Why I Decided To Lock 1 Million Sats On The Lightning Network
Hey Jessatoshis
As a Bitcoin half maxi, I always enjoy hearing more about second layer solutions and giving it a try. I know they are far from perfect, but I think if I’m bullish on Bitcoin, it’s worth putting a few Sats into a project and seeing how it evolved.
I’ve also had major altcoin fatigue my portfolio is 51% BTC, and managing all these coins is a mission. I’m actually going to be consolidating over 2021.
Duncan McBitcoin - There can only be one
There will be a few staking coins I keep that kick off daily cash flow that I can convert to BTC so I’ll look to keep those and milk them going forward.
I think a lot of the altcoin market is more of a test of your resolve and how you fall for greed and narratives more than proving much competition for Bitcoin.
I’m not saying there aren’t cool altcoin ideas and tools but let’s be honest most of it comes out of Ethereum, and many of it can eventually be absorbed into second layer solutions on Bitcoin.
Why a million Sats?
The lightning network is essentially a payment rail for Bitcoin, allowing you to transfer Bitcoin without hitting the main chain! These off-chain settlements let you send Bitcoin at near-zero fees and consolidate funds, so Bitcoin doesn’t have to be locked up as dust!
You can use it for day to day movements of coins, and once you’ve built up enough transactions to secure to the main chain you can broadcast 1 UTXO to your on-chain wallet and secure that Bag.
The issue with lightning is that no one wants to provide liquidity, and why should they? You get nothing for it, and you can instead use your Sats in CE-FI abs DE-FI if you want to hodl.
To put this into perspective, there are
- 14,000 public nodes
- 36,000 public channels
- 1050 BTC capacity ( >$12M USD)
On lightning but 1 Billion in wBTC on Ethereum, the lightning network doesn’t have enough throughput to handle larger transactions.
The more Sats we have stored on Lightning, the bigger the volume of transactions and the shorter the hops takes to transfer.
I’ve seen many node providers asking for channels to be created, and a million Sats seems to be the most popular amount to open one with them.
Supporting the lightning network is an easy decision for me because this is a use case I think is valuable once we hit medium of exchange level.
So I’m getting ahead of the pack and going where clearly few Bitcoin owners are venturing!
Have your say
What do you good people of HIVE think?
So have at it my Jessies! If you don't have something to comment, comment "I am a Jessie."
Let's connect
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Posted Using LeoFinance Beta
you are funny, why don't use bitcoin as a unit? lol... Did you use a .onion for it or are you still on the clear net?
Aren't all Bitcoiners seen as strange and funny?
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STOPCheck out the last post from @hivebuzz:
How secure is the lightning network in terms of having sats stored on it? I guess you can't do things from the ledger yet with second layer?
It still has a few vulnerabilities that can be hacked so I wouldn't say this is for everyone just yet! The million sats I put in less than half was bought, I have been earning them for ages now and just messing around with the LN so I don't really feel it.
I can always ping it to an exchange in a second and trade it if needed also which is why I like having a bit of skin on lightning. It's also better for UTXO management if you sending on-chain 10/20/50 BTC apart from the fees you losing you're also generating so many UTXO's so while your balance increases its made up of more UTXO's meaning it would be more expensive to move your balance in the future as it consists of more data.
By using LN I can consolidate my BTC and then send one big UTXO to my ledger if I want to secure it on-chain
I like how we're talking in sats now! I'll probably hold fire on dipping my toes in to lightning at the moment but I have heard that Strike are using it now to send instant payments across the world between different currencies instantly which is massive really!
Quite a few merchants are now setting themselves up to accept BTC payments so I have a feeling we'll be seeing more layer 2 developments going on this year as well
Lol taking in fiat is too confusing I have to know what the rando relationship between a rand, dollar abd a pound is fuck out here with that mess!
It's going to make it so much easier to buy things in the future! for example I'll know the value of real estate in one country versus another and you can see if it's value for money based on Sats vs amenities and other shit you value in property
I can only imagine how easy it's going to make travelling like if I know a burger cost 5000 Sats in my country and I know if this is a good deal or bad deal and not getting fucked over by tourist traps because I don't know what he value of that counties money
Imagine getting off the plane and you just swiping and QR coding Sats without exchanges and all that other shit ah it's going to be glorious!
Digital nomad life is going to be great you'll jusy go on AirBnB see where the best place in the world is to rent by Sats and boom you off to the races
Lol, that's a pretty sick vision - fast forward 5 years and this could very well be the reality!
Having sats as the reference point will make things so much easier. I heard they were looking at even splitting the sat up into smaller denominations but that may be a rumour!
Been running my lighting node for the last 3 years. When you believe in something you invest in it and take action.
Posted Using LeoFinance Beta
Did you build a node or buy one of those Casa thingies or one of those other manufactured ones? I agree, someones go to take the risk and I think it's worth supporting BTC over trying to speculate on all these alts.
If lightning does take off, it's going to suck up a lot of these alts like what would be the point of B.cash or Litecoin if Lightning and its addresses are fully operational and accepted as widely as BTC
I am a Jessie - But here to tell you this...
https://wallet.matic.network/bridge
Here is the bridge. Be at Eth Network at metamask and depost Eth with this bridge.
Then you will see it here https://wallet.matic.network/ (if you are connected with metamask)
And you can swap here https://quickswap.exchange/#/swap
Looks like this. remember to at right network in metamask.
Just tell me if you need a better guide.
A textguide I found here https://www.google.com/amp/s/blog.matic.network/deposits-and-withdrawals-on-matic-network-walkthrough-guide/
Thanks for the instructions I'll mess around with it a little later
I just connected BNB chain to my meta mask now and converted some HIVE to BHIVE on the BNB chain!
!BEER !ENGAGE 20
What did you pay for that transaction?
1 HIVE for the transaction but the LP pool has nothing in it yet lol so once my BNB comes through I will be the only provider LOL
Then you get all fee when we come after you.
Thinking of taking DEC to Hive to Bhive to Beth (or Something else) LP
Lol that's what I'm thinking but HIVE ETH wasn't a really well traded pool either! Unless theirs an incentive like with DEC or LEO people don't seem to want to be LP providers
Just swap it and be BTC/ETH LP??
ENGAGEtokens.Sorry, out of BEER, please retry later...
Highlander... Nice. Man, that was a guilty pleasure of mine back in the day. I think what you're doing with the lightning network is essential for Bitcoin in the long run. If fees are high, people will look for alternative solutions eventually.
Oh totally only the big ETH whales are still using ETH to trade all smaller traders have moved on to Binance chain or TRON or EOS although ETH does have the better products and innovation
So sometimes it's a good thing since you kick the smaller players off and keep the high rollers on your chain and let the other projects deal with the riff raff
If ETH keeps going on like this though I don't think it will be sustainable for anyone to build on it! Unless you moving like 10k USD value and up
I am a Jessie - I'm just not into Bitcoin at this point. I have some but I don't think the future is in it from a functionality standpoint. From a gains perspective as well I personally think the alts are more interesting
Yeah I concede that Alts have better price action, volatility and percentage moves but a lot of it can't be realised because of liquidity you're in a roach motel
If I sit with 10k of a alt coin abd want to liquidate it's not always that easy so many times it's paper gains that can't be realised
For me I'm not really caring about cashing out or Fiat value! I use Alts to get more Sats and I can do that in a bull or bear just fine!
Lightning networks surely have a valid and good use case and it's true that it's little slow at the moment. I would like to help this network as well .How can i help by just keeping some Sats in one of lightning network supporting wallets or something else ?
Posted Using LeoFinance Beta
You can set up a non-custodial wallet there are plenty available, and check out lightning-based apps here, you can also spin up your own node and if you understand command line you can set up a LIFI pool and drop your sats in there as a liquidity provider like you would on Uniswap