Four Major Technical Directions for Scaling #Bitcoin.

For the past decade, we have been contemplating how to scale the #Bitcoin network. With a deeper understanding, we are now aware of more comprehensive technical directions for scaling #Bitcoin.

To scale #Bitcoin, we must first understand what #Bitcoin is.

#Bitcoin is a Complex Adaptive System (CAS) composed of three types of formal subsystems.

The three types of subsystems are:

- 1. Individual sovereignty, 1:1 digital state, and individual self-mapping. (i.e., UTXO in Bitcoin)

- 2. P/NP perceptual reality, machine understanding of natural reality achieved through asymmetric solving and verification. (i.e., POW in Bitcoin)

- 3. Trust code consensus intermediaries, a notarization and execution environment based on code consensus. (i.e., Blockchain in Bitcoin)

Based on the above understanding of #Bitcoin, we can identify four major directions for scaling #Bitcoin technology.

First: Scaling applications based on UTXO-like individual sovereignty. Typical examples include the BRC20 or OmniLayer protocols, which are limited to assets; we can attempt to expand into various new applications such as DID.

Second: Expansion based on the P/NP perceptual reality subsystem, such as the BTC POW mining pool protocol, which is a type of this expansion technology. However, this is just a vertical extension based on BTC POW; we can explore horizontal expansion based on P/NP to promote the real-world application of cryptocurrency technology to serve the real economy.

Third: Blockchain technology, which is the direction where the most resources in cryptocurrency have been invested and is the most comprehensively explored technology. Technically, it has become largely transparent. Blockchain addresses the transparency of trust code rules. Therefore, in the field of DeFi, it has increased transparency compared to traditional finance.

Fourth: The largest area, which refers to the CAS technical solutions of Bitcoin, i.e., the directions of the above three areas. By learning from Bitcoin's CAS technology, we can integrate it into new CAS products similar to Bitcoin. This is the largest and most promising track, and it is also the area we have consistently overlooked because we are always trapped in local thinking failures.