Researchers in the Bitcoin community are refining an innovative open-source platform named BitVMX, with the potential to enable intricate applications and operations to be constructed and executed securely on Bitcoin’s foundational layer.
BitVMX, influenced by Robin Linus’s BitVM project, is supported by RootstockLabs, the development company behind Rootstock, a layer-2 protocol for Bitcoin. The initiative aims to establish an open-source, peer-reviewed framework that is sidechain-agnostic for the development of Bitcoin-oriented programs.
Speaking exclusively to Cointelegraph, Sergio Demian Lerner, chief scientist at RootstockLabs, provided insights into the BitVMX project and its anticipated impact on the Bitcoin ecosystem. The launch of the project is scheduled to coincide with the Bitcoin++ Austin conference, accompanied by the release of its white paper.
The research conducted by Lerner on the mining strategies utilized by the Bitcoin creator, Satoshi Nakamoto, has received widespread recognition from news agencies and researchers. Source: Bitslog
Lerner is renowned for his research into identifying the hardware employed by Satoshi Nakamoto during the initial phases of Bitcoin mining, as covered by Cointelegraph Magazine in 2021.
BitVMX aiming to empower programs on Bitcoin
From a technical perspective, BitVMX permits funds to be secured in an unspent transaction output (UTXO) with a spending condition reliant on the outcome of a program’s execution. Lerner highlighted the necessity for defining a program at the time of UTXO creation, with no immediate need for inputting the program.
The versatile capabilities of the platform are vast, offering the potential to drive a wide array of applications and operations:
“What’s truly remarkable about BitVMX is its ability to enable developers to execute a variety of functions on Bitcoin, including Linux.”
Lerner mentioned that BitVMX could facilitate connections to Bitcoin enabling unidirectional BTC flow between the primary chain and sidechains like Rootstock. This would subsequently enable interactions with decentralized applications (DApps) and other smart contracts.
Related: Bitcoin requires DeFi and consumer applications for widespread adoption — L2 developers
Another potential application would be the establishment of aggregate oracles that gather and validate data from multiple sources, storing these data on the Bitcoin network in an automated and decentralized manner.
BitVMX will also accommodate Zero-Knowledge Succinct Non-Interactive Argument of Knowledge (zk-SNARK) and Zero-Knowledge Scalable Transparent Argument of Knowledge (zk-STARK) verifiers directly on the Bitcoin network. This is anticipated to introduce novel applications such as zero-knowledge contingent payments and self-governing bug bounty programs.
Criticism of Bitcoin L2 solutions
The Bitcoin community has expressed concerns regarding the escalating prevalence of marketing strategies by startups advocating Bitcoin layer-2 solutions claiming to function directly on-chain.
Lerner emphasized that BitVMX is unrelated to any token sale and stresses that the framework facilitates the establishment of secure and more decentralized connections that do not rely on collateralization in external tokens.
Data showing Bitcoin layer-2 protocols ranked based on the total amount of Bitcoin secured across various protocols. Lightning’s peer-to-peer protocol maintains the highest BTC secured within payment channels. Source: Bitcoin Frontier Fund
The computer scientist also emphasized that Rootstock Labs adheres to simple criteria for defining genuine Bitcoin L2 solutions:
“The primary asset and settlement mechanism must be BTC, ensuring that transactions are enforced and demonstrate a functional dependence on Bitcoin. Other aspects are merely marketing gimmicks.”
Lerner cautioned against deceptive projects claiming to be integrated with Bitcoin have tarnished previous bull markets. He advised users to stick with reliable solutions like the Lightning Network, Liquid, and Rootstock rather than jeopardizing their assets on unproven or unfamiliar solutions backed by significant financial resources and flashy marketing campaigns.
Realigning Bitcoin’s functional narrative
The BitVMX project openly acknowledges the foundational groundwork of Robin Linus’ BitVM framework, aiming to enhance BitVM’s theoretical approach utilizing a comprehensive combinatorial logic circuit method relying on large Merkle trees for gate-level verification.
Contrary to BitVM, BitVMX emphasizes a direct execution of central processing unit instructions using Bitcoin script opcodes, making it more suitable for practical applications and unlocking capabilities such as running sidechain light clients and verification via zk-SNARKs.
The chief scientist elaborated that the framework introduces disputable computation to Bitcoin in a “secure and efficient manner,” offering a variety of newfound applications.
Lerner briefly elucidated on the concept of disputable computation, highlighting that if all parties reach a consensus on a computation result, no computation is executed on-chain.
However, in case of disagreement, an on-chain interaction is initiated to formally and efficiently resolve the dispute. The worst-case scenario would involve the verification of a single disputed gate, wire, or computation step on-chain.
Related: Bitcoin L2 tokens witness significant surge as BTC achieves 25-month peak
Lerner envisions…
…
