I really don't know. Governments can stop businesses more easily than they can stop lightning nodes. So, maybe, sats can bounce around the lightning network and occasionally go on-chain, but those utxos won't be able to be redeemed for fiat.

But then people would be more incentivized to stay and spend in Bitcoin, further building the Bitcoin economy. It also weeds out people just in it for speculative gains.



joda

Meaning you won't be able to put your KYC bitcoin thru LN (as a liquidity provider  for example) and use the resulting non-whitelisted UTXOs?

franzap

it's all about incentives in the end, if it's not profitable to treat them fungible they won't do it. Opposite works too let's see

takaponka

bitcoin

PayJoin adoption

DarthCoin

I think a lot of people still think we're in a blacklist paradigm when we are rapidly moving to a whitelist paradigm.

In other words, if your coins aren't traceable back to KYC exchange, they are rejected. If you did a coinjoin, they are rejected. Despite our opinions about it, businesses are not obligated to treat sats as fungible. 