Rubic x Rootstock: Fast Transactions On Bitcoin’s L2 Blockchain
This time we integrated the first Bitcoin’s L2 sidehain – Rootstock, EVM-compatible smart contracts platform designed for a freer, fairer, and more decentralized world.
Rootstock: Bridging the Gap Between Bitcoin and DeFi
Rootstock is secured by Bitcoin’s proof-of-work and enables DeFi on Bitcoin by allowing direct deployment of Ethereum smart contracts. Rootstock utilizes a trustless two-way peg for seamless conversion of Bitcoin to smart Bitcoins (RBTC). While Bitcoin maintains its role as an incorruptible store of value, Rootstock enables users to deploy and interact with smart contracts and dApps in the ecosystem.
Explore Rootstock numbers below:
Source: https://rootstock.io/dapps-built-on-rootstock/
Here’s a closer look at what Rootstock brings to the table:
- Security: At its core, Rootstock inherits the battle-tested security of the Bitcoin network. Transactions are secured by Bitcoin miners, making it a highly reliable foundation for smart contracts.
- Smart Contracts: While Bitcoin itself doesn’t natively support smart contracts, Rootstock enables smart contracts on top of Bitcoin. This opens doors for developers to create innovative DeFi applications, marketplaces, and other dApps that benefit from the security and robustness of the Bitcoin network.
- Scalability: Bitcoin’s transaction processing can be slow due to its design. Rootstock tackles this by functioning as a separate layer, handling transactions faster without compromising security.
- Two-way Peg: Rootstock facilitates a seamless transfer of value between Bitcoin (BTC) and Rootstock Smart Bitcoin (RBTC). This two-way peg allows users to move between the networks and interact with dApps built on Rootstock.
Rootstock bridges the gap between Bitcoin and the DeFi world. It offers the security of Bitcoin with the versatility of smart contracts and faster transactions, making it an attractive platform for developers building next-generation dApps. But why is it important? Let’s find out below.
The Importance of BTC in DeFi: Bridging Tradition and Innovation
Bitcoin (BTC), the pioneering cryptocurrency, has long dominated the crypto landscape. While newer, flashier blockchains have emerged with features like smart contracts, Bitcoin’s role in the DeFi revolution shouldn’t be underestimated. And here’s why:
The Pillars of Bitcoin’s DeFi Strength.
Unmatched Security: Bitcoin’s Proof-of-Work consensus mechanism boasts unparalleled security, offering a robust foundation for DeFi applications. This is particularly vital for safeguarding user funds and ensuring the integrity of financial transactions.
Store of Value: BTC’s reputation as a digital gold makes it a prime candidate for DeFi applications seeking a stable and reliable asset. Users can leverage Bitcoin’s price stability to hedge against market volatility within DeFi protocols.
Global Liquidity: Bitcoin enjoys the highest level of liquidity amongst cryptocurrencies. This leads to smoother and faster transactions within DeFi platforms, minimizing slippage for users.
Challenges and Considerations:
Scalability limitations: Bitcoin’s current transaction processing speed presents a challenge for high-volume DeFi applications. However, scaling solutions like the Lightning Network are being developed to address this issue.
Smart Contract Integration: Bitcoin’s core functionality is not designed for complex smart contracts. Layer 2 solutions, like Rootstock, are being explored to enable sophisticated DeFi applications on the Bitcoin network.
Rubic x Rootstock: Integration Details
Rootstock becomes the 75th network on the Rubic App. To enhance the integration of Rootstock, we’re integrating OkuSwap as the on-chain provider and Symbiosis as the cross-chain bridge, paving the way for seamless network interactions.
Here’s how Rubic unlocks the potential of Rootstock:
Expands Bitcoin’s DeFi Reach: By integrating Rootstock with Symbiosis, we create a bridge between Bitcoin and Ethereum-compatible blockchains. This allows users to seamlessly move their Bitcoin assets into DeFi applications built on other networks, unlocking a whole new world of financial possibilities.
About Rootstock
Rootstock is the first, biggest, and longest-lasting Bitcoin sidechain. It is the only Bitcoin layer 2 that combines the security of Bitcoin’s proof-of-work, with Ethereum’s smart contract capabilities.
Rootstock is open-source, EVM-compatible, and secured by over 60% of Bitcoin’s hashing power, which makes it a gateway to a vibrant ecosystem of dApps that continues to evolve to become fully trustless.