I'm no scholar on these things but this is my understanding.
Loppon Malcolm, "The problem with shentong, which CHNN has addressed many times, is that in Dzogchen the result exists as a potentiality of the basis; but in Shenton it is fully formed at all times. For this reason, in several retreats ChNN has declared that shentong is incompatible with Dzogchen."
In Dzogchen the result exists as a potentiality of the basis along with secondary conditions as part of lhun grub or unafflicted dependent origination. This means the result (buddha's qualities) arises as one of the possible appearance of wisdom. But it is nothing inherently existing anywhere, merely manifest when conditions are there. It is in the form of actualizing buddha nature through conditions. "in Shenton it is fully formed at all times." - The buddha qualities in Shentong are inherently existing in ourselves, so there is no need for any conditions and it is only a matter of discovering something inherent. This teaching does not factor conditionality in terms of result and may have a danger of falling into a view ot true existence/inherency. That means the luminosity aspect may be reified into something that truly exists, that is one of the dangers. While non-shentong teachings of madhyamika may have a tendency towards nihilism if wrongly interpreted.
So when we understand the principle of potentiality, this means nothing exists in and of itself, the basis is empty of any inherent existence but has limitless potential that manifests according to conditions.
Something I wrote before: "Buddha-nature is this total exertion, it is not a hidden noumenon or a latent thing that ‘produces’ the myriad things, nor is it something that truly exists hidden waiting to be discovered – that is a mere dead image we form about Buddha-nature that has come to past.
It is the entire universe of complete seamless interpenetration that is ‘exerting’ Buddha-nature in a completely dynamic, ever-advancing state of self-actualizing. We are not discovering Buddha-nature so much as to be actually “creating” it every moment. Or you can say we are simultaneously discovering, renewing, creating, and casting-off Buddha-nature every moment (yet this Birth and Death IS precisely No-Birth and No-Death)."
Padmasambhava:
Just as is the case with the sesame seed being the cause of the oil and the milk being the cause of butter,
But where the oil is not obtained without pressing and the butter is not obtained without churning,
So all sentient beings, even though they possess the actual essence of Buddhahood,
Will not realize Buddhahood without engaging in practice.
Very interesting discussion here. AEN can you point me to the group or forum where this conversation happened? btw im Nick F (From FB/LU/ useful talk admin.)
It is in the Emptiness group, you need to contact Greg Goode if you wish to join. Greg Goode intends to keep his group free from unpleasant arguments so he keeps his group small and limited. Tell him you are interested in Emptiness teachings.
Kyle Dixon is writing a PDF on Dzogchen and Emptiness, Greg Goode is helping to design it in PDF, and when its done and posted I will also upload to my blog.