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Okay, I think I get what you're saying, but to me that means that there is a benefit to not settling, which I agree with. But that doesn't make LN a settlement layer, it makes it a I'm-not-settling-yet layer.
There also is the ecash component, true, final settlement is onchain. But moving from ecash to channel balance is a l3->l2 settlement too! Settlement is any layer transition, not just onchain.
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