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Is square just a hoover vac for non kycsats? I worry in 5 years there will be way less non kycd sats in individual hands as a result of this merchant adoption.

Not saying it isnt cool also but its worrying imo.

122 sats \ 3 replies \ @OT 15 May

I think its still a good thing. Merchants might want to start saving some of them sats. Then they might go further and set up their own BTCpay server. Bitcoiners get to spend freely instead of on gift cards.

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In my opinion bitcoin adoption comes from education, personal dynamics, personal background, experience and necessity.

What the square experience does (at least for me) is show that bitcoin isnt this big scarcy thing for big scarcy criminals. Its for regular people who need better money in their day-to-day lives. And its also a technical demonstration of what's possible.

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true, except these merchants never needto learn about btc custody even with a CEX the way we all had to at the beginning of our journey, so will choose the least frictioned path and never touch btc. So i think few will make the jump but i suppose some will and thats good.

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All we can do is put it out in the wild and let people decide for themselves.

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I don't know how we even distinguish kyc from non-kyc in the age of lightning...

For example kyc sats 'spent' to open a lightning channel, or spent to open or buy or fill up another lightning channel...

They aren't even the same 'sats' and there was literally no on-chain transaction in many cases. In fact you could say the new lightning channel since it isn't the same utxo, is no longer kyc at all. Its just some random utxo there was no 'transferring' of SATs. Its why among other reasons that ordinals was such a dumb idea.

If you send 5$ to a friend worth of sats to their lightning channel, and their channel has increased outbound liquidity... Are they are same sats? The sats on-chain never moved.

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i understand that but the sats are going into cashapps custody and unlikely to return to circulation in the peer to peer way you are talking about. Over time it will concentrate btc ownership, that is not good imo

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