Sidechains in theory are great, but there is an unsolved problem of getting value out of them and back into BTC.
So at the moment they are almost useless.
So at the moment they are almost useless.
Utterly preposterous. I can't even begin to rationalize that train of thought.
You get your value out of it by opening / closing channels, acquiring something you desire via micropayment, or becoming an efficient router.
I mean, am I surrounded by fucking BCash morons today ?
Lol, I'm a Lightning fan.... I'm talking about SIDECHAINS you fucking moron
I am far from any kind of technical expert in these matters, but I do read about what other people say and sometimes attempting to distinguish various kinds of sidechains.
Some peeps (like Bob just asserted) maintain that LN is just another kind of sidechain, and other peeps try to make the matter more complicated by attempting to imply differences that may or may not be meaningful since there are all kinds of variations that could be considered or be built in terms of sidechains - including the possibility that someday, perhaps a large majority of whatever alts are left in the crypto ecosystem and still valuable would serve as some kind of sidechain to bitcoin.
So, yeah pegging a bitcoin value on the sidechain and serving as a kind of "federated side chain" seems to be something that LN is if you have to have a kind of exact number of bitcoins that go in and later come out. There may be other ways of either federating or giving value to other tokens in sidechains, but I would imagine that any side chain that does not federate value in terms of bitcoin value, would run the risk of being accused of engaging in a kind of fractional reserve banking (which would be frowned upon unless it is kept in a kind of strict control that is auditable or reasonably knowable.. but still possibly down a slippery slope of engaging in a fractional reserves practice).
I see that V8 is quick to the draw, and the linked article does provide some decent outline, too. Thanks V.
