After the results of the U.S. election were announced, BTC rose sharply, living up to expectations and soaring to historical highs.
The prosperity of the crypto world attracts a continuous influx of new technologies to constantly expand the market, stimulating the virtual finance industry.
Recently, a unique Layer 2 public chain on the BTC network -- @CKB Eco Fund has shown great potential and may become the leader of future decentralized payment networks.
The next round of hundredfold coins seems to be born within the BTC ecosystem public chain.
Just talking about it, surely someone will disagree, why can it be? What use does it have?
First, we need to clearly understand the problems currently faced by BTCLayer2.
1. BTC does not support smart contracts due to not being Turing-complete, simply put, it's about how to expand gameplay.
2. The high-speed and low-cost limits of the Lightning Network are constrained by the uncertain progress of complex channel development, simply put, progress is slow.
1. Why does CKB qualify as an ideal Layer 2 for Bitcoin?
Nervos CKB, as an extension Layer 2 of Bitcoin, has unique technical advantages.
CKB's Layer 1 has adopted a combination of proof of work (PoW) and UTXO (Unspent Transaction Output) model from the very beginning, maximizing security and transparency. It not only inherits Bitcoin's security but also enhances the system's programmability and interoperability.
With its unique Cell data structure and Turing-complete virtual machine, CKB can provide great scalability and cross-chain interoperability for the Bitcoin ecosystem, making it an important supplement to the Bitcoin ecosystem.
Note: CKB generalizes the capacity in the UTXO model and names it the cell model, allowing users to customize rich functionalities within the capacity.
2. The innovative financial protocol of BTCFi.
The innovative RGB++ protocol further enhances the issuance and circulation capabilities of multiple assets. It supports bridge-free cross-chain transactions of BTC assets on CKB, strengthens cross-chain interoperability, and breaks down the barriers of traditional asset issuance and cross-chain circulation. This innovation makes the Bitcoin ecosystem more diverse in scalability and broadens its possibilities.
RGB++ introduces a brand new token issuance model. By creating liquidity pools through smart contracts on UTXOSwap, it cleverly balances the contradiction between traditional venture capital models and fair issuance. The bridge-free cross-chain technology of RGB++ completely breaks through the traditional model of asset cross-chain.
This innovation not only enhances the liquidity of assets but also significantly improves security and efficiency. Bridge-free cross-chain technology allows for freer and more reliable asset circulation within the Bitcoin ecosystem, providing a broader and more effective ecosystem for BTCFi.
3. JoyID and the Lightning Network.
JoyID is a Passkey wallet that first supports the Lightning Network. The wallet achieves a password-free and mnemonic-free experience through Passkey technology, being a non-custodial wallet where users fully control their private keys, ensuring self-management and security. It emphasizes support not only for Nervos CKB but also expands to other ecosystems, especially in Bitcoin-related application scenarios. It also particularly supports the RGB++ protocol, making JoyID one of the first wallets to fully support the RGB++ protocol, providing users with a new way to manage Bitcoin assets on Nervos CKB, making cross-chain transactions and applications more convenient.
The current user experience is that JoyID provides a very efficient and convenient payment experience. You can really feel the difference, especially in scenarios like small payments and cross-border remittances, or in the flexibility of multi-chain management. I believe its potential is huge.
4. Future prospects for cross-chain circulation.
Firstly, the CKB ecosystem continues to grow. Through various support for complex functions and cross-domain applications in fields such as DeFi, a diversified transformation can be achieved. Secondly, the professional process of instruction sets for program expansion allows developers to build this ecosystem's central applications more easily. This will enhance the stability and usability of the decentralized financial network and promote seamless cross-chain circulation of BTCFi assets. The balance of scalability and decentralization will avoid security risks brought by other Layer 2 solutions. It will mark an important breakthrough for CKB in decentralized interoperability.
