2 sats \ 2 replies \ @Ras 11 Aug 2021 freebie \ on: Bitcoin DeFi is Here: A Deep Dive into Trust-less Swaps bitcoin
DeFi is a siren distracting Bitcoin's path toward fully emerging as money. The first peer to peer electronic cash.
If you want to meme a trend let it be ReFi. We're laying down the plumbing for BTC to refinance the entire global economy
This argument is coherent and I'm sympathetic to it. Bitcoin is already king of what it does so relentlessly doubling down on currency oriented features seems like a winning strategy. Frankly, it seems like this argument is winning from where I'm sitting.
To play devil's advocate, I guess the counter-argument would be that the market appears to be distracted with DeFi and by not engaging with it, Bitcoin loses market/mind share. I think Bitcoin DeFi people would probably also argue it isn't distracting - although more ambitious DeFi projects do seem to require soft forks of various kinds - so hard to see that it's not distracting in an absolute sense.
DeFi on Bitcoin also kind of scares me. Feature creep is bad and more powerful features lead to more powerful bugs, more powerful attacks, and more potential for hacks associated with Bitcoin's name.
reply
Another decent argument I've heard in favor of DeFi on Bitcoin is filling blocks. We're far from needing fees to fully secure the network but eventually this is true ... As things move onto lightning and other off-chain protocols, using bitcoin exclusively as money might not be enough to satisfy fee security requirements.
reply