Replying to Avatar Cyph3rp9nk

Bitcoin and the imperfect world

As a Bitcoiner you must accept that the world is imperfect and that Bitcoin is imperfect, it is the only way to win the war, otherwise you will not even win battles.

Why do I say this? I see a lot of lack of pragmatism in the Bitcoin world and a lot of idealism that is useless.

To make it clear, let's assume the extreme case. Bitcoin right now doesn't have a full scaling solution, that doesn't mean it can't be used by everyone, what it means is that it can't be used by everyone with self-custody. In a world where everyone uses Bitcoin and Lightning is the norm, not everyone would have a Lightning channel because technically it would take decades to open all the necessary channels and the fees would be unbearable for ordinary mortals.

This brings us to an extreme scenario where we mostly use Lightning with escrow.

What have we solved? Well, with respect to the previous scenario where we used custodial and forgeable money, we have moved to a model where we use custodial but unforgeable money.

It seems silly but you would have gotten rid of the currency devaluation.

This is the worst case scenario for the future as things currently stand, as Bitcoiner we have to fight to reach the ideal scenario which is money with self-custody and without currency devaluation, but being aware that perfection does not exist and that we will have to accept trade-offs.

What do we currently have? We are going to order it from smallest to largest and we are not going to include anything that is not yet in production.

Custodial lightning - ecash > Liquid - RSK > Non-custodial lightning > Bitcoin on-chain

So what do I mean? That don't rule out any option, use them all, everything is valid because we don't have any magic solution to scale Bitcoin.

Do you know what fractional reserve does? Because that's what will control price in the near future.

Monero has been there. That's how we know and it's the nain reason we celebrate delistings. It's the price to pay for government licensed adoption vía custodians.

Only a couple of people will hold non KYC UTXOs, and they are easy to single out against the unconscient masses that rely on fractionally reserved and full KYC custodians.

KYC fulfills two things. It enables taxation. And it enables to have a full view of the regulated Bitcoin network to criminalise those who play not by the rules.

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