Have a look into this blog post to learn about how Liquid works ⬇️
nostr:npub1jg552aulj07skd6e7y2hu0vl5g8nl5jvfw8jhn6jpjk0vjd0waksvl6n8n
forgive me for what is probably a stupid question from a novice.
how much #trust is involved in to #liquid BTC other liquid assets?
I know I can get my Bitcoin back from lightning then an adversarial environment because I have the ability to close the channels myself.
hypothetically, if State actors applied enough pressure for liquid nodes + functionarys to shut down can I get my Bitcoin back yes or no?
if yes, can you explain to a 12-year-old how to do it?
Discussion
Direct quote from the source you provided-
"Bitcoin providing the underlying security and value for the #BTC stored in the
Federation's multisig wallet"
-not my wallet. It's a federation of crypto company's wallet.
I think nostr:npub1jg552aulj07skd6e7y2hu0vl5g8nl5jvfw8jhn6jpjk0vjd0waksvl6n8n dose more good than harm.
But calling #liquid BTC non-custodial is extremely dishonest and potentially dangerous to people who think they have Bitcoin.
Please correct me if I am wrong.👇
You are surrendering custody of Bitcoin in exchange for custody of Lbtc . You need permission from a federation member or supporting exchange to get Bitcoin back.
It's cool you guys are making tokens and securities. - And call them what they are. (These things are not productive and belong on shitcoins, away from Bitcoin anyway)
Moment of praise👇
You have done great work on the satellite & core-lightning.