I don't think that is the right question to ask. Sleeping person is unconscious almost by definition. They don't respond to stimuli and they don't do much of anything besides breathing and just laying there.
> do we merely lose the capacity to remember?
That is a better question. Some people remembers their dreams. Sometimes people can remember stimuli which happened while they were asleep. (For example it happened multiple times to me that noises happening around me where incorporated into my dreams in various forms.) So if sleeping were just amnesia then these dream memories would need to be explained somehow.
Memory could be attached to context. Change the context extremely and you lose the associated memories.
And dream is an extreme change of context.
A very doable experiment. Whether you remember your dreams or not, next time you wake up, ask yourself whether you were conscious just a moment before waking up.
I would say this is a contradiction.
> A very doable experiment. Whether you remember your dreams or not, next time you wake up, ask yourself whether you were conscious just a moment before waking up.
This is begging the question. It seems possible that we were conscious of our dreams if we remember them and were not conscious of them if we don't.
On dreams, I explicitely left out the dream scenario from my experiment. I'm only asking whether the moment of waking up feels like "lights up" or not...