Bitcoin L2 Contract
Last updated
Last updated
For Bitcoin have better computing capability, Ligo Layer2 will support smart contract inscribed on Bitcoin by inscriptions or other methods. The smart contract is saved on Bitcoin, executed and verified in BTC Layer2's BVM, which will make Bitcoin have virtual machine to execute smart contract and computing capability like many chains such as Ethereum. Then finally the Bitcoin will have the technical infrastructure: BVM to build complex decentralized applications like DEX, DeFi, GameFi, etc. Cross-chain process example diagram:
The Router Contract is a smart contract that stores the metadata of all Bitcoin protocols and provides external query and verification services for BRC-20 and other protocols. The Router Contract matches a user's request to the corresponding shadow contract or Merkle Tree to complete the final query or verification. In the future, the BTC Layer2 DAO will decide whether to charge $LIGO token as a protocol fee and how to use the fee, such as distributing it to the Sequencer or burning it, etc.