Lightning Labs Launches Renamed Taro Amid Bitcoin BRC-20 Bottleneck

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Bitcoin (BTC) users received a possibly more efficient way to create new assets on the blockchain after Lightning Labs released an updated edition of the recently renamed Taproot Assets protocol.

In a May 16 blog post, infrastructure firm Lightning Network Lighting Labs criticized current methods of listing assets on the Bitcoin blockchain, calling them particularly inefficient and pointing to cumbersome protocols that write asset metadata. directly in block space.

The Taproot Assets protocol is designed to operate maximally off-chain to avoid the network congestion that has become an unfortunate feature of the Bitcoin network since the creation of the BRC-20 token standard by anonymous developer Domo on March 8.

Lightning Labs said users of the protocol could soon integrate BRC-20 assets into the Lightning Network, with ported wallets, exchanges and merchants, instead of having to start a new ecosystem from scratch.

Domo has previously stated that the Taproot Assets protocol is a much better solution for creating new assets on Bitcoin compared to pre-existing methods such as JavaScript Object Notation (JSON), as it allows users to easily transfer to the Lightning Network for operations. fast and cheap operations.

The overwhelming majority of BRC-20 tokens created so far use ordinal registrations of JSON data to deploy token contracts, create tokens, and transfer them.

This method has drawn a lot of criticism from developers, who claim that the process costs four times as much in transaction fees compared to just using the binary.

The Taproot Assets protocol is the renamed version of the original Taro protocol. Lightning Labs was forced to change the name of the software following what it called a frivolous trademark infringement lawsuit against them by blockchain development firm Tari Labs on December 8 last year.

Related: Ordinals and BRC-20 Will Disappear in Months, Says JAN3 CEO

The total value of BRC-20 tokens briefly surpassed the $1 billion mark on May 9, but has since fallen back to $500 million, a drop of almost 50%.

The total number of BRC-20 tokens ranked by market cap. Source: BRC-20

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