Hot take: Liquid is actually kind of awesome and it’s finding utility as a back end for nodeless Lightning wallets. Nobody needs to peg in and out of it, just download any of the apps that do this and you can receive and send payments immediately with no channel management. Think Venmo for bitcoin, but with self custody.
Discussion
"nodeless LN wallets"?
so instead of settling to a Bitcoin utxo
they settle to a Lbtc utxo?
doesnt this only provide an advantage as long as Liquid is unused?
that is pretty cool, if only a bandaid.
what wallets do this?
The advantage is a much easier setup for the user, they don’t have to know anything about liquidity to make payments. Every transaction is swapped between Lightning and settles on Liquid in under a minute.
The user never has to do anything different except send and receive normally, but if they wanted to, they can see all their UTXOs and access their wallet with their seed phrase.
Wallets that do this now are Aqua and new ones built with Breez SDK, like Yopaki and a new Breez wallet I’ve been testing that is still in early release.
I like these approaches because they will help bring bitcoin to more people, faster and easier than expecting everyone to use the base chain or run their own nodes – both complete fantasies.
I mean
this is just a submarine swap to Liquid no?
and they're doing it becadue Breez users got burned during the ordinal thing?
