What is Fractal Bitcoin (FB)?

Deep Dive

1. Purpose & Architecture

Fractal Bitcoin addresses Bitcoin’s scalability limitations by creating recursive layers that inherit Bitcoin’s security through merge-mining. This allows ~90% of Bitcoin’s hash rate (from pools like Foundry and AntPool) to secure Fractal’s network while processing 11M+ daily transactions (@blockspacepod report). Its Cadence Mining model blends merged-mined blocks (⅓) with permissionless mining (⅔), adjusting difficulty daily to balance security and scalability.

By using Bitcoin Core’s codebase, Fractal ensures compatibility with Bitcoin’s tooling and protocols like BRC-20, enabling developers to build applications without learning new systems.

2. Token Utility & Governance

The $FB token serves three primary roles:
- Transaction Fees: Required for on-chain operations, similar to Bitcoin’s fee model
- Cross-Layer Bridging: Facilitates asset transfers between Fractal layers via its Fractal Elevator protocol
- Governance: Allows holders to vote on network upgrades and treasury allocations

This design incentivizes miners and developers to contribute to both Bitcoin and Fractal ecosystems, creating a symbiotic relationship.

Conclusion

Fractal Bitcoin extends Bitcoin’s utility as a programmable, scalable base layer while preserving its core principles. As the network processes more transactions than many major chains, a key question remains: Can its recursive scaling model sustainably support internet-level demand without centralizing mining power?