Therefore, if Bitcoin (BTC) is stolen and ends up in the Lightning Network eventually, then everyone who passed it along within the Lightning Network is committing theft, and would be subject to a court order and criminal penalties.
the highlight part of 'if its stolen and end up in lightning...'
pause to take a breath... big mega technical flaw
bitcoins do not leave the blockchain. they simply cant. no one can take them out no one can even delete them. they are in the blockchain and only in the blockchain
You're right.
[/quote]
lightning is a separate network with no blockchain. its units of measure are not even 8 decimals. in short they are not bitcoins
they are millisats. a totally different token/unit of measure
[/quote]
BUT, that's where you sow confusion, and misinform newbies that Lightning has "issued" its own altcoins like IOUs.
It didn't. It's a network of smart contracts with transactions that are not broadcasted yet, between participants.
"Organized mempool" might be a more appropriate term.