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clarify Melvin quote
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psztorc committed Jun 23, 2024
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Expand Up @@ -9,20 +9,29 @@ This is part of a series on [Tidwell's Questions](https://twitter.com/miketwenty

## The Question

If we look at the real world example of Monero:
Supposedly (acording to Melvin)...

1. Market cap = 3 billion
2. Daily fees = 1 thousand
If we look at the real world example of Monero:

1. Market cap = 3 billion
2. Daily fees = 1 thousand

A self-interested actor (or algorithm) would always take (1), over (2).

A self-interested actor (or algorithm) would always take (1), over (2).
The chain gets terminated, and users rugged.

So, why will fees be enough to deter theft? It doesn't seem to add up!

The chain gets terminated, and users rugged.

## The Answer

Actually, it adds up just fine. Fee revenues will be way, way more than total coins "locked" to a drivechain.

Secondly, even if it didn't add up -- that would just mean that Bitcoin L1 is doomed as well.

### 1. If DC Breaks, Bitcoin Probably Breaks Also

Yes, Drivechain uses a "fees only" model -- L2 cannot print any new coins.
Drivechain uses a "fees only" model -- L2 cannot print any new coins.

Eventually, Bitcoin's L1 will share this fate. That's Bitcoin's long run security model. So, if it doesn't work, we had better learn now!

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