When working on a project https://github.com/xlnfinance/xln (a financial account network between entities) I stumbled upon a problem that you need a way to emulate a real network deterministically. Then i realized every blockchain is just replicated state machine so why dont we encapsulate every user node into Runtime->Entity->Account hierarchy of 3 state machines. Each outer machine fully controls the inner one. Like "blockchain inside blockchain" with different consensus modes.
Then I googled for "hierarchical state machines" and found statecharts. These two ideas are somewhat similar so here are my 2cents. Imo more software should use hierarchies of state machines to fight the worst class of bugs with non-determinism.
Things programmers believe. It's interesting how some knowledge fundamentally assumed by default. For whatever reasons, the notion is widespread. You're a programmer? Therefore you must know JS, SQL, Bash and Python. In practice, what I've found after decades working with various teams - most programmers have pretty inadequate knowledge of any of these things.
→ “AI generates slop, false info, deepfakes make ppl look bad, therefore AI = bad.”
Same vibes.
You can wake up with your bank / broker / PayPal balance = 0, and there is nothing you can do to protect yourself from that scenario.
Only replicated state machines (or L2s built correctly on top of them) even attempt to close that attack surface — and they’re still not finished.
In 10–20 years the world will run on government-run CBDCs, and your relationship with your bank/broker will finally be protected by actual cryptography and replicated state: xln.finance.
That’s when crypto reaches its real bloom.
Right now it’s nowhere close to being mature enough to judge.
If you’re a trader, jokes on you — you were never “in crypto.”
You were just passing through.
The only people who are actually in crypto are the ones who build:
smart contracts, consensus, p2p layers, replicated state machines.
Everyone else is just cheering from the sidelines (usually for the wrong team).
The parent comment is exaclty right. "LOL" is best possible response.
>We should demand privacy, not laugh at the notion of privacy.
Recently got m3 ultra 512gb studio. LM Studio runs frontier models routinely. Going local is the ONLY way. That's all you can do. "Demanding privacy" is security theater. Act accordingly.
why imagine? The world already functions exactly like that. Talk on Tg like every chat is summarized every 24hrs and monthly (with cheap LLM and then with strong ones if signals found), and it reports to all kinds of interested intel agencies.
Same for openrouter. everything that leaves your device plaintext = public. Period. No hopes.
Then I googled for "hierarchical state machines" and found statecharts. These two ideas are somewhat similar so here are my 2cents. Imo more software should use hierarchies of state machines to fight the worst class of bugs with non-determinism.