This looks pretty good, but I'm confused by a few things.
  • Does this somehow impact privacy? If you can trace coins from when they came in via LN to when they are eventually redeemed, what impact is that? (or did I misunderstand).
  • Secondly, from what I understand Cashu (ecash) uses a power-of-2 scheme for "notes". So if you have 14 sats, you really have an 8 note + 4 note + 2 note. So what happens now? Do all have same tracking signature? If I forward the 8 note to Person B and they then pay someone else 1, (so that 8 note is broken into a 4 + 2 + 1 + 1, and the 1 is sent to Person C). What happens?
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