Subnostr

a lightning node or a eCash setup could show you or all useres a higher balance then the node or mint even has.

it would be functional but if all want to cash out the last one could not send sats out, even if they still got a balance

its scaling

we got a trilemma with

security, decentralization and scaling

you cant solve for all 3

Yes. But my point is that when the fractional system "syncs" with the base layer or sends sats to a fully reserved wallet it is only a fraction.

I send you 10 fractionally reserved sats and you get one on your fully reserved wallet.

So this problem is not there. So fractionally reserved channels would not lead to a crash of the whole system.

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yes, the system is still safe even with bad actors