Comments by "FightForFreedom" (@fightforfreedom21) on "What the Heck Is a Bitcoin Layer 2? (Goat Network Interview)" video.

  1. I don’t think people would be interested to the economic of having a proof of activity… meaning people are interested in passive income unless the rewards are high enough for justifying a direct and not passive activity… but usually staking doesn’t give high rewards if there’re not high risk involved. I don’t know how much it will be worth it to be more active to have an increased staking rewards… i think it will be negligible in terms of gains from the user perspective and more prone to generate profit through fees for the L2 chain.
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  2. I don’t really understand the difference he’s talking about… Ethereum L2 are fragmented and isolated but that will happen eventually even to BTC L2 if they eventually get traction, especially when other competitors will come in the chain… it seems he thinks he will be the only L2 created for BTC? 🤔
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  3. Also i forgot to mention that this proof of activity will be easily cheated by bot interactions which basically will leas to a centralized number of entity or users taking all the staking rewards compared to normal retailers… and will be very hard to implement a system that will distinguish between legit user interacting with the chain and fake users using bot just to game the POA system. I think there are currently chain that are retaining user quite well after the farming airdrops ends and those chains are usually those who have cheap fees, low occurrence of chain haltings and robust in terms of security 🤷‍♂️.
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  4. To summarize imho: You don’t need, to incentivize users to use more the chains to have more staking rewards to retain them… because imho those staking % increase will be negligible for the average user unless you spend a lot if time clicking buttons and doing useless things.. this is not the web3 people want to use just to give the majority of the revenues to the chain itself . That’s not what i would call a good retention system but just a way to gain more fees for the chain itself (which seems to be the main goal here 🤷‍♂️). A good chain retention mechanism would be one that provide a chain which is stable (no halt or bottleneck every few days), low transactions fees, great UI DApps for the Ecosystem… there are a couple of L2 chains on Ethereum already doing great job in this and other DApps like AAVE having great UI and UX for the users. That’s how you create retention. The only thing missing in these apps to gain more users is another layer of abstraction on top of them to simplify Transferring of Funds via Wallet, which is still too complicated for the average users. Apart from this, you don’t create a good retention system by creating an addicting environment, which is imho what goat is trying to do, which will be in the end a fake/simulated addiction because activity will be performed mainly through bots especially in trading Exchanges DApps. An opinion from a software engineer, hope the professor will reconsider it.
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