The currently popular CAT Protocal has the following features:
No indexer required: The token's rule set is guaranteed by Bitcoin consensus. Its data and logic reside on the chain and do not rely on any off-chain third party (such as an indexer) to run. It inherits the proof-of-work security of native Bitcoin.
Modularity: CAT tokens can be used in other smart contracts to build more complex decentralized applications (such as AMM, lending, staking, etc.). It provides a powerful and versatile new building block for expanding the scope of Bitcoin's application.
Programmable casting: Token casting rules are executed by smart contracts. Excessive casting transactions will be directly rejected by the network.
Cross-chain interoperability: The CAT protocol allows trustless asset bridging between different blockchains, and applications can run across multiple blockchains.
SPV compatibility: CAT tokens support simplified payment verification (SPV). Light clients can independently verify the authenticity of tokens without trusting central servers.
The CAT protocol supports both homogeneous tokens (called the CAT20 standard) and non-homogeneous tokens (called the CAT721 standard). CAT721 has not yet been launched.
