SirGalahodl on Nostr: What is the main reason Gold doesn’t scale? Because it’s expensive and difficult ...

What is the main reason Gold doesn’t scale? Because it’s expensive and difficult to transact.

What would be one of the cheapest ways for a nation state to kill Bitcoin in the crib? To make it expensive and difficult to transact, just like Gold.

1. Scoop up a material amount of Bitcoin for a trivial price(from the government’s perspective)
2. Flood the network with senseless and wasteful transactions to drive up the cost for everyone.
3. Implement trusted custodians everywhere and force KYC and regulatory compliance.
4. Integrate the same failed monetary policies (fractional reserve banking, etc.) on top of Bitcoin.

One of the main reasons Bitcoin is better than Gold is because it is possible for anyone, anywhere, to take possession of their assets instantly and with very low cost. That is what is at stake today.

quoting note1l2y…hkdu

It pains me to say it after 3 years of building on it but I think lightning is ngmi, at least for non custodial pleb payments.

I think ark and liquid are fundamentally a more sound approach to L2 for end users.

If it REQUIRES the end user to run infrastructure, even if that is just a phone, it's going to be too janky to actually scale.

Not to mention that somehow lightning is already more ossified than L1...

If we continue down the custodian route people will get rugged or KYC d

I am ready for your hate, but this is my current take. Also would be happy to be proven wrong.

Now back to sshing into my node and working on chantools to recover a force closed channel utxo that lnd didn't report.

Totally easy for everyday users to solve if they run into this problem...