[vmception]

I'm looking forward to third party assets being tradable on the Bitcoin network again.

My contribution to the gradient of behaviors on that network was one where the Bitcoin asset was only used to cover transaction fees for the actual money being traded.

The whole "merchant adoption" thing was always a squirrel to me. When merchants will accept stable value assets more readily, or use those stable value assets for settlement, just like the US regulator greenlighted a few months ago.

[arcticbull]

Genuine curiosity: why would you trade third-party assets on the Bitcoin network when you could do it infinitely more efficiently on any of the competing chains? It's by far the least efficient blockchain ergo the least efficient way to trade third-party assets.

[edit] Direct fees are lower than they used to be, and the energy cost is about now up to about $100-120 per transaction. While that's being socialized across block reward for now, when that ends, it will have to be born directly by customers or see the network become less secure.

[thebean11]

> While that's being socialized across block reward for now, when that ends, it will have to be born directly by customers

That's true, total transaction revenue will need to go up. That doesn't mean per-transaction revenue needs to go up though.

Put another way, transaction volume needs to scale before inflation gets too low.

[wmf]

transaction volume needs to scale before inflation gets too low

Good thing they decided to never scale transaction volume.

[thebean11]

That's simply not true. They are ultra conservative with block size. That doesn't mean transaction volume won't scale. It doesn't even mean block size won't go up.

[vmception]

I'd like the option as thats where they were traded before the transaction space was limited. Counterparty, OMNI... doing that stuff over Lightning Network. Other Layer 2s. The growth of this stuff is limited by bitcoin's current state. It just makes interoperability with the broader Defi space more practical.

Regarding energy, if thats your battle then work on that aspect, there are some influencers aiming to convince miners to create a more energy efficient version of transaction propagation, settled on the Bitcoin network.

[gruez]

> I'm looking forward to third party assets being tradable on the Bitcoin network again.

Again? Did some sort of protocol fork break colored coins or the omni network?

[vmception]

How do you want me to answer that? Older things are still compatible on bitcoin network in the older address format. But that mostly means choosing between meta-assets or multisig, or choosing a meta asset or segwit. They also are not transmittable over lightning network reliably yet, this is mostly a factor of no protocol and gui being finished but two people can make their own protocol.

I’m looking forward to this all being standardized and wallets surfacing it after they agree on the protocols.