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It's all onchain. It's like Muun basically. They are doing submarine swaps in and out.
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Think that could be why this is happening?
What’s up with all the transactions in the mempool? #1060691
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The don't do the swaps directly onchain - they do it into their statechain. Like how Breez' Nodeless SDK submarine swaps into Liquid.
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Did Wallet of Satoshi incorporated Spark to give a partially self custody btc allowing to unify lightning and on chain in a single balance?