People get confused about cashu because they haven’t updated their thinking. Cashu is a protocol. It overtly isn’t bitcoin, therefore that argument doesn’t hold weight.
You can issue any kind of asset on cashu. I have used cashu in dollars. We are using the cashu protocol to issue bitcoin. It is the best most private alternative to custodial lightning. Perfect privacy, can’t be individually rugged or censored and you hold the bearer iou on device.
It isn’t self custodial bitcoin. Nothing is. And calle has been clear about that from the start.