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Why should lightning fees be high if there is an open market for hubs and they compete on fees?
by VMG 9y ago
Why should lightning fees be high if there is an open market for hubs and they compete on fees?
- simias 9y agoRunning a hub could end up being expensive as you need a massive amount of "collateral" to lock in your channels. A hub is rather worthless if it only provides $1 channels to all its "subordinates". If you have a huge "bank of america" hub connecting to hundred of thousands of entities through large channels on one side and a small "mylightninghub.io" with a dozen of people through $10 channels you better hope that they're extremely competitive on fees to make up for it. It's almost exactly like the credit card business currently. If I come to you and tell you "Here's the SimiasCard, it has extremely low fees and great advantages! But you're limited to $5 a day and it's basically accepted nowhere." Would you take it?