Frequently Asked Questions (FAQ)
General
What is BeL2?
BeL2 (Bitcoin-Elastos Layer 2) is a technology that enables Bitcoin to interact with other blockchains and smart contract platforms without compromising its security. It uses advanced zero-knowledge proofs for cross-chain interoperability and messaging.
How is BeL2 different from other Bitcoin Layer 2 solutions?
Unlike solutions that wrap Bitcoin or use synthetic versions, BeL2 acts as a "proof tool." It allows Bitcoin to interact with smart contracts on other chains through zero-knowledge proofs, maintaining Bitcoin's security while expanding its utility.
Is BeL2 secure?
Yes, BeL2 prioritizes security by using zero-knowledge proofs to ensure Bitcoin's integrity is never compromised. All Bitcoin-related settlements occur on the Bitcoin mainnet, maintaining the highest level of security. The Arbirter networks always has enough value at stake to guarantee any collateral in case of any collusion.
Technology
What are zero-knowledge proofs (ZKPs) and why are they important for BeL2?
ZKPs are cryptographic methods that allow one party to prove the truth of a statement without revealing any additional information. In BeL2, ZKPs verify Bitcoin transactions on other chains without exposing sensitive data, ensuring both security and privacy.
What is a zkBTC Full Node?
A zkBTC Full Node is a BeL2 innovation that allows an ordinary mobile phone to run a Bitcoin full node using zero-knowledge proofs. This increases the decentralization and security of the Bitcoin network while improving accessibility.
What EVM networks does BeL2 support?
Currently, BeL2 supports integration with Elastos Smart Chain (ESC), facilitating swaps between ESC and Bitcoin (BTC). BeL2 aims to support a wide range of EVM-compatible chains in the future, enabling dApps and DeFi platforms to leverage Bitcoin's security and liquidity.
Is there a way to view the proofs generated by BeL2?
Yes, BeL2 provides a ZK block explorer at https://scan.bel2.org/ where all generated proofs can be found. This tool allows users to verify and track the proofs used in BeL2 transactions, enhancing transparency and trust in the system.
Use Cases
Can I use my Bitcoin as collateral for loans with BeL2?
Yes, BeL2 enables the creation of Bitcoin-collateralized loans. There is a lending app (https://lending.bel2.org/) that uses BeL2 technology to create trustless loans between Bitcoin and ESC. This app allows you to lock your Bitcoin into a smart contract and borrow stablecoins against it without intermediaries. The app is still under development, so do not risk more than you are willing to lose.
How does BeL2 enable Bitcoin holders to participate in DeFi?
BeL2 allows Bitcoin holders to use their BTC in various DeFi applications without wrapping or moving their Bitcoin off the main chain. This includes participating in decentralized exchanges, yield farming, and other DeFi protocols on the Elastos Smart Chain.
Does BeL2 support NFTs on Bitcoin?
Currently, BeL2 does not support the creation, trading, or utilization of NFTs directly on the Bitcoin network. However, BeL2 aims to support the integration of Bitcoin Ordinals, BRC-20 tokens, and Runes systems in the future. This functionality is still under development.