- Lightning Labs has updated Taproot protocol
- It will allow the creation of BRC-20 tokens without network load
Lightning Labs has proposed a solution to the growing load on the Bitcoin network. They’ve updated the Taproot Assets Protocol.
Unlike its competitors, the new protocol carries most of the offchain operations. The Lightning Network infrastructure helps with this.
The company has encouraged all BTC and Lightning developers to test the code and start building Taproot assets.
There will be tools like vPSBT for sending and receiving coins, the Universe API for asset discovery, and multi-asset transactions to save space on the blockchain.
Protocol users will soon be able to move their BRC-20 assets to Lightning Network.
And it does not matter where they are stored now – on custodial wallets or exchanges. Such integration is much easier than “starting a new ecosystem” from scratch.
Recall that Lightning Network by Lightning Labs previously called their protocol Taro. Now they have been renamed Taproot Assets.
The reason for the rebranding was a lawsuit from another developer, Tari Labs.
The update came just in time. The Bitcoin network is now experiencing massive congestion due to the growing popularity of BRC-20 tokens within the Ordinals protocol.