Author: Billy Tetrud 2022-03-04 12:35:27
Published on: 2022-03-04T12:35:27+00:00
The conversation revolves around the potential for a sidechain to dominate Bitcoin and how this would be preferable to an altcoin dominating Bitcoin. The idea is that if all chains, centralized and decentralized, are in the same monetary unit, then the monetary network effects never interfere, and the decentralized chain is always guaranteed to exist. However, a sidechain cannot exist without its mainchain, and it is argued that if a sidechain gets so popular that it dominates the mainchain, people may stop using the mainchain altogether. The discussion also touches on the merits of a largeblock sidechain compared to Visa and Lightning and whether it would burden Bitcoin-only nodes. The potential benefits to a user of that chain are discussed, including slightly lower fees than main bitcoin and more decentralization than Visa or Venmo. Finally, the conversation turns to the idea that Bitcoiners could easily sweep fiat transactions into some part of the BTC universe, such as a family of largeblock sidechains. While it is agreed that SPV-wallet-of-a-largeblock-sidechain is inferior to a full node of smallblock-mainchain-Bitcoin-Core, it is still seen as superior to Venmo, VISA, or even custodial LN.
Updated on: 2023-06-15T16:40:07.357424+00:00