What is Bitlayer? $5M Raised for Bitcoin Layer 2 Solution

1. What is Bitlayer?

Bitlayer is a Layer 2 solution on the Bitcoin network, developed to enhance transaction speed and reduce costs on Bitcoin's primary chain, while also addressing the limitations of smart contracts on Bitcoin.

Bitlayer leverages the security of Bitcoin Layer 1 and employs a layered virtual machine technology based on the BitVM solution. This technology enables Bitlayer to support arbitrary computations using zero-knowledge proofs and optimistic execution mechanisms, ensuring the validity of these computations on the Bitcoin network.

2. Bitlayer architecture

The architecture of Bitlayer consists of components for transaction processing, transaction verification, and asset bridging. These components are outlined below:

Transaction Processing:

Sequencer: Bitlayer uses a sequencer to gather and arrange Layer 2 transactions. The sequencer receives transactions from users and creates a list of pending transactions.
Layered Virtual Machine (LVM): The LVM is responsible for executing smart contracts and generating new states for transactions. It employs a specialized programming language to perform smart contract operations and produces zero-knowledge proofs to verify the accuracy of these operations.

Transaction Verification:

Prover: The prover in Bitlayer is tasked with submitting Layer 2 transactions and execution states to Bitcoin's Layer 1 chain. The prover also presents zero-knowledge proofs on the chain when challenged.
Challenger: The challenger component in Bitlayer verifies the correctness of execution and zero-knowledge proofs. The challenger receives proofs from the prover and checks their validity. If malicious behavior or incorrect proofs are detected, the challenger can initiate a challenge process and submit fraudulent proofs to the Layer 1 chain.

Asset Bridging:

BitVM: BitVM is a component of Bitlayer that facilitates interaction between Layer 2 and Layer 1 networks. It enables secure asset transfers across blockchain layers by combining OP-DLC (Oracle Discreet Log Contracts) and Bitlayer protocol rules.
Asset Conversion: Bitlayer provides secure asset conversion between Layer 2 and Layer 1 networks, ensuring the security and integrity of assets during the transfer process.

3. Team

Kevin He is the Co-founder of the Bitlayer project. Currently, there is limited information available about the development team behind the project.

4. Investors & Partners

The project successfully raised $5 million during its seed funding round. This funding was secured from notable venture capital firms including Framework Ventures and ABCDE Capital. Additional participants in this round included StarkWare, OKX Ventures, Alliance DAO, UTXO Management, Asymmetric Capital, Kenetic Capital, Kestrel, Global Coin Research, Pivot Global, Web3Port, Gate Labs, Mindfulness Capital, Quotient Ventures, Cogitent Ventures, NxGen Capital, C6E Capital, PAKA, Comma3 Ventures, Kronos Ventures, Pragma Ventures, Faculty Group, Rising Capital, Samara Group, DuckDAO, CSP DAO, and DCI.

5. Tokenomics

Updating

6. Roadmap

April 2024: Mainnet V1

Development of a security model based on Proof of Stake.
Implementation of sidechains and Multi-Party Computation Threshold Signature Scheme (MPC-TSS) alongside native multisig.

September 2024: Mainnet V2

Transition to a Rollup-equivalent model.

June 2025: Mainnet V3

Optimization of Layer 1 verification processes using the Bitlayer Virtual Machine (BVM).

7. Steps to Participate in Bitlayer's Airdrop

Bitlayer, as part of its community engagement efforts, offers opportunities for users to participate in airdrop events. Below are the steps to join:

Information on Bitlayer's NFT: Lucky Helmet NFT

Total Supply: 5000 NFTs
Allocation:
- 1500 slots reserved for top contributors to the Bitcoin ecosystem.
- 2500 slots allocated to active community members of Bitlayer.
- 1000 slots designated for Bitlayer events.
Minting Time: 17:00 on May 4, 2024
Benefits of Owning Lucky Helmet NFT:
- Governance rights in the HST.
- Airdrop token benefits.
- x2 points for other events.

To obtain the NFT, individuals can participate in various programs on Galxe or interact with the platform.

Bitlayer OG Mainet - Beta Campaign

Visit https://app.galxe.com/quest/Bitlayer/GCASdthEkb.
Complete social media tasks to receive 50 Role OG Bitlayer Discord and 25 NFT Bitlayer OG.
Campaign ends at 23:00 on April 25, so participants should act promptly.

Participating in Bitlayer's Testnet Phase 2

To engage with Bitlayer's testnet phase 2, users can follow these steps:

Faucet Testnet: Access the faucet testnet at https://bitlayer.org/faucet to obtain test tokens for experimentation.
Mint bitUSD on bitSmiley: Utilize the bitSmiley platform at https://dev.bitsmiley.io to mint bitUSD tokens for testing purposes.
Execute Swaps on Bitcow: Visit https://bitcow.xyz/swap to perform various swap transactions.
Complete Tasks on Galxe: Participate in tasks on Galxe platform at https://app.galxe.com/quest/Bitlayer/GC7ZEthEJe to earn rewards. Note that these tasks may require wBTC, so it's advisable to accumulate points through other Galxe programs until an event offering wBTC is available.

It's essential for users to prepare wBTC to execute commands effectively. Stay tuned for updates on events offering wBTC, and prioritize accumulating points through Galxe programs in the meantime.

Participate in Bitlayer and Bitget Event

Visit Galxe link: https://app.galxe.com/quest/BitgetWallet/GCtVQthDA1.
Verify Bitget Wallet account.
Check BWB points.
Follow the project on X, retweet posts, and join Discord.

It's essential to stay updated on Bitlayer's announcements for upcoming events and opportunities for participation.

8. Project infomation

Webiste: https://www.bitlayer.org/
Twitter: https://twitter.com/BitlayerLabs

9. Conclusion

Bitlayer is a platform built to improve how transactions are handled and verified on the Bitcoin network. It's designed to make these processes faster and more efficient. One key thing to note is that the project will soon launch its mainnet.

This article from Theblock101 covers all the essential information about the Bitlayer project. It's hoped that after reading this piece, readers will have a good understanding of what Bitlayer is about.

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