Preface
The Bitcoin ecosystem is an important guarantee for Bitcoin's future network security budget. Bitcoin needs the Bitcoin ecosystem, and this is indisputable.
We can still see the Bitcoin ecosystem flourishing with various protocols, as more and more excellent developers join the Bitcoin ecosystem.
For example, Coinbase launched cbbtc, Starket became the Layer 2 for Bitcoin, developing zk rollup for Bitcoin, and today's protagonist $CKB .
With more public chains and Layer 2 solutions connecting to the Bitcoin ecosystem, using Bitcoin consensus as a security foundation, a supernetwork for the meta-web formed by Bitcoin will emerge, meaning that all chains converge into one. Public chains like Ethereum, Solana, etc., actually provide a feasible path and solution for the prosperity of the Bitcoin ecosystem.
Today, I will talk about the leader in the Bitcoin ecosystem — Common Knowledge Base (CKB)
So what is CKB? Let me introduce it to you!
CKB is the native token of Nervos Network's Layer 1 blockchain. Nervos Network is a multi-layer network architecture designed to address issues in scalability, security, and value storage in existing blockchain technology.
CKB's design is inspired by Bitcoin, aiming to become a secure medium of value storage. Its total supply is fixed at 33,600,000,000 CKB.
In Nervos Network, CKB is used to pay transaction fees and rent storage space on the blockchain. Holding one CKB allows the storage of one byte of data, which is one of CKB's core use cases, enabling CKB holders to store assets, application states, and other information on Nervos Layer 1.
CKB also supports the execution of smart contracts. Users can run and store smart contract code through CKB, allowing Nervos Network to support complex decentralized applications.
CKB uses a proof-of-work (PoW) consensus mechanism, known as NC-Max (an upgraded version of Nakamoto consensus). Miners earn CKB as a reward through mining, and CKB is also used to pay transaction fees.
Nervos Network provides unlimited scalability through its Layer 2 protocols, allowing efficient transaction processing on top of the security of the Layer 1 blockchain.
The design goal of CKB is to provide a foundational, scalable platform that can support various cryptocurrencies and applications. In this way, Nervos Network aims to address the bottlenecks traditional blockchains face in handling large-scale transactions and data storage.
CKB stands out in the Bitcoin ecosystem; it must have some unique technology, right?
Technical advantages of CKB
PoW + UTXO model
CKB uses a similar PoW mechanism to BTC, ensuring the decentralization and security of the network. Through computational power competition, PoW provides security assurance for the network, a method that has been widely accepted and verified.
Through the Cell model, CKB enhances the flexibility of UTXO. Cells can not only store and transfer assets but also contain rich state information, making it possible to implement complex smart contracts on-chain.
RGB++ protocol
This is an extension based on the RGB protocol, aimed at providing Bitcoin with Turing-complete smart contract capabilities. It allows Bitcoin assets to be used within the CKB ecosystem while maintaining the security of the Bitcoin network by creating assets and mapping Bitcoin's UTXO on CKB.
Layer 2 solution Fiber Network
This is a Lightning Network solution proposed by CKB, similar to Bitcoin's Lightning Network. It is a faster, lower-cost transaction and payment solution, very suitable for real-world applications!
Bridge-less cross-chain
CKB's RGB++ protocol allows Bitcoin assets to flow across different chains without the need for traditional cross-chain bridges, simplifying operations, reducing risks, and increasing efficiency, achieving bridge-less cross-chain technology!
What applications does CKB have in the Bitcoin ecosystem?
Decentralized finance and products
Everyone can issue and manage assets through CKB, and it is entirely possible to create and trade Bitcoin-related assets on CKB via the RGB++ protocol without third-party support!
Secondly, CKB can support decentralized exchanges, lending platforms, stablecoins, and other complex financial products, all of which can be built on BTC assets, increasing the potential for financial applications in the Bitcoin ecosystem!
JoyID Passkey wallet
JoyID is a Passkey wallet that supports the Lightning Network, utilizing CKB's technology to make Bitcoin payments more instantaneous and user-friendly, suitable for small and cross-border payments.
Fiber Network
This is a public Lightning Network based on CKB, aimed at improving the liquidity and scalability of assets across different blockchains. By optimizing the network structure, it ensures the stability and availability of transactions.
Asset custody and management
CKB's Cell model provides a way to store different types of data, including tokens, smart contract states, etc. This makes CKB an effective asset management platform, especially for Bitcoin's Layer 2 network applications.
What are the future prospects for CKB?
Enhanced security and decentralization
CKB's security model and consensus mechanism (NC-Max) enhance its resistance to attacks, which is crucial for building financial applications on it. Security is an essential part of the entire blockchain industry. Only by ensuring user safety can we attract more users to participate!
Richer application scenarios
With the development of the Bitcoin ecosystem, CKB is expected to become an important platform supporting a variety of applications, from simple payments to complex financial tools. The market needs a diversified product rather than a monotonous one, so I believe CKB is gradually moving towards a diversified world, developing more application products.
Deep integration with the Bitcoin community:
Through technological innovation and interoperability with Bitcoin, CKB is becoming part of the Bitcoin ecosystem's expansion, especially in Layer 2 solutions and DeFi!
I believe CKB's role in BTCFi is not only technical support but also provides a platform for Bitcoin to expand its functionality and application areas, allowing Bitcoin to participate in the innovation of modern financial systems while maintaining its core value. CKB potentially influences the future development of BTCFi, pushing it from a single payment network towards a more complex financial service platform. Therefore, CKB's mission is very arduous and long-term, and I will walk alongside you!
