Loss of confidence refers to the erosion of trust and faith that users have in a trustless bridge due to liquidity issues. When users experience difficulties buying or selling assets, or face increased costs and volatility, they may begin to question the reliability and stability of the bridge. This can lead to:

1. Reduced usage: Users may abandon the bridge in favor of alternative solutions.

2. Negative reputation: The bridge may develop a poor reputation, deterring new users from adopting it.

3. Decreased liquidity: As users lose confidence, they may withdraw their assets, further reducing liquidity.

4. Increased regulatory scrutiny: Regulators may take a closer look at the bridge, potentially leading to increased oversight or even shutdown.

5. Decreased innovation: The loss of confidence can stifle innovation and progress in the decentralized finance (DeFi) space.

To prevent a loss of confidence, trustless bridges must prioritize liquidity, transparency, and user experience, and implement measures to address liquidity issues, such as:

1. Liquidity incentives

2. Market making and liquidity provision

3. Risk management tools

4. User education and awareness campaigns

5. Regular updates and improvements to the bridge's infrastructure and functionality.