If we want #Bitcoin to gain mass adoption, the community needs to be exclusive and welcoming to everyone. Don’t shame people who keep their Bitcoin on exchanges, self-custody can’t be the only way.
Also, mass adoption won’t happen on Rasperry Pi nodes and retail DCA’ing alone. Big institutions are coming, and that’s probably a good thing.
I’m super excited for the future! In the meantime, let’s keep building, educating and sharing ideas!
I agree with the sentiment, but don't agree with the substance.
The reason we need to keep going on and on about self custody is that it's the only real Bitcoin. Unless we make exchanges have to sign specific UTXOs for users so we can have perfect correlated proof of reserves. For now, exchanges are black boxes of risk.
Agreed. But it’s just not realistic to expect everyone to manage their own keys. I wouldn’t trust my grandma with storing her seed phrase safely, nor how to use it. Or even understand asymmetric cryptography. Banks will still exist in the future and will (hopefully) provide #Bitcoin backed services.
Why would you trust banks to keep those keys safe too?
The problem is that even if s bank fucks up, they have no recourse. Doesn't matter if they are a bank or your grandma. Those sats are gone gone and there is nothing the bank can do to make it right.
I trust the banks more than my grandma to keep the keys safe, yes. They have large security teams that could be dedicated to key management. And insurance solutions would be put in place so that your funds would be replace should they lose keys.
Again, I’m not advocating against self-custody. It’s the only option for me. But if we want Bitcoin to be more than a niche, we need to accept that custodial solutions will be a thing, and probably the safest bet for most people. Just like most people have their savings in a bank and not in cash under their bed.
I agree with the technical side, but I strongly disagree with the insurance claim. There is no insurance for bitcoin. There can't be, supply is capped.
My personal preference would be a technical solution, or a family-style covenant key management system.
Right, but it’s still possible to envision a solution where the banks are liable for lost funds. Just like gold custodians will be held liable if they lose your gold.
