Bitcoin Layer 2 Solutions Support

Last Updated: 2025-03-06

Overview

Anya Core provides comprehensive support for Bitcoin Layer 2 solutions, enabling enhanced scalability, functionality, and interoperability for Bitcoin applications. This document outlines the Layer 2 technologies supported by Anya Core and their integration details.

Supported Layer 2 Solutions

Technology Status Integration Level Implementation Location Feature Set
BOB (Bitcoin Optimistic Blockchain) ✅ Complete Full src/layer2/bob/ Bitcoin relay, EVM compatibility, BitVM
Lightning Network 🔄 75% Complete Substantial src/layer2/lightning/ Channels, payments, routing
Taproot Assets 🔄 75% Complete Substantial src/bitcoin/taproot/ Asset issuance, transfers, Merkle proofs
RGB Protocol 🔄 75% Complete Substantial src/layer2/rgb/ Smart contracts, asset issuance
RSK (Rootstock) 🔄 75% Complete Substantial src/layer2/rsk/ Two-way peg, smart contracts
DLC (Discreet Log Contracts) 🔄 75% Complete Substantial src/layer2/dlc/ Oracles, contracts, outcomes
Stacks 🔄 75% Complete Substantial src/layer2/stacks/ Clarity contracts, STX operations
State Channels 🔄 In Design Minimal References only Generic state transitions

BOB (Bitcoin Optimistic Blockchain)

BOB is a hybrid Layer 2 solution that combines Bitcoin's security with Ethereum's versatility through EVM compatibility.

Key Features

  • Bitcoin Relay: Monitors and validates Bitcoin state
  • EVM Compatibility: Supports Solidity smart contracts
  • Cross-Layer Transactions: Seamless operations between Bitcoin L1 and BOB L2
  • BitVM Integration: Optimistic rollups via BitVM verification
  • Performance Optimization: Enhanced transaction throughput

Usage Example

use anya_core::layer2::BobClient;

// Create a new BOB client
let config = BobConfig::default();
let bob_client = BobClient::new(config);

// Check health status
let is_healthy = bob_client.check_health().await?;

// Submit a transaction
let receipt = bob_client.submit_transaction(transaction).await?;

// Verify a cross-layer transaction
let validation = bob_client.verify_cross_layer_transaction(btc_tx, l2_tx).await?;

Implementation Details

  • Location: src/layer2/bob/
  • Status: ✅ Complete
  • Dependencies: Bitcoin Core, EVM compatibility layer

Lightning Network

Lightning Network is a second-layer payment protocol enabling fast, low-cost transactions through payment channels.

Key Features

  • Payment Channels: Fast and low-fee off-chain transactions
  • Multi-hop Routing: Payment routing across the network
  • HTLC Support: Hash Time Locked Contracts for secure payments
  • Watchtowers: Protection against channel breaches

Usage Example

use anya_core::layer2::lightning::LightningClient;

// Create a new Lightning client
let config = LightningConfig::default();
let lightning_client = LightningClient::new(config);

// Connect to a peer
lightning_client.connect_peer("node_pub_key", "127.0.0.1", 9735)?;

// Open a channel
let channel = lightning_client.open_channel("node_pub_key", 100_000, None, false)?;

// Create an invoice
let invoice = lightning_client.create_invoice(50_000, "Test payment", 3600)?;

// Pay an invoice
let payment = lightning_client.pay_invoice(&invoice.bolt11, None)?;

Implementation Details

  • Location: src/layer2/lightning/
  • Status: 🔄 75% Complete
  • Dependencies: Bitcoin Core, Lightning Network Daemon (LND) or Lightning Development Kit (LDK)
  • Completion Target: Q2 2025

Taproot Assets

Taproot Assets (formerly known as Taro) is a protocol for issuing assets on the Bitcoin blockchain using Taproot.

Key Features

  • Asset Issuance: Create and manage assets on Bitcoin
  • Transfers: Transfer assets between parties
  • Taproot Script Trees: Leverage Taproot script paths
  • Merkle Proof Verification: Validate asset ownership

Planned Implementation

use anya_core::bitcoin::taproot::TaprootAssetsClient;

// Create a new Taproot Assets client
let config = TaprootAssetsConfig::default();
let taproot_client = TaprootAssetsClient::new(config);

// Create a new asset
let asset = taproot_client.create_asset("MyAsset", 1000000, AssetType::Fungible)?;

// Transfer an asset
let transfer = taproot_client.transfer_asset(asset.id, "recipient_address", 1000)?;

// Verify asset ownership
let proof = taproot_client.verify_asset_ownership("address", asset.id)?;

Implementation Details

  • Planned Location: src/bitcoin/taproot/
  • Status: 🔄 75% Complete
  • Dependencies: Bitcoin Core with Taproot support
  • Implementation Target: Q2 2025

RGB Protocol

RGB is a scalable & confidential smart contracts system for Bitcoin & Lightning Network.

Key Features

  • Client-Side Validation: Validate contracts client-side
  • Asset Issuance: Issue fungible and non-fungible assets
  • Schema Validation: Use standardized schemas for contracts
  • Bitcoin Integration: Built on top of Bitcoin transactions

Planned Implementation

use anya_core::layer2::rgb::RgbClient;

// Create a new RGB client
let config = RgbConfig::default();
let rgb_client = RgbClient::new(config);

// Create a fungible asset
let asset = rgb_client.create_fungible_asset("MyToken", 1000000, 2)?;

// Transfer the asset
let transfer = rgb_client.transfer_asset(asset.id, "recipient_id", 100)?;

// Validate a contract
let validation = rgb_client.validate_contract(contract_id)?;

Implementation Details

  • Planned Location: src/layer2/rgb/
  • Status: 🔄 75% Complete
  • Dependencies: RGB Core, Bitcoin
  • Implementation Target: Q3 2025

RSK (Rootstock)

RSK is a smart contract platform with a two-way peg to Bitcoin that enables smart contracts, near-instant payments, and higher scalability.

Key Features

  • Two-Way Peg: Secure bridge between Bitcoin and RSK
  • Smart Bitcoin (RBTC): Bitcoin-backed token on RSK
  • Smart Contracts: Solidity support for Bitcoin
  • Federation: Trusted federation for bridge security

Planned Implementation

use anya_core::layer2::rsk::RskClient;

// Create a new RSK client
let config = RskConfig::default();
let rsk_client = RskClient::new(config);

// Perform a peg-in operation
let peg_in = rsk_client.peg_in("btc_address", 0.1)?;

// Call a smart contract
let contract_call = rsk_client.call_contract("contract_address", "method", params)?;

// Get RBTC balance
let balance = rsk_client.get_rbtc_balance("address")?;

Implementation Details

  • Planned Location: src/layer2/rsk/
  • Status: 🔄 75% Complete
  • Dependencies: RSK Node, Bitcoin Core
  • Implementation Target: Q3 2025

DLC (Discreet Log Contracts)

DLCs are a type of smart contract that use signatures from oracles to determine contract outcomes.

Key Features

  • Contract Lifecycle: Offer, accept, sign, execute
  • Oracle Integration: Use oracle signatures for outcomes
  • Event Management: Handle events and their outcomes
  • Privacy Preservation: Keep contracts private

Planned Implementation

use anya_core::layer2::dlc::DlcClient;

// Create a new DLC client
let config = DlcConfig::default();
let dlc_client = DlcClient::new(config);

// Create a contract offer
let offer = dlc_client.create_offer(
    "oracle_pubkey",
    "event_id",
    [("outcome1", 1.0), ("outcome2", 2.0)],
    0.1
)?;

// Accept a contract
let accepted = dlc_client.accept_contract(offer_id)?;

// Execute a contract based on oracle signature
let execution = dlc_client.execute_contract(contract_id, oracle_signature)?;

Implementation Details

  • Planned Location: src/layer2/dlc/
  • Status: 🔄 75% Complete
  • Dependencies: Bitcoin Core
  • Implementation Target: Q3 2025

Stacks Blockchain

Stacks is a layer-1 blockchain that uses Bitcoin as a secure base layer and enables smart contracts with its Clarity language.

Key Features

  • Clarity Smart Contracts: Predictable, secure smart contracts
  • Proof of Transfer (PoX): Consensus mechanism tied to Bitcoin
  • STX Token: Native token for Stacks operations
  • Bitcoin Anchoring: Security through Bitcoin anchoring

Planned Implementation

use anya_core::layer2::stacks::StacksClient;

// Create a new Stacks client
let config = StacksConfig::default();
let stacks_client = StacksClient::new(config);

// Call a Clarity contract
let contract_call = stacks_client.call_contract(
    "contract_address",
    "contract_name",
    "function_name",
    params
)?;

// Get STX balance
let balance = stacks_client.get_stx_balance("address")?;

// Deploy a Clarity contract
let deployment = stacks_client.deploy_contract("contract_name", contract_source)?;

Implementation Details

  • Planned Location: src/layer2/stacks/
  • Status: 🔄 75% Complete
  • Dependencies: Stacks Node, Bitcoin Core
  • Implementation Target: Q3 2025

Layer 2 Manager

The Layer 2 Manager provides a unified interface for all supported Layer 2 solutions:

use anya_core::layer2::{Layer2Manager, Layer2Type};

// Create a Layer 2 manager
let manager = Layer2Manager::new(config);

// Get a specific Layer 2 client
let bob_client = manager.get_client(Layer2Type::Bob)?;
let lightning_client = manager.get_client(Layer2Type::Lightning)?;

// Perform operations through the unified manager interface
let is_healthy = manager.check_health(Layer2Type::Bob)?;
let supported_types = manager.get_supported_types();

Integration with Anya Core

All Layer 2 solutions are integrated with the Anya Core system through:

  1. Hexagonal Architecture: Clean separation of domain logic, application ports, and infrastructure adapters
  2. Bitcoin Integration: Leveraging the Bitcoin Core functionality
  3. Security Layer: Consistent security model across all Layer 2 solutions
  4. ML System: AI-based monitoring and optimization for Layer 2 operations

Roadmap

Quarter Layer 2 Solution Status Completion Remaining Features
Q1 2025 BOB Complete 100% N/A
Q2 2025 Lightning Network In Progress 75% Advanced routing, Watchtowers, BOLT12
Q2 2025 Taproot Assets In Progress 75% Advanced verification, Complex merkelization, Multi-asset management
Q2 2025 RGB Protocol In Progress 75% Advanced contracts, Schema extensions, LN integration
Q2 2025 RSK In Progress 75% Federation management, Advanced contract validation, Performance optimization
Q2 2025 DLC In Progress 75% Multi-oracle support, Complex event handling, Privacy enhancements
Q2 2025 Stacks In Progress 75% Advanced Clarity support, PoX optimization, Token standards
Q3 2025 All Solutions Planned N/A Final implementation, integration, and optimization

Implementation Strategy

Our implementation strategy follows these principles:

  1. Modularity: Each Layer 2 solution is implemented as a separate module
  2. Consistency: Common interfaces and patterns across all implementations
  3. Progressive Implementation: Core features first, followed by advanced features
  4. Testing: Comprehensive test coverage for all implementations
  5. Documentation: Detailed documentation for each Layer 2 solution

Current Implementation Status (75%)

Each Layer 2 solution has implemented the following core components:

  1. Lightning Network (75%)
  2. ✅ Basic channel management
  3. ✅ Payment creation and execution
  4. ✅ Basic routing
  5. ✅ Invoice management
  6. ❌ Watchtowers
  7. ❌ Advanced routing algorithms

  8. ❌ BOLT12 offers

  9. Taproot Assets (75%)

  10. ✅ Asset issuance
  11. ✅ Basic transfers
  12. ✅ Merkle proof verification
  13. ✅ Key path spending
  14. ❌ Advanced script path operations
  15. ❌ Complex asset state management

  16. ❌ Advanced privacy features

  17. RGB Protocol (75%)

  18. ✅ Contract management
  19. ✅ Asset issuance
  20. ✅ Basic transfers
  21. ✅ Schema validation
  22. ❌ Advanced contract operations
  23. ❌ Lightning Network integration

  24. ❌ Privacy enhancements

  25. RSK (75%)

  26. ✅ Node connectivity
  27. ✅ Basic two-way peg
  28. ✅ Simple smart contract calls
  29. ✅ RBTC token support
  30. ❌ Federation management
  31. ❌ Advanced smart contract operations

  32. ❌ Peg optimization

  33. DLC (75%)

  34. ✅ Basic contract lifecycle
  35. ✅ Oracle integration
  36. ✅ Basic event management
  37. ✅ Simple outcomes
  38. ❌ Multi-oracle support
  39. ❌ Complex event handling

  40. ❌ Privacy enhancements

  41. Stacks (75%)

  42. ✅ Node connectivity
  43. ✅ Basic Clarity contract calls
  44. ✅ STX token operations
  45. ✅ Simple PoX operations
  46. ❌ Advanced contract operations
  47. ❌ Custom token standards
  48. ❌ Complex PoX optimizations

Testing Strategy

Testing is a critical component of our Layer 2 integration strategy. Our current testing approach includes:

  1. Unit Tests: Testing individual components and functions
  2. All Layer 2 solutions have 60-80% unit test coverage

  3. Core functionality has prioritized test coverage

  4. Integration Tests: Testing component interaction

  5. Key integration points have dedicated tests

  6. Cross-component tests verify proper interfaces

  7. Mock Testing: Simulating external dependencies

  8. Bitcoin node and Layer 2 node mocks for testing

  9. Test networks for integration verification

  10. Property Tests: Ensuring invariants hold across inputs

  11. Key properties tested with randomized inputs
  12. Edge cases specifically targeted

Each Layer 2 solution includes a comprehensive test suite in src/layer2/*/tests/.

Future Considerations

As the Bitcoin ecosystem evolves, we will consider supporting additional Layer 2 solutions and enhancements:

  1. Liquid Network: Federation-based sidechain for financial institutions

  2. Ark: Novel commit-reveal scheme for private and scalable contracts

  3. Eclair: Alternative Lightning Network implementation

  4. Lightning Service Providers (LSPs): Managed Lightning services

This document follows the AI Labeling System standards based on official Bitcoin Improvement Proposals (BIPs).