bitcoin writing has apparently been deeply underestimated.
Following the launch of the Ordinals protocol and the BitVM whitepaper in 2023, conceptions of what is possible at the base layer of bitcoin are changing, and it is clear that bitcoin is now absorbing demand from other blockchains in the blockchain ecosystem. broader cryptocurrencies.
Of course, developers have harbored aspirations to add additional features to bitcoin since the early days of the protocol's 15-year history. From early sidechains like Liquid and Rootstock to the L2s of tomorrow, bitcoin Magazine has always covered legitimate scaling initiatives.
However, there is a new wave of imitators seeking to take advantage of these developments to market arbitrary crypto tokens. Amid this bitcoin L2 gold rush, the bitcoin Magazine editorial board believes it is necessary to clarify its position on L2 coverage.
To be eligible for coverage, a bitcoin L2 must:
- Use bitcoin as a native asset: The L2 should be fundamentally designed to use bitcoin as its primary token or unit of account, and as a mechanism for paying fees for the system. If you have a token, it must be backed by bitcoin.
- Use bitcoin as a settlement mechanism to enforce transactions: L2 users must be able to exit the system through a mechanism that returns them unilateral control of their Layer 1 funds.
- Demonstrate a functional dependency on bitcoin: If bitcoin were to experience a complete failure and the system in question continued to function, then our position is that that system is not a bitcoin Layer 2.
Protocols built on bitcoin that do not fit into the Layer 2 category, but may still be eligible for coverage include:
- Metaprotocols: Systems like Counterparty (XCP) or Ordinals, protocols outside the boundaries of the bitcoin protocol, exist and operate on bitcoin's Layer 1, but do not have their own separate blockchains. bitcoin Magazine has historically covered news and events related to such protocols, and will continue to do so.
- 'Parasite' layers: These systems depend on bitcoin to exist and cannot function independently without bitcoin, but do not meet the other criteria required to be considered Layer 2. bitcoin Magazine does not cover these protocols at this time.
This policy clarification does not apply to our stablecoin or token hedging decisions.
Furthermore, it refers solely to BitcoinMagazine.com and its print publication, and does not represent the policies applied by The bitcoin Conference, Rare btc or UTXO Management, the institutional fund owned and operated by btc Inc, and which may have exposure to based assets in bitcoin. L2.
