Damus
calle profile picture
calle
@calle
Please let's not start saying that ecash is self-custodial. It is not.

You hold the ecash, we get it. The ecash part is non-custodial, ok. It's been thought of that way since the 80s. It's fine to think that way if you're literally the central bank and the ecash you issue IS THE MONEY AND NOT A REPRESENTATION OF AN UNDERLYING ASSET – only a central bank can do this. Repeat with me: Only a central bank can do this.
Ecash today is a representative of an underlying asset. In Cashu and Fedimint that's BTC. You give up control over that underlying asset. You measure everything in terms of that underlying asset. It is all about the underlying asset. You have NO GUARANTEE WHATSOEVER TO REDEEM THAT UNDERLYING ASSET BACK – ecash systems the way we are building them today ARE CUSTODIAL – please don't make things more complicated than they need to be. Please do not manipulate language and especially, do not confuse noobs who are still learning. I almost want to say that a framing like this irresponsible.

What are you going to say to the noob who wants their Bitcoin back but the federation broke down during an update and the database got completely rekt? How is that non-custidal or self-custodial or whatever the opposite of custodial is.

With all due respect, this is a bad take.
2350❤️67🤙40💯4🚀3❤️2💜2
Michael Matulef · 128w
💯
pleb · 128w
My read was that ecash is self custodial the way shitcoins are. Is that wrong?
mrclownworld · 128w
It’s a semantics issue. The custodian of an e-cash mint has a completely blind redemption obligation to an entire set of issued tokens. Compare that to an account-based KYC ledger where the custodian has individual redemption obligations to known entities. In both cases, the custodian can defaul...
WyhtBBDt · 128w
As a noob who's still learning I agree this is confusing as hell. No big deal tho. That's part of the course. I'll get it when I get it.
counterweight · 128w
Thanks for stating things loud and clear. The wording of that post was terrible.
[ARCHIVED] Jay · 128w
Ecash is gold receipts for Bitcoin with better privacy. That's it.
Sats paa BTC · 128w
Thanks for speaking out and clarifying! #Klartext
SUPERMAX · 128w
I'm torn on ecash thx for note
OceanSlim · 128w
He doesn't have a lot of good takes imo.
mouse · 128w
I love the discussion and the debate. Its great to read people thrashing it out love as we build. thank you
One of us · 128w
Absolutely. It is not self-custodial. Almost nothing is 100% self-custodial. Even these gold teeth in my mouth can be pulled out without my consent. It would be useful to evaluate the risk of losing something due to the actions of others within a certain time period. For example, ecash has a 50% ris...
DarthCoin · 128w
https://m.primal.net/HYmg.jpg
tiago · 128w
right.. thanks for this. I was looking at it as an IOWEYOU of BTC so ultimately, custodial, as you need to give them away for the token.. so still dont understand the hype around just because it "scales" better? 🤔
Bitmessiah · 128w
🖤 BlockMountain is full of scams. Encash is no different.
Justin Nakamoto · 127w
I zapped the note below with minibits ecash. So for 1 second it was custodial lightning. Wow. nostr:nevent1qqswg6rrdcmg62kf5jwqhjnn47u05m4cpvgymq7v28aly438dyaak7spp4mhxue69uhkummn9ekx7mqzyru6ev9sxnzvz9m7np03gculx9l0plk7uajhcpstz3hw0yqzgvt7cqcyqqqqqqgy6g78e