Author: Olaoluwa Osuntokun 2022-04-05 15:06:03
Published on: 2022-04-05T15:06:03+00:00
Laolu has announced the publication of a new protocol called Taro, which allows for the issuance of normal and collectible assets on the main Bitcoin chain. Taro uses the Taproot script tree to commit extra asset structured metadata based on a hybrid merkle tree called MS-SMT. This combination allows for easily verifiable asset supply proofs and efficient proofs of non-existence. The Taro design also supports integration with the Lightning Network (BOLTs) as the scripting system can be used to emulate the existing HTLC structure, allowing for multi-hop transfers of Taro assets. Taro asset transfers are embedded in a virtual/overlay transaction graph that uses a chain of asset witnesses to provably track the transfer of assets across taproot outputs. The Taro scripting system is a recursive instance of the Bitcoin Script Taproot VM, meaning anything that can be expressed in the latest version of Script can be expressed in the Taro scripting system. Taro also has a scripting system that allows for programmatic unlocking/transfer of assets. Future versions of the scripting system can introduce new functionality on the Taro layer, like covenants or other updates.In terms of deployment, Taro only recognizes "assets at the edges," so only the sender and receiver need to know about and validate the assets. All asset transfers will utilize the Bitcoin backbone of the Lightning Network, which means that increased demand for transfers of these assets will result in more transfers and more routing revenue for the Bitcoin backbone nodes. The set of BIPs are a multi-part suite, with various breakdowns. The BIPs can be found at the links provided by Laolu.
Updated on: 2023-06-03T08:14:12.524683+00:00