In the digital asset world, this April is Bitcoin's halving month. This year's halving is unprecedented. This is not only due to significant advances in layer 2 solutions and new token standards in the Bitcoin network, but also because it occurs against the backdrop of broader developments that are shaping the crypto world in entirely new ways.

Interest and capital inflow into the recently approved spot bitcoin ETFs are reshaping this lion, while also presenting new opportunities and growing demand. For the first time in Bitcoin history, this asset reached its all-time high before the halving rather than after it.

The recent surge in uses for Bitcoin, fueled by innovations such as the rise of inscriptions, signals that the network's horizons have expanded far beyond its original design. This technology allows users to embed unique data and digital artifacts directly into the Bitcoin blockchain, thus adding a new dimension to the ecosystem.

At Binance, we have always maintained our belief in Bitcoin's potential to revolutionize not only the concept of currency but also the digital world. As the halving approaches, I want to remind you how important the original blockchain is and highlight the many ways we have supported the Bitcoin ecosystem throughout our history and made it easier for users to access the widest possible range of Bitcoin features and functionality, and continue to do so today.

A History Embracing Bitcoin Innovations

Binance has always recognized that the Bitcoin ecosystem is the cornerstone of the entire digital asset world. Since our early years, we have taken care to closely follow the development of Bitcoin and ensure that our users have the opportunity to access and benefit from the innovations emerging in the world of this original cryptocurrency.

We are also proud to contribute to the community by providing ways to secure the Bitcoin network. We increased miner rewards through Binance Pool, launched in 2020, and democratized access to mining for users without specialized equipment with Cloud Mining functionality.

Binance has fully embraced layer 2 solutions designed to scale and expand the capabilities of the Bitcoin network. Binance exchange has been supporting Stacks, an L2 that powers Bitcoin smart contracts and decentralized applications (DApps), since 2020 and processes hundreds of transactions daily.

In July 2023, we added support for the Lightning network, providing a way to overcome one of Bitcoin's major limitations and making BTC suitable for day-to-day transactions. Today, we host one of the largest Lightning network nodes providing quality connectivity to leading Web3 wallets and centralized exchanges. Binance users make thousands of Lightning transactions every day, and they are completed in seconds. This allows users to make BTC micropayments, which would not be economically feasible on the mainnet, at a cost of a few cents per transaction.

A Future Embroidered with Inscriptions

The upcoming halving sheds light on the innovations being made on the Bitcoin network. This phase of evolution expands Bitcoin's uses beyond being a currency and store of value, fostering a thriving environment for digital collectibles and assets similar to what we see in the NFT space. As the Bitcoin blockchain evolves, it has the potential to attract a broader audience—enthusiasts, investors, artists, creators—all drawn to new opportunities. To support this innovative change, we are working hard to stay at the forefront and preparing for these developments with a range of relevant products.

The launch of Inscription Marketplace within our Web3 Wallet in February 2024, interchangeable BRC-20 and ARC-20 tokens issued as inscriptions on the Bitcoin network, Together with our support for Taproot addresses and unspent transaction output (UTXO) management, it underscores our commitment to supporting the emerging Bitcoin ecosystem and providing users with the tools they need to explore these developments. Today, Binance's Web3 Wallet is among the few multi-chain wallets that support both ARC-20 and BRC-20 inscriptions.

As a result, our Inscription Marketplace makes it simple to buy, sell, issue and manage inscription assets directly on the Binance App. Key features of the marketplace include support for over 60,000 popular BRC-20 tokens and one-click transfers between the exchange and Web3 Wallet.

We Move Confidently to the Future

While we fine-tune our product offering to align with Bitcoin's dynamic pulse, we will of course never neglect the basics: We are always committed to providing the deepest liquidity and lowest slippage we can, and the most convenient BTC transactions for all our users.

Whatever this historic halving brings, Binance will continue to support the latest developments in this field by providing our users with a convenient, secure and innovative experience. As the Bitcoin world expands and diversifies, we continue to focus on our users and assist them in the digital asset innovation trend. We will continue to make continuous improvements after this and the next halving.

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