Mixing example #2
What do you think?
Sounds like a great idea to me! So basically, instead of handing custody to ChipMixer for a few weeks, Bob can hold the LN balance (non-custodial) for that time period, then push it back to CM and get & redeem his chip immediately.- Bob deposits 1 mBTC on-chain.
- Once the transaction is confirmed, Bob chooses to withdraw the chip via Lightning.
- Bob receives 1 LN-mBTC instantly.
- Bob prefers to have the bitcoin on-chain, so he sends it back to ChipMixer after a few days.
- Bob can now spend his 1 mBTC chip freely, again, knowing he's enhanced his privacy without infringing self-custody.
What do you think?
The fact that his LN funds are non-custodial, means he could at any time spend those on LN, or even use any service to swap it to on-chain balance. But it would also give him the option to get a CM chip at any time, too.
It might even be possible to achieve higher anonymity by spending part of the Lightning balance, thus only getting a smaller chip from CM for the rest of the balance.
Lightning withdrawals, even without sending them back to CM and getting out some chips would be pretty cool anyway.
The only issue I see is that having self-custody is more interesting / important the higher the amounts are. And large amounts aren't always routeable through Lightning. Besides that, I do like the proposal and the name is amazing, too..
