Create better pitch for why privacy on layer 2 is useful

[khoslaventures]

The folks over at Lightning have had onion support for a while. They've done a good job perfecting it over on the RFCs, but it seems like their scheme has more potential for leakage (on chain HTLCs preimage, etc.)

If ILP is more like a credit network in which you trust your counterparty with your STREAMed amount, then onion routing seems like a dumb idea, but I think there are means of STREAMing safely in which the units STREAMed doesn't exceed the cost of closing a payment channel.

I think the main benefit here is that if you can overcome an insecure Layer 1 through using a secure Layer 2, that's pretty neat. The current internet is more built like that in the sense that our foundations are secured by institutions but the layers above are secured by cryptography.

Perhaps a paper like Bolt would be useful to understand for this scenario.

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