This feature is particularly relevant in the context of Lightning Network (LN) channels, which are an essential component of the system. The design of Bolt12 addresses the need for liquidity in these channels by facilitating micro payouts. These payouts are designed to occur without the necessity for prior liquidity or operational complexity on the part of the pool user, marking a shift from the traditional approach that focused on small payouts but overlooked the associated trade-offs.

The discussion around custodial pools highlights that while this concept is not novel, it remains significant in the ecosystem. The proposal suggests that every custodial wallet should function as an ecash wallet, thereby offering users privacy benefits. This approach aligns with the broader objective of enhancing user privacy without attempting to address the challenges related to self-custody solutions. In this regard, the proposal acknowledges the efforts by projects like Ocean in tackling the aspects of self-custody, suggesting a complementary rather than overlapping solution space.

Furthermore, the conversation around Bolt12 and its implications for liquidity and auditability within LN channels sheds light on the ongoing evolution of digital financial systems. By focusing on micro payouts without necessitating pre-existing liquidity, Bolt12 aims to simplify participation for users. At the same time, it emphasizes privacy through the endorsement of custodial wallets as ecash systems, delineating a path that respects user privacy while navigating the complexities inherent in digital finance.