Conflux Network to launch EMV-compatible Bitcoin L2 solution

Conflux Network, a hybrid proof-of-work/proof-stake blockchain, has announced an “EVM-compatible Bitcoin Layer 2 solution” as it looks to unlock the flagship cryptocurrency’s potential.

Targeted interaction include smart contracts capability, core to decentralised finance (DeFi) and blockchain-based applications. The solution will help foster an ecosystem of “complex financial instruments, yield-generating protocols, and interactive gaming experiences,” Conflux noted.

Big news! Introducing the new frontier of Conflux: a fully EVM-compatible space powered by BTC!https://t.co/Un8WzaTjh9

🚀 Conflux is launching an EVM-compatible Bitcoin Layer 2.
💰 BTC will be the native currency for gas fee calculations.
🌉 Bridge diverse asset types from the…

— Conflux Network Official (@Conflux_Network) January 18, 2024

EVM-compatible Bitcoin L2 on Conflux

According to the Layer 1 blockchain, the new L2 set for test in February or March, will utilise BTC for gas fees. The platform has scheduled the solution’s mainnet launch for May this year. The EVM-compatible L2 solution will operate on top of Conflux.

“By embracing BTC within our PoS protocol, which includes built-in staking mechanisms, holders can actively contribute to network security and governance on the Conflux platform,” the platform wrote in a Medium post published on Thursday.

Also set to feature within the L2’s ecosystem will be inscription-based tokens, including BRC20 and ARC20.

Conflux Network’s announcement saw the price of its native token CFX surge by double digits earlier in the day.

According to data from CoinGecko, CFX rose to highs of $0.23 before paring gains. The token traded around $0.21 at the time of writing, roughly 5% up in the past 24 hours.

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