Depth Dialogue: Cipher Interpretation of RGB++, UTXO, and BTCFi Ecology

Cipher, the proposer of RGB++, was invited to participate in an in-depth interview to discuss topics such as RGB++, the UTXO model, CKB, and the Bitcoin ecosystem. Below are the summarized key points of the interview:

Cipher's Personal Experience

Cipher entered the scene in 2013 through Bitcoin mining and officially entered the blockchain industry in 2016. In 2018, it participated in the early development of CKB and established an independent company in 2021 to develop CKB ecological projects. In February 2023, it proposed the RGB++ concept and established a company in April to develop UTXO Stack.

RGB++ and UTXO Stack

RGB++Layer is a product under the UTXO Stack brand, adding a smart contract execution layer to BTCFi. UTXO Stack is similar to OP Stack, used for quickly launching BTC Layer2. Both prioritize the development of the RGB++Layer ecosystem, and will delve deeper into Layer2 once BTCFi gains sufficient popularity.

BTCFi and Bitcoin Layer 2

Cipher believes that the ceiling for BTC Layer 2 in the EVM system is relatively low, making it difficult to truly develop the Bitcoin ecosystem. Native BTC Layer 2 can bring more interesting scenarios to Bitcoin, such as the bridge-less cross-chain Leap technology. The UTXO model is suitable for intent-driven transactions, which can simplify user interaction processes.

The Intersection of RGB++ and Bitcoin

Main points of focus include:

1. The contract script nesting implements one-click complex operations.
2. IB0( increases programmability through Bitcoin financing ).
3. Create decentralized assets that empower Bitcoin

Core Advantages of CKB

As a UTXO chain, CKB excels at verifying off-chain computation results. The UTXO model inherently supports parallel computation, which is more efficient than EVM-based solutions. Adopting a UTXO architecture is more efficient for interfacing with Bitcoin.

UTXO Model DeFi Challenges and Solutions

The UTXO model has contention issues in DeFi. UTXOSwap solves this through a two-step transaction process, achieving functionality similar to Uniswap. The UTXO model is more suitable for order book DEX, enabling low-cost large order placements.

CKB Development Language Selection

Currently, Rust and C languages are preferred. The RISC-V instruction set has advantages such as being streamlined and stable, making it easy to be compatible with emerging ZK facilities.

Degree of Decentralization in the Bitcoin Ecosystem

The Bitcoin ecosystem has multiple forces balancing each other, with strong inclusiveness and error correction capabilities. Compared to Ethereum, the Bitcoin ecosystem is freer and more robust. CKB is also attempting to promote decentralized decision-making.