1. History
CKB was launched in the first half of the year! After BTCL1 issued the protocol RGB++, CKB #RGB++ Layer is now online, which will not only promote the construction of the Bitcoin ecosystem, but also drive the take-off of all UTXO chains.
2. Opportunities on BTCL2
The current market value of Bitcoin has reached $1.3 trillion, but a large amount of liquidity has not been released, and more application scenarios are needed. The market potential of BTC Layer2 is large enough. After the Ordinals protocol came out, it took a few months to completely popularize the concept of inscriptions, release some BTC liquidity, and let people see the opportunity of ecological construction on BTCL2.
3.#UTXO Model under ckb
The UTXO camp belongs to a relatively original technical school. UTXO is the most distinctive data model of Bitcoin. Based on the UTXO architecture, security is naturally shared with the main chain, bringing a lot of expectations to the market.
The Nervos team has persistently chosen to extend and upgrade the UTXO model of BTC, adopting a more native approach and modifying the UTXO model that supports Bitcoin. Inspired by the RGB protocol, the BTCL1 asset issuance protocol RGB++ was created to provide Turing-complete contract capabilities for Bitcoin without the need for a cross-chain bridge.
In the long run, CKB’s native features and underlying architecture innovation compatibility will enable it to go further in this BTC L2 non-standard melee.
4. The disruptive nature and achievements of CKB RGB++
Nervos expands on Bitcoin’s core technology, providing support for Bitcoin L2 through scalable L1 — CKB
To improve the programming limitations of Bitcoin, Nervos uses the Cell model for state storage and a customized virtual machine to execute transactions.
CKB consists of a consensus mechanism based on POW, a virtual machine based on the RISC-V instruction system, a state model based on Cells, a state-oriented economic model, and a peer-to-peer network.
5. RGB++ Protocol Interpretation
The RGB++ protocol uses the Turing-complete UTXO blockchain to solve the difficulties encountered by client verification in actual operations. Currently, CKB RGB++ will be upgraded to RGB++ Layer, extending the bridgeless cross-chain function and smart contract function to all UTXO chains.
Effect after upgrading
First, UTXO as the smart contract layer
CKB RGB++ Layer is a UTXO smart contract layer. L2 transactions will be aggregated here. In the future, any UTXO chain will use CKB RGB++ Layer as a smart contract layer.
There are four conditions for its operation:
🖕🏻 UTXO
🖕🏻Smart Contracts
🖕🏻POW
🖕🏻Account abstraction
Various RGB++ assets, such as Coin (FT) and DOB (NFT), are uniformly abstracted. Users only need to use their original BTC wallet to seamlessly use various DeFi applications on the RGB++ layer.
Second, it becomes a universal asset layer
RGB++ layer will serve as the issuance layer of universal assets, realize asset issuance based on smart contracts, and allow any asset on the UTXO chain to seamlessly enter the RGB++ ecosystem. Based on native UTXO + account abstraction, it connects various assets on chains such as BTC, CKB, BSV, BCH, etc., realizes decentralized aggregation, and allows various DeFi protocols to obtain the native efficiency of the BTC ecosystem. Third, it provides an independent blockchain browser to view all assets and transactions on the RGB++ Layer.
Powerful public chains have their own supporting systems, among which retrieval and DeFi systems are the core of the public chain. RGB++ Layer uses CKB as an indexer, which is safer than centralized indexers and can call smart contracts, enhancing composability. RGB++ has become a standard, clarifying how to write remarks, combine, and use on each UTXO chain. RGB++ Layer provides unified management of status and interoperability. In the future, any chain can be used as its indexer based on the four conditions of RGB++ Layer.
The third is to provide an independent blockchain browser to view all assets and transactions on the RGB++ Layer
Powerful public chains have their own supporting systems, among which retrieval and DeFi systems are the core of the public chain. RGB++ Layer uses CKB as an indexer, which is safer than centralized indexers and can call smart contracts, enhancing composability. RGB++ has become a standard, clarifying how to write remarks, combine, and use on each UTXO chain. RGB++ Layer provides unified management of status and interoperability. In the future, any chain can be used as its indexer based on the four conditions of RGB++ Layer.
6.BTCFi under RGB++
The first asset Seal based on the RGB++ protocol has been traded on UTXOSwap for some time, benchmarking ordi
[Celebration] IBO Mode:
In this RGB++ Layer upgrade, the Seal community developed and operated the IBO (Initial Bitcoin Offering) tool platform, which will become the first IBO tool in the Bitcoin ecosystem and the launchpad for the entire RGB++ asset. Building a pool directly in UTXOSwap through smart contracts, as well as a series of other asset issuance and Defi gameplay are all based on smart contracts, which was not possible in the BTC ecosystem before.
IBO attempts to use a high circulation, low valuation, and community-led token model to empower community holders from the beginning. Given the differences between the VC model and the FL model
Summarize
BTC Layer2 is a trillion-dollar market. Current projects are prone to a wave of flows. After airdrop users mine, withdraw and sell, the project tends to die.
After CKB is upgraded to the RGB++ layer, it will create a universal, cross-chain interoperable UTXO DeFi infrastructure and become a UTXO "financial port". UTXO chains will take off, and through RGB++, LTC, DOGE, and BTC, all coins can be issued and interoperable.