Agreed, you always need to be aware of your counterparty risk. But in terms of scaling solutions, what if a #Bitcoin friendly nation developed an L2 or fedimint. Yes you're trusting an entity not to rug you and there are potential privacy issues but I'm pondering an ideal government-bitcoin relationship.

In this case, as any L2 has to lock some #Bitcoin to operate, it will increase the demand for them and further increase the adoption of our favourite token