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0 sats \ 1 reply \ @jivan 8h \ on: Survey on Custodial Wallets 👛⚡ bitcoin_beginners
Genuine question: Why is anyone using any of these options, which have complete custody of your funds, when the likes of Breez and Phoenix exist? Is it just a result of marketing or ignorance/unawareness? Is it just as a proxy/middleman with extra features such as a Lightning address, and any received funds are being immediately swept/sent to another Lightning account/node? Beyond that, I can't see any reason why people are using the likes of Wallet of Satoshi when Breez is right there, easy to use, and cheap.
Using a solution that depends upon a single LSP, such as Breez or Phoenix, still has a single practical point of failure (the LSP node) for the user, as payments cannot successfully be routed to/from you without that node; but crucially, your funds are always fully in your own control (except briefly for transactions where a new channel must be opened to satisfy them), and if the LSP node never comes back online, your funds will simply return to being on-chain.
The only thing better than something like Breez is running your own node, but that comes with some meaningful barriers to entry, in particular running a machine as a server with high uptime.
Personally, I've been using Breez for a few years because it's significantly cheaper than Phoenix at the point of use. As a subscriber to Club Orange (formerly Orange Pill App), I get a Lightning address from them, so I don't need one from elsewhere. So if I had to directly answer the question of which custodial Lightning wallet I use, it would be, "Other: Club Orange, only for receiving payments via Lightning address." If I were a Strike customer, I would probably use the Lightning address that they provide.
I intend to run my own Lightning node (probably CLN) soon and then use it from my phone via BitBanana, but it's on the backlog of other homelab things that I want/need to do.
GENESIS