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354 sats \ 3 replies \ @huluvublue 22 Sep 2023 \ on: I still don't get what a DriveChain is. bitcoin
A drivechain is a sidechain that has a special hashrate escrow L1 BTC address with no private keys to accomplish the "two way peg." Peg ins are fast, peg outs are slow. Drivechains have the option to be Blind Merge Mined, this is a method where the sidechain txn fees are paid in L1 btc to bitcoin miners. The goals of DC are to scale the network with permissionless L2s where users can onboard in a self custody manner while securing the future of txn fees. If the future L2 solutions do not pay txn fees it effectively competes with L1, weakening the security of the network as the mining incentives (txn fees) decrease
If the future L2 solutions do not pay txn fees it effectively competes with L1, weakening >the security of the network as the mining incentives (txn fees) decrease
L2 solutions that do not pay txns fees also do not have users, so miners will point elsewhere. Security is not reduced.
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Im talking about txn fees being paid exclusively to L2 validators rather than L1 miners. Liquid doesnt pay miners, blockstream and the federation or whatev make the txn fees. Botanix spiderchains is a new example of a remora chain that will have users but not pay txn fees to BTC L1 miners. Stacks does/did this too it has users. You can have other scaling "solutions" like WBTC that simultaneously drive demand for BTC but gives txn fees to a competitor network, if WBTC txns were RSK txns there would be (napkin math, rsk has 3500 btc payin 1 btc per month in txn fees to L1, wbtc like 150k, zero fees to L1) another 50 BTC per month in txn fees, probably way more though. May seem small now but in 8 years the added txn fees will be essential for the security of the network.
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So if i understand you correctly, drivechains and BMM are prefferable to L2's that do not pay L1 fees.
Edit: I just realized who you are. we are on the same side in this debate :D so i re-read what you were saying
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