GNUNET_malloc (size);
+  memcpy (msg_copy, message, size);
+  queue_message (socket, msg_copy, finish_cb, finish_cb_cls);
 }
 
 
 /**
- * Client's message Handler for GNUNET_MESSAGE_TYPE_STREAM_DATA
+ * Callback function for sending ack message
  *
- * @param cls the socket (set from GNUNET_MESH_connect)
- * @param tunnel connection to the other end
- * @param tunnel_ctx place to store local state associated with the tunnel
- * @param sender who sent the message
- * @param message the actual message
- * @param atsi performance data for the connection
- * @return GNUNET_OK to keep the connection open,
- *         GNUNET_SYSERR to close it (signal serious error)
+ * @param cls closure the ACK message created in ack_task
+ * @param size number of bytes available in buffer
+ * @param buf where the callee should write the message
+ * @return number of bytes written to buf
  */
-static int
-client_handle_data (void *cls,
-             struct GNUNET_MESH_Tunnel *tunnel,
-             void **tunnel_ctx,
-             const struct GNUNET_PeerIdentity *sender,
-             const struct GNUNET_MessageHeader *message,
-             const struct GNUNET_ATS_Information*atsi)
+static size_t
+send_ack_notify (void *cls, size_t size, void *buf)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
-  uint16_t size;
-  const struct GNUNET_STREAM_DataMessage *data_msg;
-  const void *payload;
 
-  size = ntohs (message->size);
-  if (size < sizeof (struct GNUNET_STREAM_DataMessage))
+  if (0 == size)
   {
-    GNUNET_break_op (0);
-    return GNUNET_SYSERR;
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s called with size 0\n", __func__);
+    return 0;
   }
-  data_msg = (const struct GNUNET_STREAM_DataMessage *) message;
-  size -= sizeof (struct GNUNET_STREAM_DataMessage);
-  payload = &data_msg[1];
-  /* ... */
+  GNUNET_assert (ntohs (socket->ack_msg->header.header.size) <= size);
   
-  return GNUNET_OK;
+  size = ntohs (socket->ack_msg->header.header.size);
+  memcpy (buf, socket->ack_msg, size);
+  
+  GNUNET_free (socket->ack_msg);
+  socket->ack_msg = NULL;
+  socket->ack_transmit_handle = NULL;
+  return size;
 }
 
 /**
- * Client's message handler for GNUNET_MESSAGE_TYPE_STREAM_HELLO
+ * Writes data using the given socket. The amount of data written is limited by
+ * the receiver_window_size
  *
- * @param cls the socket (set from GNUNET_MESH_connect)
+ * @param socket the socket to use
+ */
+static void 
+write_data (struct GNUNET_STREAM_Socket *socket);
+
+/**
+ * Task for retransmitting data messages if they aren't ACK before their ack
+ * deadline 
+ *
+ * @param cls the socket
+ * @param tc the Task context
+ */
+static void
+retransmission_timeout_task (void *cls,
+                             const struct GNUNET_SCHEDULER_TaskContext *tc)
+{
+  struct GNUNET_STREAM_Socket *socket = cls;
+  
+  if (GNUNET_SCHEDULER_REASON_SHUTDOWN == tc->reason)
+    return;
+
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Retransmitting DATA...\n", GNUNET_i2s (&socket->other_peer));
+  socket->retransmission_timeout_task_id = GNUNET_SCHEDULER_NO_TASK;
+  write_data (socket);
+}
+
+
+/**
+ * Task for sending ACK message
+ *
+ * @param cls the socket
+ * @param tc the Task context
+ */
+static void
+ack_task (void *cls,
+          const struct GNUNET_SCHEDULER_TaskContext *tc)
+{
+  struct GNUNET_STREAM_Socket *socket = cls;
+  struct GNUNET_STREAM_AckMessage *ack_msg;
+
+  if (GNUNET_SCHEDULER_REASON_SHUTDOWN == tc->reason)
+  {
+    return;
+  }
+  socket->ack_task_id = GNUNET_SCHEDULER_NO_TASK;
+  /* Create the ACK Message */
+  ack_msg = GNUNET_malloc (sizeof (struct GNUNET_STREAM_AckMessage));
+  ack_msg->header.header.size = htons (sizeof (struct 
+                                               GNUNET_STREAM_AckMessage));
+  ack_msg->header.header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_ACK);
+  ack_msg->bitmap = GNUNET_htonll (socket->ack_bitmap);
+  ack_msg->base_sequence_number = htonl (socket->read_sequence_number);
+  ack_msg->receive_window_remaining = 
+    htonl (RECEIVE_BUFFER_SIZE - socket->receive_buffer_size);
+  socket->ack_msg = ack_msg;
+  /* Request MESH for sending ACK */
+  socket->ack_transmit_handle = 
+    GNUNET_MESH_notify_transmit_ready (socket->tunnel,
+                                       0, /* Corking */
+                                       1, /* Priority */
+                                       socket->retransmit_timeout,
+                                       &socket->other_peer,
+                                       ntohs (ack_msg->header.header.size),
+                                       &send_ack_notify,
+                                       socket);
+}
+
+
+/**
+ * Retransmission task for shutdown messages
+ *
+ * @param cls the shutdown handle
+ * @param tc the Task Context
+ */
+static void
+close_msg_retransmission_task (void *cls,
+                               const struct GNUNET_SCHEDULER_TaskContext *tc)
+{
+  struct GNUNET_STREAM_ShutdownHandle *shutdown_handle = cls;
+  struct GNUNET_STREAM_MessageHeader *msg;
+  struct GNUNET_STREAM_Socket *socket;
+
+  GNUNET_assert (NULL != shutdown_handle);
+  socket = shutdown_handle->socket;
+
+  msg = GNUNET_malloc (sizeof (struct GNUNET_STREAM_MessageHeader));
+  msg->header.size = htons (sizeof (struct GNUNET_STREAM_MessageHeader));
+  switch (shutdown_handle->operation)
+  {
+  case SHUT_RDWR:
+    msg->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_CLOSE);
+    break;
+  case SHUT_RD:
+    msg->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_RECEIVE_CLOSE);
+    break;
+  case SHUT_WR:
+    msg->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_TRANSMIT_CLOSE);
+    break;
+  default:
+    GNUNET_free (msg);
+    shutdown_handle->close_msg_retransmission_task_id = 
+      GNUNET_SCHEDULER_NO_TASK;
+    return;
+  }
+  queue_message (socket, msg, NULL, NULL);
+  shutdown_handle->close_msg_retransmission_task_id =
+    GNUNET_SCHEDULER_add_delayed (socket->retransmit_timeout,
+                                  &close_msg_retransmission_task,
+                                  shutdown_handle);
+}
+
+
+/**
+ * Function to modify a bit in GNUNET_STREAM_AckBitmap
+ *
+ * @param bitmap the bitmap to modify
+ * @param bit the bit number to modify
+ * @param value GNUNET_YES to on, GNUNET_NO to off
+ */
+static void
+ackbitmap_modify_bit (GNUNET_STREAM_AckBitmap *bitmap,
+                     unsigned int bit, 
+                     int value)
+{
+  GNUNET_assert (bit < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH);
+  if (GNUNET_YES == value)
+    *bitmap |= (1LL << bit);
+  else
+    *bitmap &= ~(1LL << bit);
+}
+
+
+/**
+ * Function to check if a bit is set in the GNUNET_STREAM_AckBitmap
+ *
+ * @param bitmap address of the bitmap that has to be checked
+ * @param bit the bit number to check
+ * @return GNUNET_YES if the bit is set; GNUNET_NO if not
+ */
+static uint8_t
+ackbitmap_is_bit_set (const GNUNET_STREAM_AckBitmap *bitmap,
+                      unsigned int bit)
+{
+  GNUNET_assert (bit < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH);
+  return 0 != (*bitmap & (1LL << bit));
+}
+
+
+/**
+ * Writes data using the given socket. The amount of data written is limited by
+ * the receiver_window_size
+ *
+ * @param socket the socket to use
+ */
+static void 
+write_data (struct GNUNET_STREAM_Socket *socket)
+{
+  struct GNUNET_STREAM_IOWriteHandle *io_handle = socket->write_handle;
+  int packet;                   /* Although an int, should never be negative */
+  int ack_packet;
+
+  ack_packet = -1;
+  /* Find the last acknowledged packet */
+  for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+  {      
+    if (GNUNET_YES == ackbitmap_is_bit_set (&io_handle->ack_bitmap,
+                                            packet))
+      ack_packet = packet;        
+    else if (NULL == io_handle->messages[packet])
+      break;
+  }
+  /* Resend packets which weren't ack'ed */
+  for (packet=0; packet < ack_packet; packet++)
+  {
+    if (GNUNET_NO == ackbitmap_is_bit_set (&io_handle->ack_bitmap,
+                                           packet))
+    {
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Placing DATA message with sequence %u in send queue\n",
+           GNUNET_i2s (&socket->other_peer),
+           ntohl (io_handle->messages[packet]->sequence_number));
+      copy_and_queue_message (socket,
+                              &io_handle->messages[packet]->header,
+                              NULL,
+                              NULL);
+    }
+  }
+  packet = ack_packet + 1;
+  /* Now send new packets if there is enough buffer space */
+  while ( (NULL != io_handle->messages[packet]) &&
+         (socket->receiver_window_available 
+           >= ntohs (io_handle->messages[packet]->header.header.size)) &&
+          (packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH))
+  {
+    socket->receiver_window_available -= 
+      ntohs (io_handle->messages[packet]->header.header.size);
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Placing DATA message with sequence %u in send queue\n",
+         GNUNET_i2s (&socket->other_peer),
+         ntohl (io_handle->messages[packet]->sequence_number));
+    copy_and_queue_message (socket,
+                            &io_handle->messages[packet]->header,
+                            NULL,
+                            NULL);
+    packet++;
+  }
+  if (GNUNET_SCHEDULER_NO_TASK == socket->retransmission_timeout_task_id)
+    socket->retransmission_timeout_task_id = 
+      GNUNET_SCHEDULER_add_delayed (GNUNET_TIME_relative_multiply 
+                                    (GNUNET_TIME_UNIT_SECONDS, 8),
+                                    &retransmission_timeout_task,
+                                    socket);
+}
+
+
+/**
+ * Task for calling the read processor
+ *
+ * @param cls the socket
+ * @param tc the task context
+ */
+static void
+call_read_processor (void *cls,
+                     const struct GNUNET_SCHEDULER_TaskContext *tc)
+{
+  struct GNUNET_STREAM_Socket *socket = cls;
+  size_t read_size;
+  size_t valid_read_size;
+  unsigned int packet;
+  uint32_t sequence_increase;
+  uint32_t offset_increase;
+
+  socket->read_task_id = GNUNET_SCHEDULER_NO_TASK;
+  if (0 != (tc->reason & GNUNET_SCHEDULER_REASON_SHUTDOWN))
+    return;
+
+  if (NULL == socket->receive_buffer) 
+    return;
+
+  GNUNET_assert (NULL != socket->read_handle);
+  GNUNET_assert (NULL != socket->read_handle->proc);
+
+  /* Check the bitmap for any holes */
+  for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+  {
+    if (GNUNET_NO == ackbitmap_is_bit_set (&socket->ack_bitmap,
+                                           packet))
+      break;
+  }
+  /* We only call read processor if we have the first packet */
+  GNUNET_assert (0 < packet);
+  valid_read_size = 
+    socket->receive_buffer_boundaries[packet-1] - socket->copy_offset;
+  GNUNET_assert (0 != valid_read_size);
+  /* Cancel the read_io_timeout_task */
+  GNUNET_SCHEDULER_cancel (socket->read_io_timeout_task_id);
+  socket->read_io_timeout_task_id = GNUNET_SCHEDULER_NO_TASK;
+  /* Call the data processor */
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Calling read processor\n",
+       GNUNET_i2s (&socket->other_peer));
+  read_size = 
+    socket->read_handle->proc (socket->read_handle->proc_cls,
+                               socket->status,
+                               socket->receive_buffer + socket->copy_offset,
+                               valid_read_size);
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Read processor read %d bytes\n",
+       GNUNET_i2s (&socket->other_peer), read_size);
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Read processor completed successfully\n",
+       GNUNET_i2s (&socket->other_peer));
+  /* Free the read handle */
+  GNUNET_free (socket->read_handle);
+  socket->read_handle = NULL;
+  GNUNET_assert (read_size <= valid_read_size);
+  socket->copy_offset += read_size;
+  /* Determine upto which packet we can remove from the buffer */
+  for (packet = 0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+  {
+    if (socket->copy_offset == socket->receive_buffer_boundaries[packet])
+    { packet++; break; }
+    if (socket->copy_offset < socket->receive_buffer_boundaries[packet])
+      break;
+  }
+
+  /* If no packets can be removed we can't move the buffer */
+  if (0 == packet) return;
+  sequence_increase = packet;
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Sequence increase after read processor completion: %u\n",
+       GNUNET_i2s (&socket->other_peer), sequence_increase);
+
+  /* Shift the data in the receive buffer */
+  socket->receive_buffer = 
+    memmove (socket->receive_buffer,
+            socket->receive_buffer 
+            + socket->receive_buffer_boundaries[sequence_increase-1],
+            socket->receive_buffer_size
+            - socket->receive_buffer_boundaries[sequence_increase-1]);
+  /* Shift the bitmap */
+  socket->ack_bitmap = socket->ack_bitmap >> sequence_increase;
+  /* Set read_sequence_number */
+  socket->read_sequence_number += sequence_increase;
+  /* Set read_offset */
+  offset_increase = socket->receive_buffer_boundaries[sequence_increase-1];
+  socket->read_offset += offset_increase;
+  /* Fix copy_offset */
+  GNUNET_assert (offset_increase <= socket->copy_offset);
+  socket->copy_offset -= offset_increase;
+  /* Fix relative boundaries */
+  for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+  {
+    if (packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH - sequence_increase)
+    {
+      uint32_t ahead_buffer_boundary;
+
+      ahead_buffer_boundary = 
+       socket->receive_buffer_boundaries[packet + sequence_increase];
+      if (0 == ahead_buffer_boundary)
+       socket->receive_buffer_boundaries[packet] = 0;
+      else
+      {
+       GNUNET_assert (offset_increase < ahead_buffer_boundary);
+       socket->receive_buffer_boundaries[packet] = 
+         ahead_buffer_boundary - offset_increase;
+      }
+    }
+    else
+      socket->receive_buffer_boundaries[packet] = 0;
+  }
+}
+
+
+/**
+ * Cancels the existing read io handle
+ *
+ * @param cls the closure from the SCHEDULER call
+ * @param tc the task context
+ */
+static void
+read_io_timeout (void *cls, 
+                 const struct GNUNET_SCHEDULER_TaskContext *tc)
+{
+  struct GNUNET_STREAM_Socket *socket = cls;
+  GNUNET_STREAM_DataProcessor proc;
+  void *proc_cls;
+
+  socket->read_io_timeout_task_id = GNUNET_SCHEDULER_NO_TASK;
+  if (socket->read_task_id != GNUNET_SCHEDULER_NO_TASK)
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Read task timedout - Cancelling it\n",
+         GNUNET_i2s (&socket->other_peer));
+    GNUNET_SCHEDULER_cancel (socket->read_task_id);
+    socket->read_task_id = GNUNET_SCHEDULER_NO_TASK;
+  }
+  GNUNET_assert (NULL != socket->read_handle);
+  proc = socket->read_handle->proc;
+  proc_cls = socket->read_handle->proc_cls;
+
+  GNUNET_free (socket->read_handle);
+  socket->read_handle = NULL;
+  /* Call the read processor to signal timeout */
+  proc (proc_cls,
+        GNUNET_STREAM_TIMEOUT,
+        NULL,
+        0);
+}
+
+
+/**
+ * Handler for DATA messages; Same for both client and server
+ *
+ * @param socket the socket through which the ack was received
  * @param tunnel connection to the other end
- * @param tunnel_ctx this is NULL
+ * @param sender who sent the message
+ * @param msg the data message
+ * @param atsi performance data for the connection
+ * @return GNUNET_OK to keep the connection open,
+ *         GNUNET_SYSERR to close it (signal serious error)
+ */
+static int
+handle_data (struct GNUNET_STREAM_Socket *socket,
+             struct GNUNET_MESH_Tunnel *tunnel,
+             const struct GNUNET_PeerIdentity *sender,
+             const struct GNUNET_STREAM_DataMessage *msg,
+             const struct GNUNET_ATS_Information*atsi)
+{
+  const void *payload;
+  uint32_t bytes_needed;
+  uint32_t relative_offset;
+  uint32_t relative_sequence_number;
+  uint16_t size;
+
+  size = htons (msg->header.header.size);
+  if (size < sizeof (struct GNUNET_STREAM_DataMessage))
+  {
+    GNUNET_break_op (0);
+    return GNUNET_SYSERR;
+  }
+
+  if (0 != memcmp (sender,
+                   &socket->other_peer,
+                   sizeof (struct GNUNET_PeerIdentity)))
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received DATA from non-confirming peer\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_YES;
+  }
+
+  switch (socket->state)
+  {
+  case STATE_ESTABLISHED:
+  case STATE_TRANSMIT_CLOSED:
+  case STATE_TRANSMIT_CLOSE_WAIT:
+      
+    /* check if the message's sequence number is in the range we are
+       expecting */
+    relative_sequence_number = 
+      ntohl (msg->sequence_number) - socket->read_sequence_number;
+    if ( relative_sequence_number > GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH)
+    {
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Ignoring received message with sequence number %u\n",
+           GNUNET_i2s (&socket->other_peer),
+           ntohl (msg->sequence_number));
+      /* Start ACK sending task if one is not already present */
+      if (GNUNET_SCHEDULER_NO_TASK == socket->ack_task_id)
+      {
+        socket->ack_task_id = 
+          GNUNET_SCHEDULER_add_delayed (GNUNET_TIME_relative_ntoh
+                                        (msg->ack_deadline),
+                                        &ack_task,
+                                        socket);
+      }
+      return GNUNET_YES;
+    }
+      
+    /* Check if we have already seen this message */
+    if (GNUNET_YES == ackbitmap_is_bit_set (&socket->ack_bitmap,
+                                            relative_sequence_number))
+    {
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Ignoring already received message with sequence number %u\n",
+           GNUNET_i2s (&socket->other_peer),
+           ntohl (msg->sequence_number));
+      /* Start ACK sending task if one is not already present */
+      if (GNUNET_SCHEDULER_NO_TASK == socket->ack_task_id)
+      {
+        socket->ack_task_id = 
+          GNUNET_SCHEDULER_add_delayed (GNUNET_TIME_relative_ntoh
+                                        (msg->ack_deadline),
+                                        &ack_task,
+                                        socket);
+      }
+      return GNUNET_YES;
+    }
+
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Receiving DATA with sequence number: %u and size: %d from %s\n",
+         GNUNET_i2s (&socket->other_peer),
+         ntohl (msg->sequence_number),
+         ntohs (msg->header.header.size),
+         GNUNET_i2s (&socket->other_peer));
+      
+    /* Check if we have to allocate the buffer */
+    size -= sizeof (struct GNUNET_STREAM_DataMessage);
+    relative_offset = ntohl (msg->offset) - socket->read_offset;
+    bytes_needed = relative_offset + size;
+    if (bytes_needed > socket->receive_buffer_size)
+    {
+      if (bytes_needed <= RECEIVE_BUFFER_SIZE)
+      {
+        socket->receive_buffer = GNUNET_realloc (socket->receive_buffer,
+                                                 bytes_needed);
+        socket->receive_buffer_size = bytes_needed;
+      }
+      else
+      {
+        LOG (GNUNET_ERROR_TYPE_DEBUG,
+             "%s: Cannot accommodate packet %d as buffer is full\n",
+             GNUNET_i2s (&socket->other_peer),
+             ntohl (msg->sequence_number));
+        return GNUNET_YES;
+      }
+    }
+      
+    /* Copy Data to buffer */
+    payload = &msg[1];
+    GNUNET_assert (relative_offset + size <= socket->receive_buffer_size);
+    memcpy (socket->receive_buffer + relative_offset,
+            payload,
+            size);
+    socket->receive_buffer_boundaries[relative_sequence_number] = 
+      relative_offset + size;
+      
+    /* Modify the ACK bitmap */
+    ackbitmap_modify_bit (&socket->ack_bitmap,
+                          relative_sequence_number,
+                          GNUNET_YES);
+
+    /* Start ACK sending task if one is not already present */
+    if (GNUNET_SCHEDULER_NO_TASK == socket->ack_task_id)
+    {
+      socket->ack_task_id = 
+        GNUNET_SCHEDULER_add_delayed (GNUNET_TIME_relative_ntoh
+                                      (msg->ack_deadline),
+                                      &ack_task,
+                                      socket);
+    }
+
+    if ((NULL != socket->read_handle) /* A read handle is waiting */
+        /* There is no current read task */
+        && (GNUNET_SCHEDULER_NO_TASK == socket->read_task_id)
+        /* We have the first packet */
+        && (GNUNET_YES == ackbitmap_is_bit_set(&socket->ack_bitmap,
+                                               0)))
+    {
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Scheduling read processor\n",
+           GNUNET_i2s (&socket->other_peer));
+          
+      socket->read_task_id = 
+        GNUNET_SCHEDULER_add_now (&call_read_processor,
+                                  socket);
+    }
+      
+    break;
+
+  default:
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received data message when it cannot be handled\n",
+         GNUNET_i2s (&socket->other_peer));
+    break;
+  }
+  return GNUNET_YES;
+}
+
+
+/**
+ * Client's message Handler for GNUNET_MESSAGE_TYPE_STREAM_DATA
+ *
+ * @param cls the socket (set from GNUNET_MESH_connect)
+ * @param tunnel connection to the other end
+ * @param tunnel_ctx place to store local state associated with the tunnel
  * @param sender who sent the message
  * @param message the actual message
  * @param atsi performance data for the connection
@@ -303,16 +1203,177 @@ client_handle_data (void *cls,
  *         GNUNET_SYSERR to close it (signal serious error)
  */
 static int
-client_handle_hello (void *cls,
-                     struct GNUNET_MESH_Tunnel *tunnel,
-                     void **tunnel_ctx,
-                     const struct GNUNET_PeerIdentity *sender,
-                     const struct GNUNET_MessageHeader *message,
-                     const struct GNUNET_ATS_Information*atsi)
+client_handle_data (void *cls,
+                    struct GNUNET_MESH_Tunnel *tunnel,
+                    void **tunnel_ctx,
+                    const struct GNUNET_PeerIdentity *sender,
+                    const struct GNUNET_MessageHeader *message,
+                    const struct GNUNET_ATS_Information*atsi)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
 
-  return GNUNET_OK;
+  return handle_data (socket, 
+                      tunnel, 
+                      sender, 
+                      (const struct GNUNET_STREAM_DataMessage *) message, 
+                      atsi);
+}
+
+
+/**
+ * Callback to set state to ESTABLISHED
+ *
+ * @param cls the closure from queue_message FIXME: document
+ * @param socket the socket to requiring state change
+ */
+static void
+set_state_established (void *cls,
+                       struct GNUNET_STREAM_Socket *socket)
+{
+  LOG (GNUNET_ERROR_TYPE_DEBUG, 
+       "%s: Attaining ESTABLISHED state\n",
+       GNUNET_i2s (&socket->other_peer));
+  socket->write_offset = 0;
+  socket->read_offset = 0;
+  socket->state = STATE_ESTABLISHED;
+  /* FIXME: What if listen_cb is NULL */
+  if (NULL != socket->lsocket)
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Calling listen callback\n",
+         GNUNET_i2s (&socket->other_peer));
+    if (GNUNET_SYSERR == 
+        socket->lsocket->listen_cb (socket->lsocket->listen_cb_cls,
+                                    socket,
+                                    &socket->other_peer))
+    {
+      socket->state = STATE_CLOSED;
+      /* FIXME: We should close in a decent way */
+      GNUNET_MESH_tunnel_destroy (socket->tunnel); /* Destroy the tunnel */
+      GNUNET_free (socket);
+    }
+  }
+  else if (socket->open_cb)
+    socket->open_cb (socket->open_cls, socket);
+}
+
+
+/**
+ * Callback to set state to HELLO_WAIT
+ *
+ * @param cls the closure from queue_message
+ * @param socket the socket to requiring state change
+ */
+static void
+set_state_hello_wait (void *cls,
+                      struct GNUNET_STREAM_Socket *socket)
+{
+  GNUNET_assert (STATE_INIT == socket->state);
+  LOG (GNUNET_ERROR_TYPE_DEBUG, 
+       "%s: Attaining HELLO_WAIT state\n",
+       GNUNET_i2s (&socket->other_peer));
+  socket->state = STATE_HELLO_WAIT;
+}
+
+
+/**
+ * Callback to set state to CLOSE_WAIT
+ *
+ * @param cls the closure from queue_message
+ * @param socket the socket requiring state change
+ */
+static void
+set_state_close_wait (void *cls,
+                      struct GNUNET_STREAM_Socket *socket)
+{
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Attaing CLOSE_WAIT state\n",
+       GNUNET_i2s (&socket->other_peer));
+  socket->state = STATE_CLOSE_WAIT;
+  GNUNET_free_non_null (socket->receive_buffer); /* Free the receive buffer */
+  socket->receive_buffer = NULL;
+  socket->receive_buffer_size = 0;
+}
+
+
+/**
+ * Callback to set state to RECEIVE_CLOSE_WAIT
+ *
+ * @param cls the closure from queue_message
+ * @param socket the socket requiring state change
+ */
+static void
+set_state_receive_close_wait (void *cls,
+                              struct GNUNET_STREAM_Socket *socket)
+{
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Attaing RECEIVE_CLOSE_WAIT state\n",
+       GNUNET_i2s (&socket->other_peer));
+  socket->state = STATE_RECEIVE_CLOSE_WAIT;
+  GNUNET_free_non_null (socket->receive_buffer); /* Free the receive buffer */
+  socket->receive_buffer = NULL;
+  socket->receive_buffer_size = 0;
+}
+
+
+/**
+ * Callback to set state to TRANSMIT_CLOSE_WAIT
+ *
+ * @param cls the closure from queue_message
+ * @param socket the socket requiring state change
+ */
+static void
+set_state_transmit_close_wait (void *cls,
+                               struct GNUNET_STREAM_Socket *socket)
+{
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Attaing TRANSMIT_CLOSE_WAIT state\n",
+       GNUNET_i2s (&socket->other_peer));
+  socket->state = STATE_TRANSMIT_CLOSE_WAIT;
+}
+
+
+/**
+ * Callback to set state to CLOSED
+ *
+ * @param cls the closure from queue_message
+ * @param socket the socket requiring state change
+ */
+static void
+set_state_closed (void *cls,
+                  struct GNUNET_STREAM_Socket *socket)
+{
+  socket->state = STATE_CLOSED;
+}
+
+/**
+ * Returns a new HelloAckMessage. Also sets the write sequence number for the
+ * socket
+ *
+ * @param socket the socket for which this HelloAckMessage has to be generated
+ * @return the HelloAckMessage
+ */
+static struct GNUNET_STREAM_HelloAckMessage *
+generate_hello_ack_msg (struct GNUNET_STREAM_Socket *socket)
+{
+  struct GNUNET_STREAM_HelloAckMessage *msg;
+
+  /* Get the random sequence number */
+  socket->write_sequence_number = 
+    GNUNET_CRYPTO_random_u32 (GNUNET_CRYPTO_QUALITY_NONCE, UINT32_MAX);
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Generated write sequence number %u\n",
+       GNUNET_i2s (&socket->other_peer),
+       (unsigned int) socket->write_sequence_number);
+  
+  msg = GNUNET_malloc (sizeof (struct GNUNET_STREAM_HelloAckMessage));
+  msg->header.header.size = 
+    htons (sizeof (struct GNUNET_STREAM_HelloAckMessage));
+  msg->header.header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_HELLO_ACK);
+  msg->sequence_number = htonl (socket->write_sequence_number);
+  msg->receiver_window_size = htonl (RECEIVE_BUFFER_SIZE);
+
+  return msg;
 }
 
 
@@ -337,8 +1398,55 @@ client_handle_hello_ack (void *cls,
                          const struct GNUNET_ATS_Information*atsi)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
+  const struct GNUNET_STREAM_HelloAckMessage *ack_msg;
+  struct GNUNET_STREAM_HelloAckMessage *reply;
+
+  if (0 != memcmp (sender,
+                   &socket->other_peer,
+                   sizeof (struct GNUNET_PeerIdentity)))
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received HELLO_ACK from non-confirming peer\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_YES;
+  }
+  ack_msg = (const struct GNUNET_STREAM_HelloAckMessage *) message;
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Received HELLO_ACK from %s\n",
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+
+  GNUNET_assert (socket->tunnel == tunnel);
+  switch (socket->state)
+  {
+  case STATE_HELLO_WAIT:
+    socket->read_sequence_number = ntohl (ack_msg->sequence_number);
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Read sequence number %u\n",
+         GNUNET_i2s (&socket->other_peer),
+         (unsigned int) socket->read_sequence_number);
+    socket->receiver_window_available = ntohl (ack_msg->receiver_window_size);
+    reply = generate_hello_ack_msg (socket);
+    queue_message (socket,
+                   &reply->header, 
+                   &set_state_established, 
+                   NULL);      
+    return GNUNET_OK;
+  case STATE_ESTABLISHED:
+  case STATE_RECEIVE_CLOSE_WAIT:
+    // call statistics (# ACKs ignored++)
+    return GNUNET_OK;
+  case STATE_INIT:
+  default:
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Server %s sent HELLO_ACK when in state %d\n", 
+         GNUNET_i2s (&socket->other_peer),
+         GNUNET_i2s (&socket->other_peer),
+         socket->state);
+    socket->state = STATE_CLOSED; // introduce STATE_ERROR?
+    return GNUNET_SYSERR;
+  }
 
-  return GNUNET_OK;
 }
 
 
@@ -362,12 +1470,53 @@ client_handle_reset (void *cls,
                      const struct GNUNET_MessageHeader *message,
                      const struct GNUNET_ATS_Information*atsi)
 {
-  struct GNUNET_STREAM_Socket *socket = cls;
+  // struct GNUNET_STREAM_Socket *socket = cls;
 
   return GNUNET_OK;
 }
 
 
+/**
+ * Common message handler for handling TRANSMIT_CLOSE messages
+ *
+ * @param socket the socket through which the ack was received
+ * @param tunnel connection to the other end
+ * @param sender who sent the message
+ * @param msg the transmit close message
+ * @param atsi performance data for the connection
+ * @return GNUNET_OK to keep the connection open,
+ *         GNUNET_SYSERR to close it (signal serious error)
+ */
+static int
+handle_transmit_close (struct GNUNET_STREAM_Socket *socket,
+                       struct GNUNET_MESH_Tunnel *tunnel,
+                       const struct GNUNET_PeerIdentity *sender,
+                       const struct GNUNET_STREAM_MessageHeader *msg,
+                       const struct GNUNET_ATS_Information*atsi)
+{
+  struct GNUNET_STREAM_MessageHeader *reply;
+
+  switch (socket->state)
+  {
+  case STATE_ESTABLISHED:
+    socket->state = STATE_RECEIVE_CLOSED;
+
+    /* Send TRANSMIT_CLOSE_ACK */
+    reply = GNUNET_malloc (sizeof (struct GNUNET_STREAM_MessageHeader));
+    reply->header.type = 
+      htons (GNUNET_MESSAGE_TYPE_STREAM_TRANSMIT_CLOSE_ACK);
+    reply->header.size = htons (sizeof (struct GNUNET_STREAM_MessageHeader));
+    queue_message (socket, reply, NULL, NULL);
+    break;
+
+  default:
+    /* FIXME: Call statistics? */
+    break;
+  }
+  return GNUNET_YES;
+}
+
+
 /**
  * Client's message handler for GNUNET_MESSAGE_TYPE_STREAM_TRANSMIT_CLOSE
  *
@@ -389,7 +1538,146 @@ client_handle_transmit_close (void *cls,
                               const struct GNUNET_ATS_Information*atsi)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
+  
+  return handle_transmit_close (socket,
+                                tunnel,
+                                sender,
+                                (struct GNUNET_STREAM_MessageHeader *)message,
+                                atsi);
+}
+
+
+/**
+ * Generic handler for GNUNET_MESSAGE_TYPE_STREAM_*_CLOSE_ACK messages
+ *
+ * @param socket the socket
+ * @param tunnel connection to the other end
+ * @param sender who sent the message
+ * @param message the actual message
+ * @param atsi performance data for the connection
+ * @param operation the close operation which is being ACK'ed
+ * @return GNUNET_OK to keep the connection open,
+ *         GNUNET_SYSERR to close it (signal serious error)
+ */
+static int
+handle_generic_close_ack (struct GNUNET_STREAM_Socket *socket,
+                          struct GNUNET_MESH_Tunnel *tunnel,
+                          const struct GNUNET_PeerIdentity *sender,
+                          const struct GNUNET_STREAM_MessageHeader *message,
+                          const struct GNUNET_ATS_Information *atsi,
+                          int operation)
+{
+  struct GNUNET_STREAM_ShutdownHandle *shutdown_handle;
+
+  shutdown_handle = socket->shutdown_handle;
+  if (NULL == shutdown_handle)
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received CLOSE_ACK when shutdown handle is NULL\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_OK;
+  }
+
+  switch (operation)
+  {
+  case SHUT_RDWR:
+    switch (socket->state)
+    {
+    case STATE_CLOSE_WAIT:
+      if (SHUT_RDWR != shutdown_handle->operation)
+      {
+        LOG (GNUNET_ERROR_TYPE_DEBUG,
+             "%s: Received CLOSE_ACK when shutdown handle is not for "
+             "SHUT_RDWR\n",
+             GNUNET_i2s (&socket->other_peer));
+        return GNUNET_OK;
+      }
+
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received CLOSE_ACK from %s\n",
+           GNUNET_i2s (&socket->other_peer),
+           GNUNET_i2s (&socket->other_peer));
+      socket->state = STATE_CLOSED;
+      break;
+    default:
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received CLOSE_ACK when in it not expected\n",
+           GNUNET_i2s (&socket->other_peer));
+      return GNUNET_OK;
+    }
+    break;
+
+  case SHUT_RD:
+    switch (socket->state)
+    {
+    case STATE_RECEIVE_CLOSE_WAIT:
+      if (SHUT_RD != shutdown_handle->operation)
+      {
+        LOG (GNUNET_ERROR_TYPE_DEBUG,
+             "%s: Received RECEIVE_CLOSE_ACK when shutdown handle "
+             "is not for SHUT_RD\n",
+             GNUNET_i2s (&socket->other_peer));
+        return GNUNET_OK;
+      }
+
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received RECEIVE_CLOSE_ACK from %s\n",
+           GNUNET_i2s (&socket->other_peer),
+           GNUNET_i2s (&socket->other_peer));
+      socket->state = STATE_RECEIVE_CLOSED;
+      break;
+    default:
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received RECEIVE_CLOSE_ACK when in it not expected\n",
+           GNUNET_i2s (&socket->other_peer));
+      return GNUNET_OK;
+    }
 
+    break;
+  case SHUT_WR:
+    switch (socket->state)
+    {
+    case STATE_TRANSMIT_CLOSE_WAIT:
+      if (SHUT_WR != shutdown_handle->operation)
+      {
+        LOG (GNUNET_ERROR_TYPE_DEBUG,
+             "%s: Received TRANSMIT_CLOSE_ACK when shutdown handle "
+             "is not for SHUT_WR\n",
+             GNUNET_i2s (&socket->other_peer));
+        return GNUNET_OK;
+      }
+
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received TRANSMIT_CLOSE_ACK from %s\n",
+           GNUNET_i2s (&socket->other_peer),
+           GNUNET_i2s (&socket->other_peer));
+      socket->state = STATE_TRANSMIT_CLOSED;
+      break;
+    default:
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received TRANSMIT_CLOSE_ACK when in it not expected\n",
+           GNUNET_i2s (&socket->other_peer));
+          
+      return GNUNET_OK;
+    }
+    break;
+  default:
+    GNUNET_assert (0);
+  }
+
+  if (NULL != shutdown_handle->completion_cb) /* Shutdown completion */
+    shutdown_handle->completion_cb(shutdown_handle->completion_cls,
+                                   operation);
+  GNUNET_free (shutdown_handle); /* Free shutdown handle */
+  socket->shutdown_handle = NULL;
+  if (GNUNET_SCHEDULER_NO_TASK
+      != shutdown_handle->close_msg_retransmission_task_id)
+  {
+    GNUNET_SCHEDULER_cancel
+      (shutdown_handle->close_msg_retransmission_task_id);
+    shutdown_handle->close_msg_retransmission_task_id =
+      GNUNET_SCHEDULER_NO_TASK;
+  }
   return GNUNET_OK;
 }
 
@@ -416,6 +1704,67 @@ client_handle_transmit_close_ack (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = cls;
 
+  return handle_generic_close_ack (socket,
+                                   tunnel,
+                                   sender,
+                                   (const struct GNUNET_STREAM_MessageHeader *)
+                                   message,
+                                   atsi,
+                                   SHUT_WR);
+}
+
+
+/**
+ * Generic handler for GNUNET_MESSAGE_TYPE_STREAM_RECEIVE_CLOSE
+ *
+ * @param socket the socket
+ * @param tunnel connection to the other end
+ * @param sender who sent the message
+ * @param message the actual message
+ * @param atsi performance data for the connection
+ * @return GNUNET_OK to keep the connection open,
+ *         GNUNET_SYSERR to close it (signal serious error)
+ */
+static int
+handle_receive_close (struct GNUNET_STREAM_Socket *socket,
+                      struct GNUNET_MESH_Tunnel *tunnel,
+                      const struct GNUNET_PeerIdentity *sender,
+                      const struct GNUNET_STREAM_MessageHeader *message,
+                      const struct GNUNET_ATS_Information *atsi)
+{
+  struct GNUNET_STREAM_MessageHeader *receive_close_ack;
+
+  switch (socket->state)
+  {
+  case STATE_INIT:
+  case STATE_LISTEN:
+  case STATE_HELLO_WAIT:
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Ignoring RECEIVE_CLOSE as it cannot be handled now\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_OK;
+  default:
+    break;
+  }
+  
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Received RECEIVE_CLOSE from %s\n",
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+  receive_close_ack =
+    GNUNET_malloc (sizeof (struct GNUNET_STREAM_MessageHeader));
+  receive_close_ack->header.size =
+    htons (sizeof (struct GNUNET_STREAM_MessageHeader));
+  receive_close_ack->header.type =
+    htons (GNUNET_MESSAGE_TYPE_STREAM_RECEIVE_CLOSE_ACK);
+  queue_message (socket,
+                 receive_close_ack,
+                 &set_state_closed,
+                 NULL);
+  
+  /* FIXME: Handle the case where write handle is present; the write operation
+     should be deemed as finised and the write continuation callback
+     has to be called with the stream status GNUNET_STREAM_SHUTDOWN */
   return GNUNET_OK;
 }
 
@@ -442,7 +1791,12 @@ client_handle_receive_close (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = cls;
 
-  return GNUNET_OK;
+  return
+    handle_receive_close (socket,
+                          tunnel,
+                          sender,
+                          (const struct GNUNET_STREAM_MessageHeader *) message,
+                          atsi);
 }
 
 
@@ -468,6 +1822,66 @@ client_handle_receive_close_ack (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = cls;
 
+  return handle_generic_close_ack (socket,
+                                   tunnel,
+                                   sender,
+                                   (const struct GNUNET_STREAM_MessageHeader *)
+                                   message,
+                                   atsi,
+                                   SHUT_RD);
+}
+
+
+/**
+ * Generic handler for GNUNET_MESSAGE_TYPE_STREAM_CLOSE
+ *
+ * @param socket the socket
+ * @param tunnel connection to the other end
+ * @param sender who sent the message
+ * @param message the actual message
+ * @param atsi performance data for the connection
+ * @return GNUNET_OK to keep the connection open,
+ *         GNUNET_SYSERR to close it (signal serious error)
+ */
+static int
+handle_close (struct GNUNET_STREAM_Socket *socket,
+              struct GNUNET_MESH_Tunnel *tunnel,
+              const struct GNUNET_PeerIdentity *sender,
+              const struct GNUNET_STREAM_MessageHeader *message,
+              const struct GNUNET_ATS_Information*atsi)
+{
+  struct GNUNET_STREAM_MessageHeader *close_ack;
+
+  switch (socket->state)
+  {
+  case STATE_INIT:
+  case STATE_LISTEN:
+  case STATE_HELLO_WAIT:
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Ignoring RECEIVE_CLOSE as it cannot be handled now\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_OK;
+  default:
+    break;
+  }
+
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Received CLOSE from %s\n",
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+  close_ack = GNUNET_malloc (sizeof (struct GNUNET_STREAM_MessageHeader));
+  close_ack->header.size = htons (sizeof (struct GNUNET_STREAM_MessageHeader));
+  close_ack->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_CLOSE_ACK);
+  queue_message (socket,
+                 close_ack,
+                 &set_state_closed,
+                 NULL);
+  if (socket->state == STATE_CLOSED)
+    return GNUNET_OK;
+
+  GNUNET_free_non_null (socket->receive_buffer); /* Free the receive buffer */
+  socket->receive_buffer = NULL;
+  socket->receive_buffer_size = 0;
   return GNUNET_OK;
 }
 
@@ -494,7 +1908,11 @@ client_handle_close (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = cls;
 
-  return GNUNET_OK;
+  return handle_close (socket,
+                       tunnel,
+                       sender,
+                       (const struct GNUNET_STREAM_MessageHeader *) message,
+                       atsi);
 }
 
 
@@ -516,11 +1934,17 @@ client_handle_close_ack (void *cls,
                          void **tunnel_ctx,
                          const struct GNUNET_PeerIdentity *sender,
                          const struct GNUNET_MessageHeader *message,
-                         const struct GNUNET_ATS_Information*atsi)
+                         const struct GNUNET_ATS_Information *atsi)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
 
-  return GNUNET_OK;
+  return handle_generic_close_ack (socket,
+                                   tunnel,
+                                   sender,
+                                   (const struct GNUNET_STREAM_MessageHeader *) 
+                                   message,
+                                   atsi,
+                                   SHUT_RDWR);
 }
 
 /*****************************/
@@ -549,7 +1973,11 @@ server_handle_data (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
-  return GNUNET_OK;
+  return handle_data (socket,
+                      tunnel,
+                      sender,
+                      (const struct GNUNET_STREAM_DataMessage *)message,
+                      atsi);
 }
 
 
@@ -574,7 +2002,43 @@ server_handle_hello (void *cls,
                      const struct GNUNET_ATS_Information*atsi)
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
+  struct GNUNET_STREAM_HelloAckMessage *reply;
 
+  if (0 != memcmp (sender,
+                   &socket->other_peer,
+                   sizeof (struct GNUNET_PeerIdentity)))
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received HELLO from non-confirming peer\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_YES;
+  }
+
+  GNUNET_assert (GNUNET_MESSAGE_TYPE_STREAM_HELLO == 
+                 ntohs (message->type));
+  GNUNET_assert (socket->tunnel == tunnel);
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Received HELLO from %s\n", 
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+
+  if (STATE_INIT == socket->state)
+  {
+    reply = generate_hello_ack_msg (socket);
+    queue_message (socket, 
+                   &reply->header,
+                   &set_state_hello_wait, 
+                   NULL);
+  }
+  else
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Client sent HELLO when in state %d\n", 
+         GNUNET_i2s (&socket->other_peer),
+         socket->state);
+    /* FIXME: Send RESET? */
+      
+  }
   return GNUNET_OK;
 }
 
@@ -600,7 +2064,35 @@ server_handle_hello_ack (void *cls,
                          const struct GNUNET_ATS_Information*atsi)
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
+  const struct GNUNET_STREAM_HelloAckMessage *ack_message;
 
+  GNUNET_assert (GNUNET_MESSAGE_TYPE_STREAM_HELLO_ACK ==
+                 ntohs (message->type));
+  GNUNET_assert (socket->tunnel == tunnel);
+  ack_message = (struct GNUNET_STREAM_HelloAckMessage *) message;
+  if (STATE_HELLO_WAIT == socket->state)
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received HELLO_ACK from %s\n",
+         GNUNET_i2s (&socket->other_peer),
+         GNUNET_i2s (&socket->other_peer));
+    socket->read_sequence_number = ntohl (ack_message->sequence_number);
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Read sequence number %u\n",
+         GNUNET_i2s (&socket->other_peer),
+         (unsigned int) socket->read_sequence_number);
+    socket->receiver_window_available = 
+      ntohl (ack_message->receiver_window_size);
+    /* Attain ESTABLISHED state */
+    set_state_established (NULL, socket);
+  }
+  else
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "Client sent HELLO_ACK when in state %d\n", socket->state);
+    /* FIXME: Send RESET? */
+      
+  }
   return GNUNET_OK;
 }
 
@@ -625,7 +2117,7 @@ server_handle_reset (void *cls,
                      const struct GNUNET_MessageHeader *message,
                      const struct GNUNET_ATS_Information*atsi)
 {
-  struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
+  // struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
   return GNUNET_OK;
 }
@@ -653,7 +2145,11 @@ server_handle_transmit_close (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
-  return GNUNET_OK;
+  return handle_transmit_close (socket,
+                                tunnel,
+                                sender,
+                                (struct GNUNET_STREAM_MessageHeader *)message,
+                                atsi);
 }
 
 
@@ -679,7 +2175,13 @@ server_handle_transmit_close_ack (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
-  return GNUNET_OK;
+  return handle_generic_close_ack (socket,
+                                   tunnel,
+                                   sender,
+                                   (const struct GNUNET_STREAM_MessageHeader *)
+                                   message,
+                                   atsi,
+                                   SHUT_WR);
 }
 
 
@@ -705,7 +2207,12 @@ server_handle_receive_close (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
-  return GNUNET_OK;
+  return
+    handle_receive_close (socket,
+                          tunnel,
+                          sender,
+                          (const struct GNUNET_STREAM_MessageHeader *) message,
+                          atsi);
 }
 
 
@@ -731,14 +2238,21 @@ server_handle_receive_close_ack (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
-  return GNUNET_OK;
+  return handle_generic_close_ack (socket,
+                                   tunnel,
+                                   sender,
+                                   (const struct GNUNET_STREAM_MessageHeader *)
+                                   message,
+                                   atsi,
+                                   SHUT_RD);
 }
 
 
 /**
  * Server's message handler for GNUNET_MESSAGE_TYPE_STREAM_CLOSE
  *
- * @param cls the closure
+ * @param cls the listen socket (from GNUNET_MESH_connect in
+ *          GNUNET_STREAM_listen) 
  * @param tunnel connection to the other end
  * @param tunnel_ctx the socket
  * @param sender who sent the message
@@ -756,8 +2270,12 @@ server_handle_close (void *cls,
                      const struct GNUNET_ATS_Information*atsi)
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
-
-  return GNUNET_OK;
+  
+  return handle_close (socket,
+                       tunnel,
+                       sender,
+                       (const struct GNUNET_STREAM_MessageHeader *) message,
+                       atsi);
 }
 
 
@@ -783,18 +2301,23 @@ server_handle_close_ack (void *cls,
 {
   struct GNUNET_STREAM_Socket *socket = *tunnel_ctx;
 
-  return GNUNET_OK;
+  return handle_generic_close_ack (socket,
+                                   tunnel,
+                                   sender,
+                                   (const struct GNUNET_STREAM_MessageHeader *) 
+                                   message,
+                                   atsi,
+                                   SHUT_RDWR);
 }
 
 
 /**
- * Message Handler for mesh
+ * Handler for DATA_ACK messages
  *
- * @param cls closure (set from GNUNET_MESH_connect)
+ * @param socket the socket through which the ack was received
  * @param tunnel connection to the other end
- * @param tunnel_ctx place to store local state associated with the tunnel
  * @param sender who sent the message
- * @param ack the actual message
+ * @param ack the acknowledgment message
  * @param atsi performance data for the connection
  * @return GNUNET_OK to keep the connection open,
  *         GNUNET_SYSERR to close it (signal serious error)
@@ -806,12 +2329,134 @@ handle_ack (struct GNUNET_STREAM_Socket *socket,
            const struct GNUNET_STREAM_AckMessage *ack,
            const struct GNUNET_ATS_Information*atsi)
 {
+  unsigned int packet;
+  int need_retransmission;
+  
+
+  if (0 != memcmp (sender,
+                   &socket->other_peer,
+                   sizeof (struct GNUNET_PeerIdentity)))
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received ACK from non-confirming peer\n",
+         GNUNET_i2s (&socket->other_peer));
+    return GNUNET_YES;
+  }
+
+  switch (socket->state)
+  {
+  case (STATE_ESTABLISHED):
+  case (STATE_RECEIVE_CLOSED):
+  case (STATE_RECEIVE_CLOSE_WAIT):
+    if (NULL == socket->write_handle)
+    {
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received DATA_ACK when write_handle is NULL\n",
+           GNUNET_i2s (&socket->other_peer));
+      return GNUNET_OK;
+    }
+    /* FIXME: increment in the base sequence number is breaking current flow
+     */
+    if (!((socket->write_sequence_number 
+           - ntohl (ack->base_sequence_number)) < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH))
+    {
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Received DATA_ACK with unexpected base sequence number\n",
+           GNUNET_i2s (&socket->other_peer));
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Current write sequence: %u; Ack's base sequence: %u\n",
+           GNUNET_i2s (&socket->other_peer),
+           socket->write_sequence_number,
+           ntohl (ack->base_sequence_number));
+      return GNUNET_OK;
+    }
+    /* FIXME: include the case when write_handle is cancelled - ignore the 
+       acks */
+
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: Received DATA_ACK from %s\n",
+         GNUNET_i2s (&socket->other_peer),
+         GNUNET_i2s (&socket->other_peer));
+      
+    /* Cancel the retransmission task */
+    if (GNUNET_SCHEDULER_NO_TASK != socket->retransmission_timeout_task_id)
+    {
+      GNUNET_SCHEDULER_cancel (socket->retransmission_timeout_task_id);
+      socket->retransmission_timeout_task_id = 
+        GNUNET_SCHEDULER_NO_TASK;
+    }
+
+    for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+    {
+      if (NULL == socket->write_handle->messages[packet]) break;
+      if (ntohl (ack->base_sequence_number)
+          >= ntohl (socket->write_handle->messages[packet]->sequence_number))
+        ackbitmap_modify_bit (&socket->write_handle->ack_bitmap,
+                              packet,
+                              GNUNET_YES);
+      else
+        if (GNUNET_YES == 
+            ackbitmap_is_bit_set (&socket->write_handle->ack_bitmap,
+                                  ntohl (socket->write_handle->messages[packet]->sequence_number)
+                                  - ntohl (ack->base_sequence_number)))
+          ackbitmap_modify_bit (&socket->write_handle->ack_bitmap,
+                                packet,
+                                GNUNET_YES);
+    }
+
+    /* Update the receive window remaining
+       FIXME : Should update with the value from a data ack with greater
+       sequence number */
+    socket->receiver_window_available = 
+      ntohl (ack->receive_window_remaining);
+
+    /* Check if we have received all acknowledgements */
+    need_retransmission = GNUNET_NO;
+    for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+    {
+      if (NULL == socket->write_handle->messages[packet]) break;
+      if (GNUNET_YES != ackbitmap_is_bit_set 
+          (&socket->write_handle->ack_bitmap,packet))
+      {
+        need_retransmission = GNUNET_YES;
+        break;
+      }
+    }
+    if (GNUNET_YES == need_retransmission)
+    {
+      write_data (socket);
+    }
+    else      /* We have to call the write continuation callback now */
+    {
+      struct GNUNET_STREAM_IOWriteHandle *write_handle;
+      
+      /* Free the packets */
+      for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+      {
+        GNUNET_free_non_null (socket->write_handle->messages[packet]);
+      }
+      write_handle = socket->write_handle;
+      socket->write_handle = NULL;
+      if (NULL != write_handle->write_cont)
+        write_handle->write_cont (write_handle->write_cont_cls,
+                                 socket->status,
+                                 write_handle->size);
+      /* We are done with the write handle - Freeing it */
+      GNUNET_free (write_handle);
+      LOG (GNUNET_ERROR_TYPE_DEBUG,
+           "%s: Write completion callback completed\n",
+           GNUNET_i2s (&socket->other_peer));      
+    }
+    break;
+  default:
+    break;
+  }
   return GNUNET_OK;
 }
 
 
 /**
- * Message Handler for mesh
+ * Handler for DATA_ACK messages
  *
  * @param cls the 'struct GNUNET_STREAM_Socket'
  * @param tunnel connection to the other end
@@ -838,7 +2483,7 @@ client_handle_ack (void *cls,
 
 
 /**
- * Message Handler for mesh
+ * Handler for DATA_ACK messages
  *
  * @param cls the server's listen socket
  * @param tunnel connection to the other end
@@ -872,10 +2517,8 @@ static struct GNUNET_MESH_MessageHandler client_message_handlers[] = {
   {&client_handle_data, GNUNET_MESSAGE_TYPE_STREAM_DATA, 0},
   {&client_handle_ack, GNUNET_MESSAGE_TYPE_STREAM_ACK, 
    sizeof (struct GNUNET_STREAM_AckMessage) },
-  {&client_handle_hello, GNUNET_MESSAGE_TYPE_STREAM_HELLO, 
-   sizeof (struct GNUNET_STREAM_MessageHeader)},
   {&client_handle_hello_ack, GNUNET_MESSAGE_TYPE_STREAM_HELLO_ACK,
-   sizeof (struct GNUNET_STREAM_MessageHeader)},
+   sizeof (struct GNUNET_STREAM_HelloAckMessage)},
   {&client_handle_reset, GNUNET_MESSAGE_TYPE_STREAM_RESET,
    sizeof (struct GNUNET_STREAM_MessageHeader)},
   {&client_handle_transmit_close, GNUNET_MESSAGE_TYPE_STREAM_TRANSMIT_CLOSE,
@@ -905,7 +2548,7 @@ static struct GNUNET_MESH_MessageHandler server_message_handlers[] = {
   {&server_handle_hello, GNUNET_MESSAGE_TYPE_STREAM_HELLO, 
    sizeof (struct GNUNET_STREAM_MessageHeader)},
   {&server_handle_hello_ack, GNUNET_MESSAGE_TYPE_STREAM_HELLO_ACK,
-   sizeof (struct GNUNET_STREAM_MessageHeader)},
+   sizeof (struct GNUNET_STREAM_HelloAckMessage)},
   {&server_handle_reset, GNUNET_MESSAGE_TYPE_STREAM_RESET,
    sizeof (struct GNUNET_STREAM_MessageHeader)},
   {&server_handle_transmit_close, GNUNET_MESSAGE_TYPE_STREAM_TRANSMIT_CLOSE,
@@ -927,6 +2570,7 @@ static struct GNUNET_MESH_MessageHandler server_message_handlers[] = {
 /**
  * Function called when our target peer is connected to our tunnel
  *
+ * @param cls the socket for which this tunnel is created
  * @param peer the peer identity of the target
  * @param atsi performance data for the connection
  */
@@ -936,64 +2580,163 @@ mesh_peer_connect_callback (void *cls,
                             const struct GNUNET_ATS_Information * atsi)
 {
   struct GNUNET_STREAM_Socket *socket = cls;
-
-  if (0 != memcmp (&socket->other_peer, 
-                   peer, 
+  struct GNUNET_STREAM_MessageHeader *message;
+  
+  if (0 != memcmp (peer,
+                   &socket->other_peer,
                    sizeof (struct GNUNET_PeerIdentity)))
-    {
-      GNUNET_log (GNUNET_ERROR_TYPE_DEBUG,
-                  "A peer (%s) which is not our target has\
-  connected to our tunnel", GNUNET_i2s (peer));
-      return;
-    }
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: A peer which is not our target has connected to our tunnel\n",
+         GNUNET_i2s(peer));
+    return;
+  }
   
-  GNUNET_log (GNUNET_ERROR_TYPE_DEBUG,
-              "Target peer %s connected\n", GNUNET_i2s (peer));
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Target peer %s connected\n",
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
   
   /* Set state to INIT */
   socket->state = STATE_INIT;
 
-  /* Try to achieve ESTABLISHED state */
-  make_state_transition (socket);
+  /* Send HELLO message */
+  message = GNUNET_malloc (sizeof (struct GNUNET_STREAM_MessageHeader));
+  message->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_HELLO);
+  message->header.size = htons (sizeof (struct GNUNET_STREAM_MessageHeader));
+  queue_message (socket,
+                 message,
+                 &set_state_hello_wait,
+                 NULL);
 
   /* Call open callback */
-  if (NULL == socket->open_cls)
-    {
-      GNUNET_log (GNUNET_ERROR_TYPE_WARNING,
-                  "STREAM_open callback is NULL\n");
-    }
-  if (NULL != socket->open_cb)
-    {
-      socket->open_cb (socket->open_cls, socket);
-    }
+  if (NULL == socket->open_cb)
+  {
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "STREAM_open callback is NULL\n");
+  }
 }
 
 
 /**
  * Function called when our target peer is disconnected from our tunnel
  *
+ * @param cls the socket associated which this tunnel
  * @param peer the peer identity of the target
  */
 static void
 mesh_peer_disconnect_callback (void *cls,
                                const struct GNUNET_PeerIdentity *peer)
 {
+  struct GNUNET_STREAM_Socket *socket=cls;
+  
+  /* If the state is SHUTDOWN its ok; else set the state of the socket to SYSERR */
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Other peer %s disconnected \n",
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+}
+
+
+/**
+ * Method called whenever a peer creates a tunnel to us
+ *
+ * @param cls closure
+ * @param tunnel new handle to the tunnel
+ * @param initiator peer that started the tunnel
+ * @param atsi performance information for the tunnel
+ * @return initial tunnel context for the tunnel
+ *         (can be NULL -- that's not an error)
+ */
+static void *
+new_tunnel_notify (void *cls,
+                   struct GNUNET_MESH_Tunnel *tunnel,
+                   const struct GNUNET_PeerIdentity *initiator,
+                   const struct GNUNET_ATS_Information *atsi)
+{
+  struct GNUNET_STREAM_ListenSocket *lsocket = cls;
+  struct GNUNET_STREAM_Socket *socket;
 
+  /* FIXME: If a tunnel is already created, we should not accept new tunnels
+     from the same peer again until the socket is closed */
+
+  socket = GNUNET_malloc (sizeof (struct GNUNET_STREAM_Socket));
+  socket->other_peer = *initiator;
+  socket->tunnel = tunnel;
+  socket->session_id = 0;       /* FIXME */
+  socket->state = STATE_INIT;
+  socket->lsocket = lsocket;
+  
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Peer %s initiated tunnel to us\n", 
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+  
+  /* FIXME: Copy MESH handle from lsocket to socket */
+  
+  return socket;
 }
 
 
 /**
- * Function to find the mapped socket of a tunnel
+ * Function called whenever an inbound tunnel is destroyed.  Should clean up
+ * any associated state.  This function is NOT called if the client has
+ * explicitly asked for the tunnel to be destroyed using
+ * GNUNET_MESH_tunnel_destroy. It must NOT call GNUNET_MESH_tunnel_destroy on
+ * the tunnel.
  *
- * @param tunnel the tunnel whose associated socket has to be retrieved
- * @return the socket corresponding to the tunnel
+ * @param cls closure (set from GNUNET_MESH_connect)
+ * @param tunnel connection to the other end (henceforth invalid)
+ * @param tunnel_ctx place where local state associated
+ *                   with the tunnel is stored
  */
-static struct GNUNET_STREAM_Socket *
-find_socket (const struct GNUNET_MESH_Tunnel *tunnel)
+static void 
+tunnel_cleaner (void *cls,
+                const struct GNUNET_MESH_Tunnel *tunnel,
+                void *tunnel_ctx)
 {
-  /* Search tunnel in a list or hashtable and retrieve the socket */
+  struct GNUNET_STREAM_Socket *socket = tunnel_ctx;
+
+  if (tunnel != socket->tunnel)
+    return;
+
+  GNUNET_break_op(0);
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: Peer %s has terminated connection abruptly\n",
+       GNUNET_i2s (&socket->other_peer),
+       GNUNET_i2s (&socket->other_peer));
+
+  socket->status = GNUNET_STREAM_SHUTDOWN;
+
+  /* Clear Transmit handles */
+  if (NULL != socket->transmit_handle)
+  {
+    GNUNET_MESH_notify_transmit_ready_cancel (socket->transmit_handle);
+    socket->transmit_handle = NULL;
+  }
+  if (NULL != socket->ack_transmit_handle)
+  {
+    GNUNET_MESH_notify_transmit_ready_cancel (socket->ack_transmit_handle);
+    GNUNET_free (socket->ack_msg);
+    socket->ack_msg = NULL;
+    socket->ack_transmit_handle = NULL;
+  }
+  /* Stop Tasks using socket->tunnel */
+  if (GNUNET_SCHEDULER_NO_TASK != socket->ack_task_id)
+  {
+    GNUNET_SCHEDULER_cancel (socket->ack_task_id);
+    socket->ack_task_id = GNUNET_SCHEDULER_NO_TASK;
+  }
+  if (GNUNET_SCHEDULER_NO_TASK != socket->retransmission_timeout_task_id)
+  {
+    GNUNET_SCHEDULER_cancel (socket->retransmission_timeout_task_id);
+    socket->retransmission_timeout_task_id = GNUNET_SCHEDULER_NO_TASK;
+  }
+  /* FIXME: Cancel all other tasks using socket->tunnel */
+  socket->tunnel = NULL;
 }
 
+
 /*****************/
 /* API functions */
 /*****************/
@@ -1022,168 +2765,248 @@ GNUNET_STREAM_open (const struct GNUNET_CONFIGURATION_Handle *cfg,
 {
   struct GNUNET_STREAM_Socket *socket;
   enum GNUNET_STREAM_Option option;
+  GNUNET_MESH_ApplicationType ports[] = {app_port, 0};
   va_list vargs;                /* Variable arguments */
 
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s\n", __func__);
   socket = GNUNET_malloc (sizeof (struct GNUNET_STREAM_Socket));
   socket->other_peer = *target;
   socket->open_cb = open_cb;
   socket->open_cls = open_cb_cls;
-
   /* Set defaults */
   socket->retransmit_timeout = 
     GNUNET_TIME_relative_multiply (GNUNET_TIME_UNIT_SECONDS, default_timeout);
-
   va_start (vargs, open_cb_cls); /* Parse variable args */
   do {
     option = va_arg (vargs, enum GNUNET_STREAM_Option);
     switch (option)
-      {
-      case GNUNET_STREAM_OPTION_INITIAL_RETRANSMIT_TIMEOUT:
-        /* Expect struct GNUNET_TIME_Relative */
-        socket->retransmit_timeout = va_arg (vargs,
-                                             struct GNUNET_TIME_Relative);
-        break;
-      case GNUNET_STREAM_OPTION_END:
-        break;
-      }
-
-  } while (0 != option);
+    {
+    case GNUNET_STREAM_OPTION_INITIAL_RETRANSMIT_TIMEOUT:
+      /* Expect struct GNUNET_TIME_Relative */
+      socket->retransmit_timeout = va_arg (vargs,
+                                           struct GNUNET_TIME_Relative);
+      break;
+    case GNUNET_STREAM_OPTION_END:
+      break;
+    }
+  } while (GNUNET_STREAM_OPTION_END != option);
   va_end (vargs);               /* End of variable args parsing */
-
   socket->mesh = GNUNET_MESH_connect (cfg, /* the configuration handle */
-                                      1,  /* QUEUE size as parameter? */
+                                      RECEIVE_BUFFER_SIZE,  /* QUEUE size as parameter? */
                                       socket, /* cls */
                                       NULL, /* No inbound tunnel handler */
-                                      NULL, /* No inbound tunnel cleaner */
+                                      NULL, /* No in-tunnel cleaner */
                                       client_message_handlers,
-                                      NULL); /* We don't get inbound tunnels */
-  // FIXME: if (NULL == socket->mesh) ...
+                                      ports); /* We don't get inbound tunnels */
+  if (NULL == socket->mesh)   /* Fail if we cannot connect to mesh */
+  {
+    GNUNET_free (socket);
+    return NULL;
+  }
 
   /* Now create the mesh tunnel to target */
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "Creating MESH Tunnel\n");
   socket->tunnel = GNUNET_MESH_tunnel_create (socket->mesh,
                                               NULL, /* Tunnel context */
                                               &mesh_peer_connect_callback,
                                               &mesh_peer_disconnect_callback,
-                                              (void *) socket);
-  // FIXME: if (NULL == socket->tunnel) ...
-
+                                              socket);
+  GNUNET_assert (NULL != socket->tunnel);
+  GNUNET_MESH_peer_request_connect_add (socket->tunnel,
+                                        &socket->other_peer);
+  
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s() END\n", __func__);
   return socket;
 }
 
 
 /**
- * Closes the stream
+ * Shutdown the stream for reading or writing (similar to man 2 shutdown).
  *
  * @param socket the stream socket
+ * @param operation SHUT_RD, SHUT_WR or SHUT_RDWR
+ * @param completion_cb the callback that will be called upon successful
+ *          shutdown of given operation
+ * @param completion_cls the closure for the completion callback
+ * @return the shutdown handle
  */
-void
-GNUNET_STREAM_close (struct GNUNET_STREAM_Socket *socket)
+struct GNUNET_STREAM_ShutdownHandle *
+GNUNET_STREAM_shutdown (struct GNUNET_STREAM_Socket *socket,
+                       int operation,
+                        GNUNET_STREAM_ShutdownCompletion completion_cb,
+                        void *completion_cls)
 {
-  /* Clear Transmit handles */
-  if (NULL != socket->transmit_handle)
-    {
-      GNUNET_MESH_notify_transmit_ready_cancel (socket->transmit_handle);
-    }
-  /* Clear existing message queue message */
-  if (NULL != socket->message)
-    {
-      GNUNET_free (socket->message);
-    }
-  /* Close associated tunnel */
-  if (NULL != socket->tunnel)
-    {
-      GNUNET_MESH_tunnel_destroy (socket->tunnel);
-    }
-  /* Close mesh connection */
-  if (NULL != socket->mesh)
-    {
-      GNUNET_MESH_disconnect (socket->mesh);
-    }
-  GNUNET_free (socket);
+  struct GNUNET_STREAM_ShutdownHandle *handle;
+  struct GNUNET_STREAM_MessageHeader *msg;
+  
+  GNUNET_assert (NULL == socket->shutdown_handle);
+
+  handle = GNUNET_malloc (sizeof (struct GNUNET_STREAM_ShutdownHandle));
+  handle->socket = socket;
+  handle->completion_cb = completion_cb;
+  handle->completion_cls = completion_cls;
+  socket->shutdown_handle = handle;
+
+  msg = GNUNET_malloc (sizeof (struct GNUNET_STREAM_MessageHeader));
+  msg->header.size = htons (sizeof (struct GNUNET_STREAM_MessageHeader));
+  switch (operation)
+  {
+  case SHUT_RD:
+    handle->operation = SHUT_RD;
+    if (NULL != socket->read_handle)
+      LOG (GNUNET_ERROR_TYPE_WARNING,
+           "Existing read handle should be cancelled before shutting"
+           " down reading\n");
+    msg->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_RECEIVE_CLOSE);
+    queue_message (socket,
+                   msg,
+                   &set_state_receive_close_wait,
+                   NULL);
+    break;
+  case SHUT_WR:
+    handle->operation = SHUT_WR;
+    if (NULL != socket->write_handle)
+      LOG (GNUNET_ERROR_TYPE_WARNING,
+           "Existing write handle should be cancelled before shutting"
+           " down writing\n");
+    msg->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_TRANSMIT_CLOSE);
+    queue_message (socket,
+                   msg,
+                   &set_state_transmit_close_wait,
+                   NULL);
+    break;
+  case SHUT_RDWR:
+    handle->operation = SHUT_RDWR;
+    if (NULL != socket->write_handle)
+      LOG (GNUNET_ERROR_TYPE_WARNING,
+           "Existing write handle should be cancelled before shutting"
+           " down writing\n");
+    if (NULL != socket->read_handle)
+      LOG (GNUNET_ERROR_TYPE_WARNING,
+           "Existing read handle should be cancelled before shutting"
+           " down reading\n");
+    msg->header.type = htons (GNUNET_MESSAGE_TYPE_STREAM_CLOSE);
+    queue_message (socket,
+                   msg,
+                   &set_state_close_wait,
+                   NULL);
+    break;
+  default:
+    LOG (GNUNET_ERROR_TYPE_WARNING,
+         "GNUNET_STREAM_shutdown called with invalid value for "
+         "parameter operation -- Ignoring\n");
+    GNUNET_free (msg);
+    GNUNET_free (handle);
+    return NULL;
+  }
+  handle->close_msg_retransmission_task_id =
+    GNUNET_SCHEDULER_add_delayed (socket->retransmit_timeout,
+                                  &close_msg_retransmission_task,
+                                  handle);
+  return handle;
 }
 
 
 /**
- * Method called whenever a peer creates a tunnel to us
+ * Cancels a pending shutdown
  *
- * @param cls closure
- * @param tunnel new handle to the tunnel
- * @param initiator peer that started the tunnel
- * @param atsi performance information for the tunnel
- * @return initial tunnel context for the tunnel
- *         (can be NULL -- that's not an error)
+ * @param handle the shutdown handle returned from GNUNET_STREAM_shutdown
  */
-static void *
-new_tunnel_notify (void *cls,
-                   struct GNUNET_MESH_Tunnel *tunnel,
-                   const struct GNUNET_PeerIdentity *initiator,
-                   const struct GNUNET_ATS_Information *atsi)
+void
+GNUNET_STREAM_shutdown_cancel (struct GNUNET_STREAM_ShutdownHandle *handle)
 {
-  struct GNUNET_STREAM_ListenSocket *lsocket = cls;
-  struct GNUNET_STREAM_Socket *socket;
-
-  socket = GNUNET_malloc (sizeof (struct GNUNET_STREAM_Socket));
-  socket->tunnel = tunnel;
-  socket->session_id = 0;       /* FIXME */
-  socket->other_peer = *initiator;
-  socket->state = STATE_LISTEN;
-
-  if (GNUNET_SYSERR == lsocket->listen_cb (lsocket->listen_cb_cls,
-                                           socket,
-                                           &socket->other_peer))
-    {
-      socket->state = STATE_CLOSED;
-      make_state_transition (socket);
-      GNUNET_free (socket);
-      GNUNET_MESH_tunnel_destroy (tunnel); /* Destroy the tunnel */
-    }
-  else
-    {
-      make_state_transition (socket);
-    }
-  return socket;
+  if (GNUNET_SCHEDULER_NO_TASK != handle->close_msg_retransmission_task_id)
+    GNUNET_SCHEDULER_cancel (handle->close_msg_retransmission_task_id);
+  GNUNET_free (handle);
+  return;
 }
 
 
 /**
- * Function called whenever an inbound tunnel is destroyed.  Should clean up
- * any associated state.  This function is NOT called if the client has
- * explicitly asked for the tunnel to be destroyed using
- * GNUNET_MESH_tunnel_destroy. It must NOT call GNUNET_MESH_tunnel_destroy on
- * the tunnel.
+ * Closes the stream
  *
- * @param cls closure (set from GNUNET_MESH_connect)
- * @param tunnel connection to the other end (henceforth invalid)
- * @param tunnel_ctx place where local state associated
- *                   with the tunnel is stored
+ * @param socket the stream socket
  */
-static void 
-tunnel_cleaner (void *cls,
-                const struct GNUNET_MESH_Tunnel *tunnel,
-                void *tunnel_ctx)
+void
+GNUNET_STREAM_close (struct GNUNET_STREAM_Socket *socket)
 {
-  struct GNUNET_STREAM_ListenSocket *lsocket = cls;
-  struct GNUNET_STREAM_Socket *socket = tunnel_ctx;
+  struct MessageQueue *head;
 
-  socket = find_socket (tunnel);
-  GNUNET_log (GNUNET_ERROR_TYPE_DEBUG,
-              "Peer %s has terminated connection abruptly\n",
-              GNUNET_i2s (&socket->other_peer));
+  if (NULL != socket->read_handle)
+  {
+    LOG (GNUNET_ERROR_TYPE_WARNING,
+        "Closing STREAM socket when a read handle is pending\n");
+  }
+  if (NULL != socket->write_handle)
+  {
+    LOG (GNUNET_ERROR_TYPE_WARNING,
+        "Closing STREAM socket when a write handle is pending\n");
+    GNUNET_STREAM_io_write_cancel (socket->write_handle);
+    //socket->write_handle = NULL;
+  }
+
+  if (socket->read_task_id != GNUNET_SCHEDULER_NO_TASK)
+  {
+    /* socket closed with read task pending!? */
+    GNUNET_break (0);
+    GNUNET_SCHEDULER_cancel (socket->read_task_id);
+    socket->read_task_id = GNUNET_SCHEDULER_NO_TASK;
+  }
+  
+  /* Terminate the ack'ing tasks if they are still present */
+  if (socket->ack_task_id != GNUNET_SCHEDULER_NO_TASK)
+  {
+    GNUNET_SCHEDULER_cancel (socket->ack_task_id);
+    socket->ack_task_id = GNUNET_SCHEDULER_NO_TASK;
+  }
 
-  socket->status = GNUNET_STREAM_SHUTDOWN;
   /* Clear Transmit handles */
   if (NULL != socket->transmit_handle)
-    {
-      GNUNET_MESH_notify_transmit_ready_cancel (socket->transmit_handle);
-      socket->transmit_handle = NULL;
-    }
-   
-  /* Clear existing message queue message */
-  if (NULL != socket->message)
-    {
-      GNUNET_free (socket->message);
-      socket->message = NULL;
-    }
+  {
+    GNUNET_MESH_notify_transmit_ready_cancel (socket->transmit_handle);
+    socket->transmit_handle = NULL;
+  }
+  if (NULL != socket->ack_transmit_handle)
+  {
+    GNUNET_MESH_notify_transmit_ready_cancel (socket->ack_transmit_handle);
+    GNUNET_free (socket->ack_msg);
+    socket->ack_msg = NULL;
+    socket->ack_transmit_handle = NULL;
+  }
+
+  /* Clear existing message queue */
+  while (NULL != (head = socket->queue_head)) {
+    GNUNET_CONTAINER_DLL_remove (socket->queue_head,
+                                socket->queue_tail,
+                                head);
+    GNUNET_free (head->message);
+    GNUNET_free (head);
+  }
+
+  /* Close associated tunnel */
+  if (NULL != socket->tunnel)
+  {
+    GNUNET_MESH_tunnel_destroy (socket->tunnel);
+    socket->tunnel = NULL;
+  }
+
+  /* Close mesh connection */
+  if (NULL != socket->mesh && NULL == socket->lsocket)
+  {
+    GNUNET_MESH_disconnect (socket->mesh);
+    socket->mesh = NULL;
+  }
+  
+  /* Release receive buffer */
+  if (NULL != socket->receive_buffer)
+  {
+    GNUNET_free (socket->receive_buffer);
+  }
+
+  GNUNET_free (socket);
 }
 
 
@@ -1205,21 +3028,20 @@ GNUNET_STREAM_listen (const struct GNUNET_CONFIGURATION_Handle *cfg,
 {
   /* FIXME: Add variable args for passing configration options? */
   struct GNUNET_STREAM_ListenSocket *lsocket;
-  GNUNET_MESH_ApplicationType app_types[2];
+  GNUNET_MESH_ApplicationType ports[] = {app_port, 0};
 
-  app_types[0] = app_port;
-  app_types[1] = NULL;
   lsocket = GNUNET_malloc (sizeof (struct GNUNET_STREAM_ListenSocket));
   lsocket->port = app_port;
   lsocket->listen_cb = listen_cb;
   lsocket->listen_cb_cls = listen_cb_cls;
   lsocket->mesh = GNUNET_MESH_connect (cfg,
-                                       10, /* FIXME: QUEUE size as parameter? */
+                                       RECEIVE_BUFFER_SIZE, /* FIXME: QUEUE size as parameter? */
                                        lsocket, /* Closure */
                                        &new_tunnel_notify,
                                        &tunnel_cleaner,
                                        server_message_handlers,
-                                       app_types);
+                                       ports);
+  GNUNET_assert (NULL != lsocket->mesh);
   return lsocket;
 }
 
@@ -1227,15 +3049,260 @@ GNUNET_STREAM_listen (const struct GNUNET_CONFIGURATION_Handle *cfg,
 /**
  * Closes the listen socket
  *
- * @param socket the listen socket
+ * @param lsocket the listen socket
  */
 void
 GNUNET_STREAM_listen_close (struct GNUNET_STREAM_ListenSocket *lsocket)
 {
-  /* Do house keeping */
-
   /* Close MESH connection */
+  GNUNET_assert (NULL != lsocket->mesh);
   GNUNET_MESH_disconnect (lsocket->mesh);
   
   GNUNET_free (lsocket);
 }
+
+
+/**
+ * Tries to write the given data to the stream. The maximum size of data that
+ * can be written as part of a write operation is (64 * (64000 - sizeof (struct
+ * GNUNET_STREAM_DataMessage))). If size is greater than this it is not an API
+ * violation, however only the said number of maximum bytes will be written.
+ *
+ * @param socket the socket representing a stream
+ * @param data the data buffer from where the data is written into the stream
+ * @param size the number of bytes to be written from the data buffer
+ * @param timeout the timeout period
+ * @param write_cont the function to call upon writing some bytes into the
+ *          stream 
+ * @param write_cont_cls the closure
+ *
+ * @return handle to cancel the operation; if a previous write is pending or
+ *           the stream has been shutdown for this operation then write_cont is
+ *           immediately called and NULL is returned.
+ */
+struct GNUNET_STREAM_IOWriteHandle *
+GNUNET_STREAM_write (struct GNUNET_STREAM_Socket *socket,
+                     const void *data,
+                     size_t size,
+                     struct GNUNET_TIME_Relative timeout,
+                     GNUNET_STREAM_CompletionContinuation write_cont,
+                     void *write_cont_cls)
+{
+  unsigned int num_needed_packets;
+  unsigned int packet;
+  struct GNUNET_STREAM_IOWriteHandle *io_handle;
+  uint32_t packet_size;
+  uint32_t payload_size;
+  struct GNUNET_STREAM_DataMessage *data_msg;
+  const void *sweep;
+  struct GNUNET_TIME_Relative ack_deadline;
+
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s\n", __func__);
+
+  /* Return NULL if there is already a write request pending */
+  if (NULL != socket->write_handle)
+  {
+    GNUNET_break (0);
+    return NULL;
+  }
+
+  switch (socket->state)
+  {
+  case STATE_TRANSMIT_CLOSED:
+  case STATE_TRANSMIT_CLOSE_WAIT:
+  case STATE_CLOSED:
+  case STATE_CLOSE_WAIT:
+    if (NULL != write_cont)
+      write_cont (write_cont_cls, GNUNET_STREAM_SHUTDOWN, 0);
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s() END\n", __func__);
+    return NULL;
+  case STATE_INIT:
+  case STATE_LISTEN:
+  case STATE_HELLO_WAIT:
+    if (NULL != write_cont)
+      /* FIXME: GNUNET_STREAM_SYSERR?? */
+      write_cont (write_cont_cls, GNUNET_STREAM_SYSERR, 0);
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s() END\n", __func__);
+    return NULL;
+  case STATE_ESTABLISHED:
+  case STATE_RECEIVE_CLOSED:
+  case STATE_RECEIVE_CLOSE_WAIT:
+    break;
+  }
+
+  if (GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH * max_payload_size < size)
+    size = GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH  * max_payload_size;
+  num_needed_packets = (size + (max_payload_size - 1)) / max_payload_size;
+  io_handle = GNUNET_malloc (sizeof (struct GNUNET_STREAM_IOWriteHandle));
+  io_handle->socket = socket;
+  io_handle->write_cont = write_cont;
+  io_handle->write_cont_cls = write_cont_cls;
+  io_handle->size = size;
+  sweep = data;
+  /* FIXME: Remove the fixed delay for ack deadline; Set it to the value
+     determined from RTT */
+  ack_deadline = GNUNET_TIME_relative_multiply (GNUNET_TIME_UNIT_SECONDS, 5);
+  /* Divide the given buffer into packets for sending */
+  for (packet=0; packet < num_needed_packets; packet++)
+  {
+    if ((packet + 1) * max_payload_size < size) 
+    {
+      payload_size = max_payload_size;
+      packet_size = MAX_PACKET_SIZE;
+    }
+    else 
+    {
+      payload_size = size - packet * max_payload_size;
+      packet_size =  payload_size + sizeof (struct
+                                            GNUNET_STREAM_DataMessage); 
+    }
+    io_handle->messages[packet] = GNUNET_malloc (packet_size);
+    io_handle->messages[packet]->header.header.size = htons (packet_size);
+    io_handle->messages[packet]->header.header.type =
+      htons (GNUNET_MESSAGE_TYPE_STREAM_DATA);
+    io_handle->messages[packet]->sequence_number =
+      htonl (socket->write_sequence_number++);
+    io_handle->messages[packet]->offset = htonl (socket->write_offset);
+
+    /* FIXME: Remove the fixed delay for ack deadline; Set it to the value
+       determined from RTT */
+    io_handle->messages[packet]->ack_deadline =
+      GNUNET_TIME_relative_hton (ack_deadline);
+    data_msg = io_handle->messages[packet];
+    /* Copy data from given buffer to the packet */
+    memcpy (&data_msg[1],
+            sweep,
+            payload_size);
+    sweep += payload_size;
+    socket->write_offset += payload_size;
+  }
+  socket->write_handle = io_handle;
+  write_data (socket);
+
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s() END\n", __func__);
+
+  return io_handle;
+}
+
+
+
+/**
+ * Tries to read data from the stream.
+ *
+ * @param socket the socket representing a stream
+ * @param timeout the timeout period
+ * @param proc function to call with data (once only)
+ * @param proc_cls the closure for proc
+ *
+ * @return handle to cancel the operation; if the stream has been shutdown for
+ *           this type of opeartion then the DataProcessor is immediately
+ *           called with GNUNET_STREAM_SHUTDOWN as status and NULL if returned
+ */
+struct GNUNET_STREAM_IOReadHandle *
+GNUNET_STREAM_read (struct GNUNET_STREAM_Socket *socket,
+                    struct GNUNET_TIME_Relative timeout,
+                   GNUNET_STREAM_DataProcessor proc,
+                   void *proc_cls)
+{
+  struct GNUNET_STREAM_IOReadHandle *read_handle;
+  
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: %s()\n", 
+       GNUNET_i2s (&socket->other_peer),
+       __func__);
+
+  /* Return NULL if there is already a read handle; the user has to cancel that
+     first before continuing or has to wait until it is completed */
+  if (NULL != socket->read_handle) return NULL;
+
+  GNUNET_assert (NULL != proc);
+
+  switch (socket->state)
+  {
+  case STATE_RECEIVE_CLOSED:
+  case STATE_RECEIVE_CLOSE_WAIT:
+  case STATE_CLOSED:
+  case STATE_CLOSE_WAIT:
+    proc (proc_cls, GNUNET_STREAM_SHUTDOWN, NULL, 0);
+    LOG (GNUNET_ERROR_TYPE_DEBUG,
+         "%s: %s() END\n",
+         GNUNET_i2s (&socket->other_peer),
+         __func__);
+    return NULL;
+  default:
+    break;
+  }
+
+  read_handle = GNUNET_malloc (sizeof (struct GNUNET_STREAM_IOReadHandle));
+  read_handle->proc = proc;
+  read_handle->proc_cls = proc_cls;
+  socket->read_handle = read_handle;
+
+  /* Check if we have a packet at bitmap 0 */
+  if (GNUNET_YES == ackbitmap_is_bit_set (&socket->ack_bitmap,
+                                          0))
+  {
+    socket->read_task_id = GNUNET_SCHEDULER_add_now (&call_read_processor,
+                                                     socket);
+   
+  }
+  
+  /* Setup the read timeout task */
+  socket->read_io_timeout_task_id =
+    GNUNET_SCHEDULER_add_delayed (timeout,
+                                  &read_io_timeout,
+                                  socket);
+  LOG (GNUNET_ERROR_TYPE_DEBUG,
+       "%s: %s() END\n",
+       GNUNET_i2s (&socket->other_peer),
+       __func__);
+  return read_handle;
+}
+
+
+/**
+ * Cancel pending write operation.
+ *
+ * @param ioh handle to operation to cancel
+ */
+void
+GNUNET_STREAM_io_write_cancel (struct GNUNET_STREAM_IOWriteHandle *ioh)
+{
+  struct GNUNET_STREAM_Socket *socket = ioh->socket;
+  unsigned int packet;
+
+  GNUNET_assert (NULL != socket->write_handle);
+  GNUNET_assert (socket->write_handle == ioh);
+
+  if (GNUNET_SCHEDULER_NO_TASK != socket->retransmission_timeout_task_id)
+  {
+    GNUNET_SCHEDULER_cancel (socket->retransmission_timeout_task_id);
+    socket->retransmission_timeout_task_id = GNUNET_SCHEDULER_NO_TASK;
+  }
+
+  for (packet=0; packet < GNUNET_STREAM_ACK_BITMAP_BIT_LENGTH; packet++)
+  {
+    if (NULL == ioh->messages[packet]) break;
+    GNUNET_free (ioh->messages[packet]);
+  }
+      
+  GNUNET_free (socket->write_handle);
+  socket->write_handle = NULL;
+  return;
+}
+
+
+/**
+ * Cancel pending read operation.
+ *
+ * @param ioh handle to operation to cancel
+ */
+void
+GNUNET_STREAM_io_read_cancel (struct GNUNET_STREAM_IOReadHandle *ioh)
+{
+  return;
+}