According to Odaily, Trac Systems' Tap Protocol has launched native Bitcoin smart contracts and DeFi tools based on the Bitcoin L1, leveraging the Ordinals meta-protocol. The team stated that this innovation allows for the deployment of smart contracts, swaps, and liquidity pools without relying on L2 solutions. Tap integrates with systems like ICP to achieve decentralized operations, enhancing Bitcoin's utility and DeFi activities' security directly on its mainnet, making complex L2 setups unnecessary.