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I agree with this overall, but have serious reservations here:

Bitcoin could easily be extended to have an EVM

are you talking about Script, or some other approach I don’t know about? I think it’s pretty optimistic to put the word “easily” anywhere near a proposed use of Script.

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I don't know about "easily", but that's pretty much exactly what Qtum did. It's a UTXO blockchain with EVM and other smart contracts on top. It required about 6 solid months to figure out how to make it work and the output of that is something called "The Account Abstraction Layer" to basically decouple smart contracts from the underlying blockchain protocol

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