Lightning Network capacity is near all-time highs, but nodes and channels have declined.
Consolidation or quiet adoption?
Discussion
I’m thinking consolidation.
Market is putting most coins into channels that earn fees and dumping unproductive channels
In my view, it's just becoming more efficient.
Should it ever become too centralized and censorship becomes an issue, that's just a market incentive for the network to grow as new players join the network to provide services to users that others would not.
☝️This right here
Ticking back up because chain fees are low. Everyone has realized that managing a node and small channels are just not worth the hassle. Only bigger players will be a part of the lightning network.
100%
layer 2 and above will be where fimancal institutions and corporations live and play
Only the Individuals that can afford to be sovereign and manage a well connect lightning node will do so
We are following the same path as the internet developed
It simply works. Efficiency up. Less and less fcs. Lnd Versions improved etc
both. Consolidation of higher volumes and plebs are justnusing private nodes.