STEP 1: FUD the Scaling
The network that was meant to be the foundational difference from fiat was deemed unworkable. A Layer 2 solution was promoted as the only way.
STEP 2: Introduce the Red Herring
In order to hold off on-chain scaling, the Lightning Network was introduced. Just wait 18 more months. It’ll be ready and it will be amazing!
STEP 3: Jack Up Fees
Use Ordinals to jack fees high enough that no one can afford to self-custody, let alone use the main layer for anything normal.
STEP 4: Introduce Custodial L2
Liquid hung out in the background while Lightning was promoted. When Lightning broke because of crazy high fees, Liquid was quick to slide in as a solution.
STEP 5: Bridge from Exchanges Straight to L2
Now Banksters use Ordinals to jack fees to force everyone to withdraw directly to the permissioned L2. A host of exchanges can bridge to and from Liquid, and this is promoted as the ultimate solution.
Coinbase conveniently shuts off functionality for most payment coins on its merchant app. This funnels people into “trusted” KYC L2s.
Congratulations, most crypto users are now permanently stuck in a permissioned, custodial system, unable to afford actually controlling and owning their own money on permissionless networks.
Satoshi is rolling in his grave, but the Banksters are happy. What an amazing coincidence!
(plagarized from Joel Valenzuela @TheDesertLynx)
I think the solution to the situation is many different coins that are usable. Then a DEX where you can trade all of them instantly with low fees. This will automatically decentralize the whole ecosystem and make attacking a single coin pointless.
This is why the bankers have propagated the BTC maxi culture because they know if we have 20 popular and useful coins they will lose control. We must really reject the maxi poison.