Mainly that it introduces counterparty risk and the need to trust someone to hold your sats. But since self-custodial Lightning addresses are not easy to set up, it’s hard to avoid. Everyone should learn the difference and how to move sats to wallets where they control the keys.
Discussion
ah ok, so this is a shadow of user identity ? why not non-custodial ? Is there a white paper or any write ups on eCash / cashu ? just want to understand better the purpose and differentiators, and the niche market it targets. I might not be grasping the fundamentals right