Opinions on Bitcoin’s New Rollup Solution Spark Divergent Views on Crypto Twitter
A scalability solution unique to Ethereum is now compatible with Bitcoin. Rollkit allows for the storage of rollup information developed for Ethereum but on the Bitcoin network.
According to an official statement, Rollkit — a modular framework for rollups — was successfully launched on march 5, 2023. The solution could, at least in theory, help optimize the use of free space on the Bitcoin blocks, expanding the capabilities of the network:
Sovereign rollups on Bitcoin not only expand the possibilities for rollups, but also have the potential to help bootstrap a healthy blockspace fee market on Bitcoin, enabling a more sustainable security budget
A rollup is basically a way to compress or group a number of transactions into a single one, increasing privacy and making the network more efficient.
Extended Capabilities on Bitcoin
Rollkit supports different execution layers, including the Ethereum Virtual Machine and Cosmos’ CosmWasm. Every blockchain has an architecture made of different layers that support a number of characteristics. The execution layer is part of the application layer. Smart contracts, protocols, dApps, etc., are part of this layer.
The team shared a YouTube video showcasing how a Rollkit rollup using Ethermint for execution can use Bitcoin as its Data Availability layer.
If the application layer is the more sophisticated layer in the blockchain, the data layer is the most basic one —it basically is the order of the blocks in a blockchain guaranteeing that nodes operate in synergy, knowing what is going on in the network. The data availability layer guarantees that all nodes handle the same transaction data.
To achieve this, Rollkit relies heavily on Taproot and Ordinals. Taproot is a hard fork that increased the privacy and functionality of the Bitcoin network, paving the way for future developments like Ordinals, which are the equivalent of non-fungible tokens (NFTs) that store data on the Bitcoin network in hexadecimal format.
According to the Rollkit team, this integration makes it possible to “run the Ethereum Virtual Machine (EVM) on Bitcoin as a sovereign Rollkit rollup.” These, according to the developers, have the potential to expand the possibilities for these second-layer solutions, in addition to helping to create a healthy fee market on Bitcoin.
Crypto Twitter Reacts
The news was received with mixed reactions from Bitcoin enthusiasts. Some praised the development because of its ability to bring something new to the industry, even if such enthusiasm comes with its own reservations.
Sweet love to see people building in bitcoin layers, and this should be applauded. 👏
— patrick.1btc e/acc (@PatrickWStanley) March 5, 2023
Others criticized the tech. Some BTC users believe that the Bitcoin network should be used for financial transactions and nothing else. Using the network for other purposes might be detrimental for users as they will have to compete for the limited space of each block.
Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).
PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to receive up to $7,000 on your deposits.