0 sats \ 0 replies \ @erikds 1 Jul 2023 \ on: Can Ordinal Theory and Inscriptions really break the fungibility of sats? bitcoin
The fungibility of Bitcoin is already broken. Currently, bitcoin is fungible because we generally agree it is.
Today, there are limitations such as coins that are inscriptions or have clear associations with money laundering or terrorism financing.
The only way to fix this is by creating confidential transactions. But when transactions are confidential inflation bugs might go undetected.
Tldr; yes, bitcoin fungibility is broken but possible fixes break bitcoin even more in different ways