BEVM has announced a strategic partnership with UTXO Stack to resolve scalability issues, improve processing time, and decrease costs in the Bitcoin ecosystem.
BEVM is a scaling solution that assists in transforming the Bitcoin protocol into a platform for developing dApps, like the way Ethereum functions. It allows Ethereum dApps to run on the Bitcoin chain.
On the other hand, UTXO Stack is a rollup that enables asset transfers between protocols, supports multiple layer 2 solutions, and develops more efficiency in the Bitcoin protocol.
Improved programmability and Bitcoin dApps
Despite Bitcoin being the largest cryptocurrency and the most successful digital asset, it experiences some significant problems. One of such problems is scalability concerns. The collaboration with BEM and UTXO Stack is part of efforts to improve scalability, decrease transaction costs, and create new opportunities in the Bitcoin ecosystem.
The relationship between the two platforms goes beyond resolving scalability issues on the blockchain. It unleashes the door for new applications and functionalities in the Bitcoin ecosystem.
Partnering with UTXO Stack helps BEVM to create complicated smart contract functions in the Bitcoin network. This approach allows the seamless creation of dApps and other Web3 apps on the Bitcoin chain.
With the partnership, the two firms work to enable greater growth of DeFi and dApps on the Bitcoin protocol. This allows users to interact with a wide variety of Web3 apps on the Bitcoin network.
BEVM is good at facilitating the development of smart contracts and dApps on the Bitcoin chain. However, it needs UTXO Stack to enable it to create an interoperable system that allows smooth asset movements within the Bitcoin protocol and other blockchain networks.
Addressing the blockchain trilemma
With this synergy, the two networks work to resolve the blockchain trilemma. In other words, their partnership strives to harmonize scalability, security, and decentralization.
Although the Bitcoin blockchain is perfect for maintaining security and decentralization, scalability concerns remain a challenge. The partnership between BEVM and UTXO Stack works to resolve scalability challenges.
UTXO Stack is proficient at using state channels to allow micro-transactions on the Bitcoin blockchain. It enables low and rapid transactions by carrying out numerous transactions off-chain and creating opening and closing balances on the Bitcoin blockchain.
On the other hand, BEVM excels at consolidating numerous transactions off-chain into a single data piece, which is then integrated with the Bitcoin blockchain. This way, BEVM improves scalability and enhances transaction speed.
By uniting their unique strengths, they create a more extensive scaling solution. Also, by channeling significant amounts of transactions off-chain, the two networks help to overcome congestion on the Bitcoin network, resulting in more rapid processing speed and lower transaction costs.
Launch airdrop campaign
With the collaboration, UTXO Stack also plans to reward Web3 users with its forthcoming airdrop program. The platform wants to promote various Web3 assets through this partnership and the airdrop campaign.
It intends to introduce opportunities for users to interact with wider dApps on the Bitcoin protocol, offer rewards through the campaign, and support the Bitcoin ecosystem’s growth. The airdrop program will specifically reward Bitcoin LN (Lightning Network) users, including Bitcoin developers and early asset holders. It will announce the airdrop date soon.
Conclusion
The partnership between BEVM and UTXO Stack is important. It provides the opportunity for a more functioning, effective, and scalable Bitcoin ecosystem.
The collaboration has demonstrated their ability to overcome scalability problems experienced by Bitcoin, offering solutions that improve transaction speed, create new possibilities, and decrease fees.
Apart from scalability enhancements, the two networks work to develop improved programmability, DeFi and dApps, asset management, and various Web3 apps on the Bitcoin blockchain.
