The automated protocol will debut with new capabilities that let bitcoin users construct their own liquidity pools, fees, and conduct trustless exchanges.
Bitmatrix, an automated market maker (AMM) protocol, has launched its mainnet beta, enabling bitcoin users to construct their own liquidity pool and conduct trustless swaps on the Liquid Network, according to a press statement given to Bitcoin Magazine.
Connecting the Bitmatrix online interface to their Marina Wallet, selecting the appropriate pairings, entering an initial amount, and clicking trade are all that are required for users to start their own liquidity pools.
AMMs offer the beneficial function of executing asset swaps, in this example using Liquid assets, as well as the ability for users to connect and pool resources without the intervention of centralized institutions.
Burak Keceli, the creator of Bitmatrix, said, “After extensive testing, we’re convinced we’ve developed the most ideal solution for delivering AMMs to Liquid and the Bitcoin ecosystem.” We believe Bitmatrix facilitates the development of new use cases and increases user acceptance.
Bitmatrix uses a sequence of Tapscript opcodes, including transaction introspection, 64-bit arithmetic, and elliptic curve operations, often known as covenants, to establish a trustless automated protocol.
Bitmatrix has decreased its costs and boosted concurrency from 8 to 32 slots since the original beta release. This means that each liquidity pool can now handle up to 32 transactions per minute, and this number is projected to rise with future upgrades.
In addition, the mainnet will provide a new feature allowing for bespoke fees. Thus, consumers will be able to set fees anywhere between 0.01% and 1.00%, with 0.25 % serving as the default.
“We look forward to hearing your input and releasing a more streamlined version with the new smart contractual language Simplicity in the fourth quarter of 2023,” Keceli concluded.
The Liquid network is a layer 2 scaling solution that uses a sidechain to build a continuous peg between BTC and Liquid assets. BTC is represented as L-BTC on the Liquid Network and is recognized as having the same value as BTC.
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