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882 sats \ 5 replies \ @deerwhisper 17 Dec 2023 \ on: Liquid is not a scaling solution bitcoin
Liquid allows me to stack enough sats to eventually swap to the base chain and have large UTXOs in a way that lightning can't. For now, it works in a way that I need and I'm happy with that. It's just a tool in the toolbox. If usage of it were to grow, it could at least absorb some fee pressure from the base chain. You are right tho, it's not a long term scaling solution.
Really curious to see how Fedimint works in practice. Saw it was used this year at a conference and it looked pretty cool. Time will tell there.
As for covenants, still need to research it myself. Is there a covenant proposal that doesn't require a hard/soft fork? What about BitVM? Not technical enough to understand that stuff...
You can't stack on lightning and then swap to the base chain and have a large utxo?
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Not without inbound liquidity. With Liquid you can just receive some btc to your liquid wallet and you're good to go. With lightning you need channels with inbound liquidity.
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Sure, forgot about that. However, on custodial wallets that's a non issue, and now on Phoenix 1Msats inbound liquidity sets you back $1 for a year.
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Definitely an option. Haven't used Phoenix's liquidity ad thing yet.
It's just a tool in the toolbox
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$10, forgot a zero heh
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