Bitlayer : Solving Verification Ability For Bitcoin L2s W/ Co-Founder @0xKevinhe 🟧

Bitlayer is a project trying to solve two major problems in Bitcoin Layer 2, which is verification ability and building a trustless bridge. Bitcoin L2s have received significant traction as of late resulting in an uptick in funding, users and TVL.

Bitlayer's goal is to provide finality and a better programming environment for Bitcoin Layer 2s by building the first Bitcoin security-equivalent Layer 2 based on the BitVM paradigm.

Co-Founder @0xKevinhe joined us for an interview to discuss what they are building and how it impacts the wider Bitcoin L2 industry👇

Reasons for the recent attention on Bitcoin L2s🔺:

• The two reasons driving the increased attention on Bitcoin Layer 2 solutions are its technological and economic value.

• Technologically, the foundation for Bitcoin L2 is ready for asset protocols like BRC20 and Runes. 

• The presence of native DeFi protocols is based on Bitcoin L1 even though Bitcoin L1 is still slow.

• The consensus belief of many points to the fact that L2 solutions like rollups can play a role in scaling L1.

• On the economic part, ETFs have been approved, increasing the demand for institutional Bitcoin holders to hold BTC as static storage for assets with no yields. So people are looking for a new and trustless way to earn yields from Bitcoin ecosystem holders.

• In the current state of Bitcoin L2, it can locate different ecosystems that are thriving and then replicate it on a very high economic level. 

Limitations of Bitcoin that heighten the need for scaling solutions like Bitlayer🛑:

• As the design for payment systems developed long ago, there's a huge marketcap. So people are trying to build more things around Bitcoin.

• In addition, the block time, confirmation time, and high gas fees when compared with Ethereum, Ethereum L2, Solana, and other blockchains.

• Another is the programming language, Utso. It is an incomplete naive script that doesn't allow other programming abilities on Bitcoin.

• Hurdles with Defi properties like swapping tokens on Bitcoin.

Bitcoin Liquidity💧:

• The target of all L2 is to solve the problem of its specific L1, and its first priority is its L1 holders.

• Bitcoin ecosystem assets like Runes, BRC20 satisfy the needs of holders

• For Bitlayer, the demand of holders is a decentralized Perp dex environment to swap assets.

• DeFi should be the foundation for the Bitcoin L2 ecosystem.

• Bitlayer's new narrative points to Bitcoin staking, restaking, and shared security will grow to become users' best choice.

Bitlayer's architectural approach and support for multiple VMs⚙️ :

• Bitlayer ‘BitVM’ is not typically an EVM. Rather, it is called Bit prover or BitVerifier

• BitVM is focused on verification rather than hosting dApps. 

• Bitlayer's plans to support multiple VMs, including EVM, SVM, Cairo VM, and Move VM.

• The core architectural design of Bitlayer's VM enables developers to interact with other VMs they like.

• It also contains a unified backend that generates the proof of the VM traces.

• It is also responsible for verifying the Zk proofs of the trace on Bitcoin L1, leading to Bitcoin finality for layer 2 execution 

Bitlayer's ecosystem incentives and developer support 🌎:

• The first thing that Bitlayer will adopt is the popular evms people love too much, like EVM

• On the technical part, the BitLayer trackpad program will aid developers with the support to move from the environment and to the auditing stage and the operation stage.

• A total solution for them to help them accelerate their developments and secure their operation and also boost their operation remarks sessions when they are running online

• The tokenomics of Bitlayer are quite unique because 50% of the token is allocated to developers

• This allocation will be based on two rankings; materials(what they bring to the ecosystem) and transactions made in the ecosystem

• Every Bitcoin layer 2 has a simple model. Everything is all about transaction fees

• To successfully generate transaction fees, projects have to provide the right programming environment for developers and users

• Bitlayer creates a friendly onboarding environment for users without pain

• Bitlayer tokenomics will encourage developers to bring more TVL and transactions to the ecosystem

• Bitlayer as a Bitcoin Layer 2, which follows the Big VM 2 approach; a combination of Optimistic and Zk rollups

Bitlayer's upcoming milestones and future outlook 🗓️:

• Working on building an end-to-end V2 testnet hopefully launching in the coming two months.

• Plans to launch a mainnet version using the BitVM approach to provide Bitcoin finality, as well as the goal to capture a significant market share of the Bitcoin Layer 2 ecosystem in the next 12-18 months.

• Attracting another 200 million TVL in Mining Gala season 2. 

Final Thoughts 🧠 :

• The whole Bitcoin Layer2 ecosystem is at a very early stage and has received a lot of traction and has made significant progress.

• There will be a mainnet version for the Bitcoin finality requirements using BitVM approach from Bitlayer.

Find Out More About Bitlayer👇

Twitter: https://twitter.com/BitlayerLabs 

Medium: https://medium.com/@Bitlayer 

Telegram: https://t.me/bitlayofficial

GitHub: https://github.com/bitlayer-org 

Testnet Documentation: https://docs.bitlayer.org 

Blockchain Explorer: https://testnet-scan.bitlayer.org 

Faucet: https://www.bitlayer.org/faucet