2024

Bitcoin

DeFi

April

<p>Bitcoin is no longer a simple payment coin. Instead, for the past two quarters, new tech is accelerating to create layers on Bitcoin. The goal is to build a secure system of smart contracts, which is scalable, but also secured by the most secure blockchain. The newly developed RGB stands for Really Good Bitcoin, and aims to increase the capabilities of the oldest and largest blockchain.</p>
<h2 class="wp-block-heading" id="what-is-rgb-protocol-peer-to-peer-smart-contract-transactions-verified-on-bitcoin-gwmw-style-display-none-gwmw">What is RGB Protocol: Peer-to-Peer Smart Contract Transactions Verified on Bitcoin<gwmw style="display:none;"></gwmw></h2>
<p><a href="https://rgb.tech/#:~:text=RGB%20is%20a%20native%20member,secure%20and%20censorship%2Dresistant%20cryptocurrency." rel="noopener noreferrer nofollow" target="_blank">RGB</a> is primarily a community effort to make tech for building smart contracts widely available. The first version of this idea appeared about a year ago and was first mentioned in the <a href="https://lists.linuxfoundation.org/pipermail/bitcoin-dev/2023-April/021554.html" rel="noopener noreferrer nofollow" target="_blank">Bitcoin developers mailing list</a>.</p>
<p>What makes the platform different is that it de-couples the smart contracts from the need for a native blockchain. This makes RGB a scalable technology that can finally be secured through a Bitcoin block.&nbsp;</p>
<p>The platform will not issue its own token or shill any form of investment beyond voluntary support for improving the protocol.</p>
<p>Like the Bitcoin blockchain and the Lightning network, RGB is created through community efforts. The protocol is also trying to popularize its approach.&nbsp;</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">🚀 Get ready to discover the power of <a href="https://twitter.com/hashtag/RGB?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#RGB</a>++!<br><br>📅Join us on May 5th, 12 AM UTC, for an exclusive <a href="https://twitter.com/hashtag/AMA?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#AMA</a> on the innovative asset issuance protocol revolutionizing <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#Bitcoin</a>! 🔥<br><br>🎙️Featuring insights from <a href="https://twitter.com/crypcipher?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">@crypcipher</a>, <a href="https://twitter.com/businessmaneth?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">@businessmaneth</a>, <a href="https://twitter.com/mrseanvvv?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">@mrseanvvv</a>, <a href="https://twitter.com/Agonybeard?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">@Agonybeard</a>, and <a href="https://twitter.com/ckbsamurai?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">@ckbsamurai</a>!<br><br>⏰Set… <a href="https://t.co/lnmUQKHcXU" rel="noopener noreferrer nofollow" target="_blank">pic.twitter.com/lnmUQKHcXU</a></p>— CKB Eco Fund 🔜📍 HK (@CKBEcoFund) <a href="https://twitter.com/CKBEcoFund/status/1784902738150613240?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">April 29, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
<p>RGB also received support from popular developers who prefer to remain anonymous but are active in the crypto community. One of the leading developers, @crypcipher, introduced the potential of RGB tech at the end of March, leading to a boom of new applications in the past month.&nbsp;</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">Glad to introduce RGB++ protocol testnet implementation to developers and early adopters. Now everyone could deploy and interact with Turing-complete scripts on Bitcoin network in a permissionless and trustless way. <br><br>The protocol and implementation include the following…</p>— cipher (@crypcipher) <a href="https://twitter.com/crypcipher/status/1774404145916854639?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">March 31, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
<p>The core principle of RGB is that all smart contracts will have client-side validation, not requiring any form of network consensus. Before the event can be broadcast to a selected blockchain, both sides of a smart contract must reach an agreement.&nbsp;</p>
<p>Transactions between the two sides of an RGB contract will be entirely private. When the final transaction is recorded on the blockchain, the only data is a hash number instead of plain text. This ensures that the original RGB contract action cannot be reversed, but also cannot be derived from the hashed value.&nbsp;</p>
<h2 class="wp-block-heading" id="rgb-standard-helps-create-new-batch-of-projects-gwmw-style-display-none-gwmw">RGB Standard Helps Create New Batch of Projects<gwmw style="display:none;"></gwmw></h2>
<p>Beyond the underlying protocol, RGB is trending and creating its own batch of sub-projects. The RGB developers themselves do not shill tokens or startups. But multiple new developers are using the trend to offer RGB-based products.</p>
<p>On social media, the inclusion of the RGB letters in the project name is a way to signal belonging to the new technology. In a way, this resembles the trend of .eth name handles and personalized addresses.</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">💡' All Things you need to know about Technology of <a href="https://twitter.com/hashtag/RGB?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#RGB</a> Protocol '<br><br>The industry widely believes that RGB has the potential to enhance the scalability of <a href="https://twitter.com/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">$BTC</a> ecology while leveraging BTC’s original features. As RGB continues to undergo technological updates, it is gradually… <a href="https://t.co/8JOTkPSYbg" rel="noopener noreferrer nofollow" target="_blank">pic.twitter.com/8JOTkPSYbg</a></p>— BiHelix | RGB (@BiHelix_) <a href="https://twitter.com/BiHelix_/status/1782751675662696739?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">April 23, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
<p>For now, it is uncertain which of the new RGB projects are just vaporware, and which ones would provide infrastructure and value.&nbsp;</p>
<p>Participation in the RGB ecosystem starts with some of the newly updated wallets, which are also compatible with the Lightning network. Additionally, RGB projects may start their marketing with airdrops, creating anticipation in a wider user base.&nbsp;</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr"><a href="https://twitter.com/hashtag/RGB?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#RGB</a> era, now. <a href="https://t.co/iXKvxHEPN9" rel="noopener noreferrer nofollow" target="_blank">https://t.co/iXKvxHEPN9</a> <a href="https://t.co/saCM5yYCjL" rel="noopener noreferrer nofollow" target="_blank">https://t.co/saCM5yYCjL</a></p>— Bitlight Wallet (@Bitlight_wallet) <a href="https://twitter.com/Bitlight_wallet/status/1784221415526547922?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">April 27, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
<p>The initial ideas of DEX trading using Bitcoin and Lightning network have been floating around since 2021 and the first DeFi boom. But this time around, all projects are attempting mass adoption. New wallets are offered, with an attempt to capture and consolidate other Bitcoin-based trends like Ordinals and Runes, as well as BRC20 tokens.&nbsp;</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr"><a href="https://twitter.com/hashtag/Awakening?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#Awakening</a> <a href="https://twitter.com/hashtag/RGB?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#RGB</a> Wallet Unique advantages feature comparison, difference than exchanges and web3 wallets. Our technical routes are RGB and <a href="https://twitter.com/hashtag/DEX?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#DEX</a>;But each user can get a wallet of shareholder profits. <a href="https://twitter.com/hashtag/BRC20?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#BRC20</a> <a href="https://t.co/1iK2CWjkh8" rel="noopener noreferrer nofollow" target="_blank">https://t.co/1iK2CWjkh8</a> <a href="https://t.co/D6Gmm4fj1i" rel="noopener noreferrer nofollow" target="_blank">pic.twitter.com/D6Gmm4fj1i</a></p>— Awakening (@wwwjuescc) <a href="https://twitter.com/wwwjuescc/status/1784955544551510206?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">April 29, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
<p>One of the more advanced projects, RGBEx, is now inviting developers to test the generation of new assets and build decentralized trading.&nbsp;</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">Glad to present the testnet version of the updated <a href="https://t.co/eIRTdeWu9m" rel="noopener noreferrer nofollow" target="_blank">https://t.co/eIRTdeWu9m</a> website! Preview the new reach <a href="https://twitter.com/hashtag/RGB?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">#RGB</a> v0.11 functionality, issue test assets and dive into existing interfaces and schemata. Do not forget to reserve a ticker name and register as issuer or developer! <a href="https://t.co/8IPbuj31cb" rel="noopener noreferrer nofollow" target="_blank">pic.twitter.com/8IPbuj31cb</a></p>— RGBEXplorer (@rgbexio) <a href="https://twitter.com/rgbexio/status/1784890440912642095?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow" target="_blank">April 29, 2024</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
 </div>
</figure>
<p>The rgbex.io project is also building up test liquidity. The platform will carry USDN, the RGB version of Tether (USDT), which will help build the first test trading pairs.&nbsp;</p>
<h2 class="wp-block-heading" id="rgb-increases-client-side-verification-requirements-gwmw-style-display-none-gwmw">RGB Increases Client-Side Verification Requirements<gwmw style="display:none;"></gwmw></h2>
<p>Due to RGB’s private nature, decentralized exchanges will not be able to track swaps or lock the total value. On the client’s side, RGB will create additional complexity, as both parties to a contract must coordinate. Additionally, the user will be in charge of storing the data related to the state of their RGB assets.&nbsp;</p>
<p>One of the risks is to record flawed states in the final transaction, making it impossible to undo the smart contract action. Multiple transactions may produce a significant storage burden and require good Internet speed when interacting with other participants or nodes.<gwmw style="display: none; background-color: transparent;"></gwmw></p>
<p><gwmw style="display:none;"></gwmw></p>

RGB Protocol Launches Testnet, Aims to Become Go-to Hub for Bitcoin DeFi

Table of Contents

Cryptopolitan_News

Other articles published on Apr 30, 2024

Billions of Shiba Inu (SHIB) by Coinbase in 24 Hours: What's Happening?

Giant Whale Created a Buzz with Altcoin Trading: Turned $67K into $781K in 15 Minutes

NEAR Protocol and Arkham Lead AI Crypto Charge as New Token, Raboo, Brings in Its First Presale M...

CertiK: Damage from hacks, scams reaches lowest level since 2021

Peter Brandt Suggests Bitcoin Bull Run May Have Peaked: '...Already Reached A Price Consistent'

Binance Crypto Exchange HKVAEX Ceases Withdrawals in Hong Kong Amid ETFs Debut

Join our free newsletter for daily crypto updates!