My big question with Liana: How to handle the UTXO rotation that needs to happen at least every year? Especially if you have a bunch of coins you don't want to consolidate because of privacy reasons.
Trying to investigate Liana https://wizardsardine.com/liana/ and I'm having a rather typical frustrating experience. I come to their website wanting to know the mechanisms they use for vaults and inheritance setups. Scrolling all over the page I find a number of things that look like buttons but I can't click. There are several download links but .. where is the description of how it works? Ah, we have "LEARN MORE ABOUT LIANA", that must be it, right? Nope, links to the next section down the page. Etc. Finally in desperation I choose "support" from the top menu, and, ah! Now we have it right? "Guides", "Resources" and "FAQ". But the Guides are videos on setup, the Resources are video presentations at conferences. And the FAQ is as expected just brief answers to non-technical questions. At this point I *half* give up and load up the github, but at least on the main repo I found no docs that explain the basic mechanisms used, so short of spending a couple of hours reading the code, I still have no idea how Liana actually works, at least, not from *their* web presence.
For context, I think I actually understand how their inheritance mechanism works, just from reading phrases in a couple of places describing it in words. But why is it so hard to find definitions or examples of their scripts (miniscripts w/e), let alone detailed technical justification.
Discussion
Yes, it's a pain point that they recognize. First I'd be pedantic and say there's no need to consolidate; you can transfer each coin separately, at some tx cost of course, but that's unlikely to be a huge deal. But the thing is, to remove this requirement, I believe you actually need some kind of covenant/vault op-code. Or at least, it's well understood how to solve the problem using those, and I don't think there's any other way(?).
First you don't **have** to consolidate. coinjoin / payjoin features can be implemented in the future to address this concern, but it's not an issue in almost the cases if you use your wallet frequently. It can be costly at some point if fee really get night, but that's the currently only/better way imho, with the actual state of bitcoin, to address problems we trying to solve.
So if you have let's say 20 UTXO which you didn't spent from you just do 20 separate transactions after one year at the same time? Isn't it very obvious that the transactions come from the same wallet? Also it's 20 times the transaction fee in the future which is very uncertain, right?
Yeah 20 separate tx, but I'd not do at the same time.
Yes it can have a cost to renew, it's always a question of tradeoff. I personally feel the price to pay is cheap for the "safety net" feature, and nobody forced to use a system ala Liana.
Maybe a good feature would be to randomly create transactions to renew the coins, so there is no pattern to spot for chain surveillance. Similar to how Jam does it.