I’ve been testing Liquid and just used the lightning-to-liquid swap service from #[0] to move some sats from a custodial lightning wallet to a self-custodial #[1] Green Wallet. I did a screen recording for anyone curious what the swap process looks like. Worked like a charm and saved nearly 20k sats in fees vs. swapping to on chain. Later I can either swap these back to lightning if needed, or peg out to on-chain if fees drop enough.
Discussion
I've been playing too, the process is fast, fees are much lower. I've also done an L-BTC transfer, fast and cheap too, and a peg out to BTC, got it through at 20 sats/vb last night. I'm not sure on liquid for long term stuff, but for quick cheap transfers it seems like a good option.
Wow nicely done on the 20 sats/vB 🔥 Yea I’m thinking of this as an intermediary step between lightning and on chain. Not for huge amounts long term, but as a short term solution for self-custodial storage of amounts I don’t want to leave in lightning, especially custodial lightning. I have Breez and Phoenix but you run into high channel opening fees with those if you exceed your available liquidity.
I was surprised it was confirmed this morning for 20 😂
Those are my thoughts too. I stack in smaller buys, and they support L-BTC payouts, so that will help me cut down on utxo's when I send to cold storage. Cheap swaps to and from lightning are handy too, I use Phoenix for safe lightning, and Alby for easy lightning. This will make Phoenix way easier to manage.
KYC needed?
No KYC sir. And liquid transactions are confidential by design, so only the sender and receiver can see what was sent and how much.
I'm not against sidechains but usually peg is very weak. Trafeoffs again 😥
Me reading this
Have you already tried buying it through robosats, then liquid and then on chain? Would that be wise fee wise?
I did the same thing last night and started writing about it today. The future is now.🤓
Is there any risk of getting rugged by the federation?
It’s a trust-minimized system but not completely trustless. I believe it would require something like 11 of the 15 block signers, which are companies/entities geographically spread across multiple continents/jurisdictions, to collude together. There’s nothing better and less risky than sats on-chain and in cold storage. But the risk with Liquid is less than holding sats in a custodial wallet like an exchange or a custodial lightning wallet.
Great video! Noticed the webapp is scrollable to the right, which it really shouldn't by default. Did you zoom in?
When I selected the field to paste the Liquid address my browser (mobile Safari) automatically zoomed in slightly automatically. And then it didn’t zoom itself back out after dismissing the keyboard. It does that with some other websites too, not just yours. Not sure why. I also have a small screen (iPhone 13 mini) so I run into these issues frequently. 😂