During a Twitter Space hosted by Bitcoin developer Udi Wertheimer, Ethereum co-founder Vitalik Buterin expressed his belief that the Bitcoin network needs scalable solutions, such as zero-knowledge rollups (ZK-rollups), to expand beyond being just a payment network. ZK-rollups are off-chain protocols that operate on top of the Ethereum blockchain, enabling faster and more scalable transaction verification without compromising user privacy.
Buterin highlighted how Ethereum has implemented various scaling solutions over the years to enhance throughput, specifically mentioning Optimism and Arbitrum as successful rollup examples that could serve as case studies for Bitcoin. He emphasized the need for additional scaling solutions to elevate Bitcoin’s capabilities beyond payments.
Scalability has long been a topic of discussion for both Bitcoin and Ethereum. Ethereum has transitioned from a proof-of-work to a proof-of-stake network and is exploring layer-2 solutions like ZK-rollups and Plasma to address scalability challenges.
Bitcoin has relied on the Lightning Network as its primary layer-2 solution, contributing to its scalability. Recently, the rise of Bitcoin Ordinals, a layer-2 solution facilitating decentralized storage of digital art on the Bitcoin blockchain, has rejuvenated the builder culture within the Bitcoin ecosystem, according to Buterin. Bitcoin Ordinals has gained significant popularity, with trading volume surpassing $210 million by the end of June.
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