According to BlockBeats, on July 26, UTXO Stack will launch the first Bitcoin L2 extension solution based on the native UTXO model with Babylon. UTXO Stack will launch a PoS DA chain to support challenge proofs for L2 built on UTXO Stack. Babylon will serve as a security provider to support PoS L2 and PoS DA chains.

The solution adopts the UTXO model that is isomorphic to Bitcoin, and ensures security through two mechanisms: user-staked RGB++ tokens and Babylon's remote BTC staking. It aims to provide a high-performance, low-transaction-fee environment, support Turing-complete smart contracts, and allow users to use BTC wallets and BTC to pay fees directly.

UTXO Stack plans to launch its testnet in the third quarter of this year, supporting the staking and re-staking of assets such as BTC and CKB. This cooperation is expected to bring efficient, low-cost, scalable and secure native L2 solutions to the Bitcoin ecosystem, further enriching Bitcoin's application scenarios.