Thank god we have a meme to explain this to us. 

Now I can feel vindicated telling people eCash is a L3 on Bitcoin.

nostr:note1gm5lz65vx3ac6gpvec9248j73gcxlwl7zzpedy8rzpqql4jedflq99pjv2  

 Yes 

 How is it not?  

 No permissionless exit 

 How does that not make it a layer 3 

 Do you consider coinbase, kraken, bank btc balances a layer 3 bitcoin?
 

 Yes.  A layer is an abstraction. Not all abstractions are created equal.  Considering something a layer isn't an endorsement. E.g. cashu is amazing, Coinbase is a cancer.  

 Bro just said "Coinbase is a layer 3 for bitcoin" 

 Bro doesn't know what a layer is 

 What is your definition of a Bitcoin layer?  

 I think the proper logical framework for layers isn't a Bitcoin specific thing, but rather just a property of complex systems in general.  Fiat has layers, (some) shitcoins have layers, Bitcoin has layers, the internet has layers, etc. 

A layer is anything that abstracts some lower level construct. Are Bitcoin IOUs on exchanges an abstraction? Yes. A shitty one, sure. But still a layer.  

 It really is. 

 If you can't trustlessly settle back on-chain, it's not a Bitcoin layer

nostr:nevent1qqsyd603d2xrg7udyqkvuz42ne0g5vr0h0lppqukjr33qsq06evk5lspzpmhxue69uhh5cts9emkzarrdqhsygxyk5mf48dj0ghphjtmyha2fp3dnl86w36sdv0jwtu0fvmtsykm6cpsgqqqqqqsvxg5td 

 Correct. Its a permissioned interface, a stablecoin, even. But a useful tool. 

 If Bitcoin is layer 1 in the OSI model, what is layer 3? 

 Mo money mo problems  

 https://media.tenor.com/Y0gszy5gxS4AAAAM/onions-have-layers.gif