411–420 of 421 posts
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You know damn well that banks and credit card institutions take cuts of transactions. Why this aversion to Bitcoin on HN, even with LN?
I agree, why would anyone provide payment infrastructure if they don't get paid?
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I am not well versed about the Strike wallet specifically, but I believe that it is a fiat wallet from the perspective of the sender and a lightning wallet from the perspective of the receiver.
Ok but why. They have a custodial wallet on both sides, the sender sends dollars, the receiver gets dollars. Why not just use addition and subtraction instead of LN? I can't think of a reason they would do this except to shoehorn LN into the app or avoid regulations in some way. Is there something I'm missing?
If you pay someone in the same country with the same currency, then it works probably like Paypal. You can't do that between countries, because the actual dollars have to be in the local bank.
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It's up to the nodes how much they want to charge, which is a competitive thing. They might as well charge 1000x more, that's just the figure the market arrived at. So, why do they charge so little? Running Lightning could be done for other reasons than just collecting fees, similar to why you might run a full Bitcoin node, even though it only costs you money: You are invested in the network as a whole. It's also wor…
Yes, it's probably heavily subsidised so I expect fees to grow substantially if it becomes more popular. And the thing is the small fee is not the only fee that there is to pay. Apparently in order to open a "channel" the user needs to pay one BTC confirmation fee and another one to close it, but bitcoin enthusiasts somehow never mention this detail.
Transactions on the lightning network aren't scarce like space on a new block, so there's no reason for increased demand to substantially increase prices.
> Apparently in order to open a "channel" the user needs to pay one BTC confirmation fee and another one to close it, but bitcoin enthusiasts somehow never mention this detail.
That isn't true. You can open channels larger or smaller than 1BTC and the Bitcoin aren't really "paid", but rather "staked".
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There are several alternatives nowadays, you're being dishonest by only mentioning the most controversial one.
For the sake of argument, what's the absolute best alternative to Tether that you feel could safely be used as an example? Because you quickly resorted to ad hominem attacks even though you failed to provide any alternative or even a single counter example.
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If the currency is in a bank that deals with the US it could be seized. Bitcoin doesn't allow this.
Kind of: Bitcoin doesn’t allow transactions without knowing the key but that isn’t true for exchanges and the public ledger makes it easy to block transactions using that address. If everyone subject to US jurisdiction or treaty agreements blocks transactions traceable back to tainted addresses, the value plummets.
This process is completely decentralized, and AFAIK you can't trace the move from BTC to renBTC.
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On its face that would appear to be a bald assertion. Investments inherently contain risk which would dissuade potential investors if they have a stable source of growth. Investments would have to have very high upside to be worth a stable but lower rate of deflation. Secondly, I'm not sure how you can be certain that investment returns, without regard for risks, could be higher than the deflation rate.
> Investments inherently contain risk which would dissuade potential investors if they have a stable source of growth. Stable sources of growth have existed for decades but somehow most investors aren't just going all in on those. That's because investors care more about good risk-adjusted returns than lame guaranteed returns. >Investments would have to have very high upside to be worth a stable but lower rate of def…
This leads to your first 2 points, where people might still want to invest to get a potential higher return than the base deflation rate, investments would drop compared to an inflationary environment. In the inflationary environment investments are necessary to prevent the loss of value, whereas it isn't in a deflationary one.
My prediction. This won't be used hardly at all. Why use bitcoin when the USD is also legal tender and superior as a currency in nearly every way? About the only thing you can do more easily with bitcoin is buy other cryptos and send it across borders - sometimes. I would also predict that the failure here would finally get people to stop thinking it's a currency. But I doubt it.
Who, in their sane mind, would buy a 2$ beer in bitcoin and pay 10$ in transaction costs ? It's crazy
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Kind of: Bitcoin doesn’t allow transactions without knowing the key but that isn’t true for exchanges and the public ledger makes it easy to block transactions using that address. If everyone subject to US jurisdiction or treaty agreements blocks transactions traceable back to tainted addresses, the value plummets.
Even if there was some blacklist that all exchanges abided by, you can still use something like Ren Project to put your Bitcoin on Ethereum as renBTC, exchange it to USDC (or any other cryptocurrency) using a decentralized exchange, and withdraw it. This process is completely decentralized, and AFAIK you can't trace the move from BTC to renBTC.
> Bukele said the country is partnering with digital wallet company, Strike, to build modern financial infrastructure using bitcoin technology. Wow, this seems like an incredibly shitty situation for the people of El Salvador. It looks like some lobbyists got hired by a wallet company stacked with angel investors willing to pour money into the idea of being integrated into the government at such a low level. I wouldn…
Their work is open source and they are using standard Bitcoin protocols. Zap is their wallet https://zaphq.io Strike is a payment app that uses Bitcoin Lightning network internally to settle payments between financial institutions. It's useful for sending fiat currency denominated remittances instantly and without fees. https://strike.me When they released Strike in El Salvador, it was an instant success. The preside…