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Journey of Rollups on Bitcoin

Unwrapping rollups one layer at a time

Lets see the Bitcoin Roadmap from 2013 to Now,

Increased roadmap

ZK Rollups are a layer-2 scaling solution that perform transaction execution outside the main blockchain (layer-1) while maintaining data integrity and security through proofs.

Zero-Knowledge Proofs (ZKPs), Segregated Witness (SegWit), Blockchain Bridges, and BitVM collectively lay the groundwork for implementing ZK Rollups on Bitcoin.

Trustless ZK Rollup

Lets Understand, How can we build a trustless ZK Rollup

Trustless Zk rollup

Main Limitations,

  • Bitcoin Cannot Verify the ZK Proof by Design

  • UTXO Model Constraints - Validity on Multi Sig

BitVM ZK Rollups,

BitVM makes things interesting by enabling the ZK proof verifications within the Bitcoin ecosystem with "1 / n trust assumptions", paving the way for enhanced scalability and security.

bitVM

Limitations,

  • Dishonest Sequencer

  • Data Availability Layer

If Sequencer goes rogue, Shared Sequencer Can we be a one of the solution but data should be available, for which introducing Data availability layers is required

With Data Availability Layer,

Data availability layer

Inspiration from Validium, Sovereign Rollups

Data availability can be posted anywhere off chain for

  • Cheaper Transactions

  • Scalable Transactions

It can be posted on the any DA layers,

  • Etheruem DA

  • Celestia DA .

  • Other DA Layers.

Limitations with this,

How can they cross compose and share liquidity ?

But this can solved with the ZKPs which allows the Interactions with all the DA layers can be trustless allowing cross compute and shared liquidity

da-layerr

Benefits of Rollups

  • Best UX on L2s from Design

  • No need of External token, But L2s can have there own tokens

  • Programability or Global Statement

  • Endless Scale & Flexibility, Can we built on anything like Rust, Javascript etc.,

  • Economic Density

  • Upgradability

Challenges in building Rollups on Bitcoin

No Existing Frameworks

The absence of established frameworks on Bitcoin for rollup development has been a significant barrier

Complex Development

Missing familiar tech stacks, increasing the complexity to create rollup on Bitcoin.

Non-Turing completeness

Bitcoin's non-Turing complete nature limited its utility, only shifted after Ordinals

Skepticism around Trust Assumptions

Skepticism from the Community due to Trust Assumptions in the rollup solutions