Cryptocurrency
BEVM Unveils Groundbreaking Taproot Consensus for Decentralized Bitcoin Layer 2 Solution
[PRESS RELEASE – Cardiff, 英国, May 26th, 2024]
On May 20, 2024, the Bitcoin Layer2 development team BEVM released the technical yellow paper titled “Taproot Consensus: A Decentralized BTC Layer2 Solution.” This paper details the implementation of Taproot Consensus, leveraging native Bitcoin technologies such as Schnorr signatures, MAST, and Bitcoin SPV nodes to build a fully decentralized BTC Layer2 solution. Taproot Consensus represents a significant leap in native Bitcoin scalability, combining existing Bitcoin technologies innovatively without modifying Bitcoin’s core code.
I. History of Bitcoin’s Technical Iterations
- October 31, 2008: Satoshi Nakamoto published “Bitcoin: A Peer-to-Peer Electronic Cash System,” introducing Bitcoin and the concept of SPV (Simple Payment Verification).
- January 3, 2009: Nakamoto mined the Genesis Block, launching Bitcoin. The original code used ECDSA for digital signatures instead of the more suitable Schnorr signatures, which were under patent protection at the time. Schnorr signatures retain all the functionalities and security assumptions of ECDSA and can surpass the 15-signature limit of ECDSA, enabling the management of Bitcoin with thousands of addresses without affecting signing speed.
- 2018: Bitcoin core developers proposed integrating Schnorr signatures into the Bitcoin network.
- November 14, 2021: The Taproot upgrade integrated Schnorr signatures and introduced MAST (Merkelized Abstract Syntax Trees), enabling smart contract-like capabilities and decentralized multi-signature management.
- The Taproot Consensus solution by BEVM builds on these advancements, combining Schnorr signatures and MAST to manage multi-signature addresses and enable complex business scenarios in Bitcoin Layer2.
II. Overview of the Taproot Consensus Solution:
The yellow paper begins by highlighting Bitcoin’s non-Turing complete nature and limited functionality for smart contracts. It argues for using Bitcoin’s existing capabilities to build a decentralized Layer2 solution rather than modifying Bitcoin Layer1.
BEVM’s Taproot Consensus combines Bitcoin’s Taproot technology (Schnorr signatures and MAST), Bitcoin SPV light nodes, and the BFT PoS consensus mechanism to create a decentralized and consistent Layer2 network.
III. Detailed Explanation of Taproot Consensus Architecture
The Taproot Consensus architecture comprises three main components: Schnorr+MAST, Bitcoin SPV, and Aura+Grandpa.
· Schnorr+MAST: Uses these technologies from the Taproot upgrade to achieve decentralized Bitcoin multi-signature management driven by Bitcoin code.
· Bitcoin SPV: Allows synchronization and verification of Bitcoin transactions without running a full node.
· Aura + Grandpa: Advanced PoS consensus protocols for Byzantine fault tolerance, ensuring high consistency among network nodes.
In the BEVM system, each validator holds a BTC private key for Schnorr signatures. The aggregated public key forms a MAST tree, enabling BTC transfers and inscriptions to the threshold signature address. Validators act as Bitcoin SPV light nodes, synchronizing the BTC network state securely and permissionlessly. Aura+Grandpa ensures the Layer2 network’s security and trustworthiness, with assets managed by BFT consensus.
The operating principle of Taproot Consensus is: “In the BEVM system, each validator holds a BTC private key for Schnorr signatures. The characteristic of Schnorr signatures enables efficient signature aggregation, thereby enhancing the system’s security and efficiency. The aggregated public key Pagg, generated through the Musig2 multi-signature scheme, forms a large MAST (Merkle Abstract Syntax Tree). After generating the root hash of the MAST tree, validators perform BTC transfers and inscriptions to the threshold signature address generated by the MAST tree, enabling the submission of data from the BTC mainnet to the BEVM network. Each validator also acts as a Bitcoin SPV (Simplified Payment Verification) light node, allowing them to securely and permissionlessly synchronize the BTC network state.”
IV. Other Technical Details in the Yellow Paper – True Decentralization
The yellow paper also details the implementation of Schnorr signatures, MAST, Bitcoin SPV light nodes, and Aura+Grandpa, providing a comprehensive technical outline for those interested in Bitcoin technologies. It explains the Musig2 implementation and contrasts with other BTC Layer2 projects like Mezo, which uses the tBTC protocol. Unlike tBTC, which relies on a network of nine signatories, Taproot Consensus integrates multi-signature networks with BFT PoS consensus, achieving true decentralization.
Moreover, the yellow paper explains the implementation process of Musig2 and the differences between other BTC Layer2 projects like Mezo and Taproot Consensus. Mezo’s underlying technical structure is based on the tBTC protocol, which uses Bitcoin multi-signature to construct a threshold signature network, offering strong consistency compared to traditional distributed networks. However, tBTC still relies on a network of nine signatories, whereas a truly decentralized system should be consensus-driven, combining multi-signature networks with BFT PoS (Byzantine Fault Tolerance Proof of Stake) consensus mechanisms. This is the difference between distributed networks and blockchains; distributed networks emphasize distribution but lack Byzantine fault-tolerant consensus, whereas blockchains, while also being distributed networks, are driven by Byzantine fault-tolerant consensus, achieving true decentralization. The Taproot Consensus solution adopts this more advanced design. By integrating Schnorr signatures, MAST, Bitcoin SPV light nodes, and Aura and Grandpa Byzantine fault-tolerant consensus mechanisms, it constructs a highly consistent and secure decentralized Layer2 scalability solution. This integration enhances the scalability and usability of the Bitcoin network and ensures the security and consistency of the BEVM network.
Conclusion
The BEVM team’s technical yellow paper comprehensively describes Taproot Consensus, a Bitcoin Layer2 solution built entirely on native Bitcoin technologies. It respects and innovates on Bitcoin’s original technological direction, making it a true evolution of native Bitcoin scalability technology. As the Bitcoin ecosystem evolves, solutions like Taproot Consensus will be crucial for its development, serving as major cornerstones for truly decentralized Bitcoin Layer2 solutions.
About BEVM
BEVM is the first fully decentralized, EVM-compatible Bitcoin Layer 2 solution. It allows Ethereum ecosystem DApps to operate on Bitcoin, using BTC as gas. BEVM enhances Bitcoin’s utility by providing a secure and scalable platform for decentralized applications. The system integrates advanced consensus mechanisms, cross-chain interaction, and robust data integrity to ensure a seamless experience. BEVM aims to innovate within the Bitcoin ecosystem by offering increased scalability, security, and compatibility with popular Ethereum tools and applications.
For more information, users can visit BEVm’s official website or follow BEVM on Twitter.
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Ethereum has been facing a challenging period, with its price falling by nearly 10% over the past week. The cryptocurrency briefly surpassed the $1,900 mark but was unable to maintain momentum and is fighting to remain above it now.
This price drop follows a broader trend of market volatility, which has raised concerns about its price trajectory. This decline in price may be linked to shifting investor sentiment, as on-chain data suggests a notable reduction in large Ethereum transactions.
Ethereum Whales Are Pulling Back
According to crypto analyst Ali Martinez’s latest findings, there has been a significant decline in large Ethereum transactions since February 25, with a reported drop of 63.8%. This decrease was indicative of a notable reduction in whale activity on the network, which suggests that large-scale investors may be pulling back or reallocating their holdings. Interestingly, whales sold 760,000 ETH in the last two weeks alone.
This downturn in whale activity coincides with the actions of a long-term Ethereum holder who recently liquidated their remaining assets.
Lookonchain’s update revealed that an Ethereum OG sold their remaining 2,001 ETH, which is worth around $3.82 million, on April 2nd. The investor originally purchased 5,001 ETH for $1.38 million at $277 per coin back in 2017 and held through Ethereum’s bull run, even when prices soared to $4,878.
Over the past month, however, they began selling and realized a total profit of $8.66 million in the process. At its peak, the investor’s unrealized gains reached as high as $23 million.
All Eyes on Pectra’s Mainnet Launch
Despite the successful finalization of Ethereum’s Pectra upgrade on the Hoodi testnet, the network has struggled to maintain a meaningful rally. Now, all eyes are on the highly anticipated upgrade on mainnet, which combines improvements from the Prague and Electra proposals. It is set to go live on the Ethereum mainnet on April 30, with a tentative activation scheduled for slot 11,599,872.
There is still optimism that the mainnet launch could generate renewed investor interest and potentially trigger a more significant price movement. The timeline for the upgrade is still subject to final approval, with confirmation expected at the next All Core Developers Execution (ACDE) meeting.
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According to a report from earlier today, US President Donald Trump has informed those closest to him that Tesla’s CEO and current D.O.G.E. leader, Elon Musk, will step back from his political role.
The relationship between the two has gone through a few ups and downs in the past year or so, but the report claims Musk has become a political liability.
Citing sources familiar with the matter, Politico indicated that people from Trump’s administration have become frustrated with Musk’s recent behavior and his unpredictability.
A senior administration official believes Musk will keep an informal role as an adviser and continue to occasionally appear in the White House. Another one said people who believe Musk will disappear completely from the White House landscape are “fooling themselves.”
Musk’s leadership of the so-called Department of Government Efficiency (D.O.G.E.) has led to some controversial results. While the actual slashed spending numbers are still debated, people who have felt the consequences have turned against Musk, and some of his businesses have felt it.
Previously, a Trump administration official outlined Musk’s value and noted that there’s no end in sight for his political role.
Interestingly, today’s report acted as a propeller for BTC gains. The asset stood below $85,000 but shot up to a multi-day peak of just over $87,000 when the news broke.
Musk has had a long history with the cryptocurrency industry, often influencing big price moves with some of his comments. Trump has become the first supportive US president of BTC and (some) altcoins but both the crypto and stock markets reacted well to Musk’s potential departure.
However, more volatility is expected later today when Trump’s new tariffs will be announced in what he calls ‘Liberation Day.’
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TL;DR
- MEW outperformed the leading meme coins, surging by double digits on a daily scale.
- Its pump occurred shortly after the asset’s inclusion on Binance Alpha.
MEW Climbs the Ladder
The meme coin sector has seen better days, with many tokens experiencing declines in the past 24 hours. PEPE has fallen by 2%, FLOKI (FLOKI) is down 2.5% for the day, while Shiba Inu (SHIB) has retraced by 3.5%.
However, some have charted substantial gains. An evident example is Cat in a Dogs World (MEW), whose price has jumped by almost 15% on a daily scale.
Currently, it is worth roughly $0.003077, which is the highest mark observed in the past six weeks. Its market capitalization surged above $270 million, making MEW the 14th-biggest meme coin.
Its upswing could be attributed to Binance, which recently placed the asset in its Binance Alpha section. The latter is a platform part of the exchange’s ecosystem designed to spotlight crypto projects with growth potential. It serves as a pre-listing token selection pool and could be followed by official inclusion in the trading venue.
Despite its recent revival, MEW stands far from its peaks registered in 2024. Last year, the meme coin garnered significant attention from investors, while the popular exchanges that allowed trading services with it include OKX, Upbit, Kraken, Bybit, Gate.io, and others.
MEW reached an all-time high of around $0.012 in November 2024, and since then, it has been on a significant downfall. Back then, its market capitalization stood above $1 billion, coinciding with an overall boom of the entire meme coin niche.
The Binance Effect in the Past
Support from the world’s largest crypto exchange often positively affects the price of the involved assets due to increased liquidity and boosted accessibility. Last week, it included the meme coins Mubarak (MUBARAK), CZ’s Dog (BROCCOLI714), Tutorial (TUT), and Banana for Scale (BANANAS31) in its Binance Simple Earn section.
Some of the assets witnessed a significant rally shortly after the announcement. TUT was the best performer, recording an impressive 130% price explosion.
A similar case was observed in December last year when Binance added further support for the meme coin launched on the BNB chain – Simon’s Cat (CAT). The asset’s valuation soared by 50% mere hours after the disclosure.
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