What is Nostr?
raudaviciusm / Mindaugas
npub1a9n…nc7f
2025-02-11 13:07:41
in reply to nevent1q…0245

raudaviciusm on Nostr: The analogy of Bitcoin/Lightning as Gold/Paper money oversimplifies things, and might ...

The analogy of Bitcoin/Lightning as Gold/Paper money oversimplifies things, and might even make LN seem weaker than it is.

Gold-backed paper relied on trust, whereas Lightning is cryptographically secured by Bitcoin itself. LN channels aren’t just claims - they are a set of pre-signed transactions that either party can enforce on-chain at any time.

Of course, LN has challenges like liquidity and channel directionality, but these are solvable trade-offs.
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