alt Hacker NewsMy point is that for legitimate payment uses Lightning (and all current cryptocurrencies) are useless. They were sold as the "democratization of finance" that will "help the world's poorest" and they either:
1. can't allow an single village to operate purely on them, because they're too slow
2. or they're not decentralized, and the entire "democratic" angle dies with that
And then what's the point of cryptocurrencies for most people? Why not just use the "tradfi" and "fiat currencies" and use the money propping up cryptocurrencies to actually make the world a better place?
If we shut down all current cryptocurrencies and diverted resources used to actual productive uses, the world would probably end up with a net gain.
I'm just ranting. I would want cryptocurrencies to be amazing but right now they seem useful for people with cyberpunks fetishes, for criminals, and rarely, for actual regular people from fragile states (not rich people trying to exfiltrate wealth).
> what's the point of cryptocurrencies for most people? Why not just use the "tradfi" and "fiat currencies"
Maybe because otherwise for a significant portion of the world population their own fiat is the only game in town. And it sucks so much that the regular people are willing to break laws and risk fines, confiscations and occasionally prison just for keeping their savings in anything else, like a neighbor country fiat. Their govvies use their fiat as a transfer mechanism (which makes saving impossible) and thus must discourage any other savings vehicle; otherwise no fool will use their fiat.
I saw fiat rug pull twice in my first 25 years: once as an instant nationalization (a friendly radio announcement one night that your money is ... well ... not a money anymore) and, later, a hyperinflation that over 2 years wiped out savings. And being found with a less sucky fiat at home meant jail.
I was just a kid, did not have any savings and thus did not care that much. But an older generation lost everything. So yes, a lot of people will gladly use anonymous, permissionless money, drawdowns and other warts included.